Building a digital annuity experience that works for advisers

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The resurgence of annuities hasn’t happened overnight – it’s been quietly building for several years. Rising interest rates, shifts in the UK economic landscape and evolving tax‑planning considerations, including their relevance for IHT strategies, have all made the benefits of having an annuity harder to ignore.  

And after years in drawdown’s shadow, market volatility, persistent inflation and wider cost‑of‑living pressures have prompted more clients to reassess the value of securing a stable, guaranteed income in retirement. 

This trend is clearly reflected in the data from the ABI. According to their latest numbers, pension annuity sales reached £7.4 billion in 2025 – the highest annual level since pension freedoms were introduced [1] – with more people annuitising larger pension pots to lock in income certainty. When budgets are stretched and confidence is fragile, a guaranteed income for life starts to look very appealing.

 

Clients want certainty – annuities deliver it

Our latest Retirement Voice findings point to the same conclusion: people want more stability in retirement. Nine in ten clients now say they want the guaranteed income alongside the freedom to access their money whenever they need it. With prices still squeezing households, more than a third say the cost of living is affecting their mental wellbeing, and two in five worry they could run out of money later in life. [2] In an environment like this, solutions that remove uncertainty from day‑to‑day finances carry more weight. 

Stronger annuity rates are reinforcing clients’ preferences, too. By December 2025, our tracker showed average rates of 7.51%, meaning a 65‑year‑old with a £100k pot could secure £7,510 a year in guaranteed income – up £300 on the previous year.[3] For many clients, that combination of improved rates and long‑term predictability makes annuities a credible solution when markets feel unsettled. 

These changing client expectations also increase the pressure on advisers to deliver clear, timely recommendations. And in practice, that depends on processes that are fast, accurate and easy to use – which is why digitisation has become such a critical part of the journey. 

 

Digital isn’t optional – it’s expected 

A decade ago, online processes were just helpful add‑ons. Today, they’re the default. People handle most of their life admin on their phones, and they expect the same speed and simplicity when they’re planning for retirement. Paper, which was once seen as a safeguard, now seems like more of an obstacle. And the theme is playing out in adviser journeys: in 2025, over 15% of Standard Life annuity applications submitted through IRESS came via online routes – a proportion that’s likely to grow as more clients choose guaranteed income. Younger clients in particular see digital as the default and they expect friction‑free progress. 

It’s about more than convenience, though. AKG’s Ten Years of Freedoms report [4] highlights a broader push towards digitisation, with outdated admin, legacy systems and slow turnaround times now seen as barriers to a modern and efficient advice service. It’s clear that advisers also want processes that support accuracy and pace, too.  

 

Making life easier for you and your clients 

Advisers are also clear about where the industry needs to improve. Nearly half [4] say better use of technology would make the biggest difference in pensions and retirement planning. So the task is simple: give advisers journeys that match how clients now manage their finances, without delays or unnecessary friction. 

A digital annuity process helps deliver exactly that. Remove manual paperwork and you lower the risk of small errors and cut admin time. More importantly, you can speed up the journey at the moment it matters most. The move from paper-based to digital means a quicker, more accurate process - helping clients to stay within the quote guarantee period and secure the income they're expecting. For advisers, that means less back‑and‑forth and makes the path from illustration to completion smoother. For clients, it means clarity, progress and a quicker route to income they can rely on. 

 

The digital tools advisers need today 

Digitisation is reshaping retirement, and expectations will continue to rise. That’s why we’ve designed an annuity journey that reflects how advisers support clients today. Standard Life offers a fully integrated, signature‑free online application across IRESS, iPipeline and AMS, delivering a streamlined experience from quote to completion. 

Our commitment to the UK annuity market is reflected in our early adoption of a fully digital, signature‑free application journey via the Portals. We’re also helping drive wider industry progress by working with Criterion on the Annuity Application Standard, supporting the development of simpler, more consistent digital journeys. As demand for guaranteed income grows and adviser workloads increase, we continue to invest in deeper system integration and process improvements to reduce manual steps and improve efficiency. The aim is simple: helping clients securely and confidently access the income they’ve chosen. 

Over the past decade, retirement behaviour has shifted at pace, from the rise of drawdown to the renewed momentum behind annuities. As advisers navigate this changing landscape, digital expectations and client demands are evolving too. That’s why we’re committed to giving you the tools, technology and support to deliver reliable outcomes for your clients. 

To discover our full range of retirement income solutions and see how we can help you support your clients, please visit our website. 

 

 

[1] Association of British Insurers (ABI), 2025/26 annuity data (latest release referenced in manuscript). 

[2] Retirement Voice: Adviser Edition, 2025 (Standard Life) 

[3] Standard Life press release: Boost for retirees as annuity rates climb to 7.51% at end of 2025. 

[4] AKG, Ten Years of Freedoms report (accessed 2025).