Pensioners could be given 'death date' to help manage cash pot

Pensioners could be given an estimate of when they might die to help them manage their finances, according to ministers.

Huge gaps in life expectancy revealed across UK

Female life expectancy (left) and male life expectancy (right) at age 65 in 2010-2012.
Female life expectancy (left) and male life expectancy (right) at age 65 in 2010-2012. Credit: ONS

Life expectancy remains much higher in areas of southern England than parts of the north and Scotland, new figures show.

Office for National Statistics (ONS) data indicates that life expectancy at birth for men in East Dorset is 82.9 years, while men in Glasgow are expected to live on average ten years less, to 72.6 years.

However, the gap between areas with the lowest life expectancy and those with the highest reduced between 2000-02 and 2010-12, the ONS said.

Read: Pensioners could be given 'death date'

Pensioners could be given death date estimate

Steve Webb said insurers could use a number of factors to make the estimates.
Steve Webb said insurers could use a number of factors to make the estimates. Credit: David Jones/PA Wire

Pensioners could be given an estimate of when they might die to help them manage their finances, according to ministers.

As part of Government guidance intended to help pensioners plan how much to spend and save, pensions minister Steve Webb said insurance companies could look at factors such as smoking, eating habits and socio-economic background when determining approximate life expectancy.

The guidance, which could be rolled out in April next year, may form part of a major shake-up of the pensions system.

The reforms also include measures to allow the withdrawal of money directly from a pension savings pot, without leaving them tied up in annuities.

Read: Pension reforms 'could leave older people at risk'

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