Annuity rates UK — current published examples.
A source-backed snapshot of published UK annuity rates by age and option type, with the caveats that matter before comparing quotes.
- ▸Latest checked: 18 May 2026. The published Hargreaves Lansdown table used below was generated on 14 May 2026.
- ▸For a £100,000 pension, HL's published age-65 single-life level annuity example was £7,916 a year, paid monthly in advance.
- ▸Inflation-linking, fixed escalation, joint-life cover, and guarantee periods usually reduce the starting income, because the insurer is taking on extra payment promises.
- ▸These are published examples, not personalised quotes. Actual rates depend on age, postcode, health, lifestyle, spouse details, pot size, options, and market rates on the quote date.
Current annuity rates at a glance
The table below uses Hargreaves Lansdown's published annuity rate examples for a £100,000 pension pot. The examples compare quotes from leading UK annuity providers and were generated on 14 May 2026 using an average postcode, monthly payments in advance, and standard health assumptions.
| Age | Single-life level annuity, no guarantee | Approx monthly income |
|---|---|---|
| 55 | £6,691 | £558 |
| 60 | £7,075 | £590 |
| 65 | £7,916 | £660 |
| 70 | £8,670 | £723 |
| 75 | £9,878 | £823 |
The pattern is intuitive: older buyers generally receive a higher starting income because the insurer expects to pay it for fewer years. That does not automatically mean waiting is better. A later purchase can mean years of income not received, and rates can move up or down.
Published annuity options at age 65
The option chosen can change the starting income as much as age does. These examples use the same £100,000 pot and HL's 14 May 2026 table.
| Annuity option | Annual income | Approx monthly income |
|---|---|---|
| Single life, level, no guarantee | £7,916 | £660 |
| Single life, level, 5-year guarantee | £7,855 | £655 |
| Single life, RPI-linked, 5-year guarantee | £5,437 | £453 |
| Single life, 3% escalation, 5-year guarantee | £5,940 | £495 |
| Joint life 50%, level, no guarantee | £7,359 | £613 |
| Joint life 50%, 3% escalation, no guarantee | £5,356 | £446 |
These are not rankings. They show the trade-off between starting income and extra protections. A level annuity has the highest starting income in this table, but inflation can erode its buying power. An RPI-linked annuity starts lower but can rise with inflation. Joint-life cover can continue some income to a spouse or partner after death, but the initial income is usually lower than a single-life quote.
What different pot sizes could buy
Using the age-65 single-life level example of £7,916 per £100,000, the broad figures scale like this before tax:
| Pension pot used for annuity | Illustrative annual income | Approx monthly income |
|---|---|---|
| £100,000 | £7,916 | £660 |
| £200,000 | £15,832 | £1,319 |
| £300,000 | £23,748 | £1,979 |
| £500,000 | £39,580 | £3,298 |
| £1,000,000 | £79,160 | £6,597 |
In practice, larger quotes may not scale perfectly because provider pricing, underwriting, and product terms can vary. Use this as a rate snapshot, then compare actual quotes if an annuity is under serious consideration.
Why annuity rates change
Annuity rates move because providers are pricing a lifetime payment promise. The main drivers are:
- Age: older applicants usually receive a higher starting rate.
- Health and lifestyle: medical conditions, smoking, medication, and lifestyle details can qualify for an enhanced annuity.
- Interest rates and gilt yields: annuity providers invest heavily in fixed-income assets, so market yields matter.
- Guarantees: a guarantee period can keep payments going for a minimum number of years even if the buyer dies early.
- Escalation: RPI-linked or fixed-escalation annuities start lower because future payments may increase.
- Dependants: joint-life annuities can continue some income to another person, so the insurer may expect to pay for longer.
How to use these figures
If you want a quick pension-pot estimate, start with the annuity calculator. For round-number examples, see annuity income by pot size, what a £300k annuity could buy, and the broader £300k pension pot income guide.
If you are comparing retirement income routes, read annuity vs drawdown. If you have medical conditions or lifestyle factors, enhanced annuities are important because a standard table can understate the income available after underwriting.
- ▸HL's published table generated on 14 May 2026 showed £7,916 a year from a £100,000 age-65 single-life level annuity, paid monthly in advance. [Hargreaves Lansdown]
- ▸HL says annuity rates change regularly and exact income depends on pension value, personal details, and options chosen. [Hargreaves Lansdown]
- ▸MoneyHelper provides impartial annuity comparison guidance and points retirees towards Pension Wise for free guidance on pension options. [MoneyHelper]
- •Published rate tables are not personalised quotes and are usually guaranteed only for a limited period.
- •Once bought, a lifetime annuity is normally very hard or impossible to unwind after the cooling-off period.
- •Annuity income is taxable as pension income.
- •Enhanced annuity quotes can differ materially from standard-rate examples if health or lifestyle details are relevant.
- •This page is educational and does not recommend a provider, annuity type, or retirement-income strategy.
FAQ
What are current annuity rates in the UK?
Published rates vary by source and change regularly. In HL's 14 May 2026 table, a £100,000 pension bought £7,916 a year for a healthy 65-year-old taking a single-life level annuity with no guarantee.
Are these the best annuity rates?
They are published market examples, not a statement that any provider is best for a particular person. A personalised quote can be higher or lower, especially after health and lifestyle underwriting.
Why is an RPI-linked annuity lower at the start?
Because the insurer is taking on the risk that future payments rise with inflation. The starting income is lower in exchange for potential increases later.
Can I combine an annuity with drawdown?
Yes. Some people compare using an annuity for essential spending and drawdown for flexible spending, but the right mix depends on personal circumstances, risk tolerance, health, tax, and estate planning.