Pensions, gender pay gap, sterling and mortgages

Some people who were mis-sold pension annuities will have to be compensated to restore £120-£240 a year, the Financial Conduct Authority has said. In a review of annuity sales practices, the financial watchdog said that a small number of firms failed to tell customers that they could shop around or could get enhanced annuities because of being ill. In total, 90,000 people could have been affected by the annuities mis-selling, though the FCA said this was not systemic nor an industry-wide failure. In other pensions news, the Daily Mail reports that workers could be allowed to retire at 60 if they accept a smaller state pension in retirement.

A review is considering plans to allow certain individuals to take their pensions early if they sacrifice around £35 a week from their payouts. They would receive £120 a week instead of the £155 paid at the official retirement age, currently 65 for men and 63 for women.

Sir John Cridland, the former CBI boss who is conducting the review, will unveil his final recommendations to the Government in March.