Annuities take a hit as rates fall following Brexit

Retirees thinking of using their pension to buy an annuity to fund their retirement are advised to buy sooner rather than later

The first direct hit on pensions from Brexit came on Monday morning, as pension companies began to cut the amount they will pay people who are newly retiring.

Just Retirement and Retirement Advantage have both announced cuts to their annuity rates, and experts said more were likely to follow. Just Retirement’s rates are down by around 2%.