Guaranteed pension income ‘resurrected’ for 17m private sector workers

Ministers propose new guided retirement scheme to help give savers protection for life

Millions of private sector workers will be offered a guaranteed pension income for life under new rules designed to help them get the most out of their retirement savings.

Over the past 30 years, the majority of final salary pension schemes offering a set payout for life have closed. Workers have instead saved into a scheme and arrived at retirement with a pot of money they have to decide what to do with.

George Osborne scrapped the obligation to buy an annuity – a product offering an income for life – leaving many savers wondering how to manage their money.