Calls for immediate action to halt 'annuity scandal'

The FCA's report into the annuity market will be published within the next 12 months, and may include rule changes and new regulations.

Read: What are annuities?

Ros Altmann, an independent expert and former Downing Street adviser, said more action should be taken now to halt the "scandal" that is depriving many of a fair income in their retirement.

The reason why immediate action is so important is that this market affects so many people and the transactions they are making are irreversible.

More than 1,000 people every week are buying annuities and the market is worth £14 billion each year.

Read: Watchdog to investigate 'disorderly' pension market

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8 in 10 pensioners 'could have had better annuity'

The Financial Conduct Authority (FCA) found that in around eight out of 10 cases where people have stuck with their existing pension provider to buy an annuity, they could have been better off financially by shopping around and switching.