Almost half of those planning to retire in the next five years do not intend to seek advice on annuity purchases, says MetLife Europe Limited (MetLife).

Research by the global financial organisation shows that 48 per cent of men aged 60 to 65 and women aged 55 to 60 either will not, or do not know whether, they will take financial advice. Only 22 per cent of respondents said they were planning to consult an independent financial adviser (IFA), and another ten per cent will look to their pension provider for advice.

Dominic Grinstead, strategic development and marketing director of MetLife's UK Retirement & Savings business, said: "Retirement savers have to literally live with their annuity choice and we would urge everyone to take advice on the decision.

"There are a wide range of choices and given current stock market volatility people need to consider all their options. Solutions which offer the option of guarantees on income and capital have an increasingly important role to play in the market," he added.

Around 27 per cent of those retiring in five years or less believe a conventional annuity is their best choice, with other options falling by the wayside in terms of recognition.

Impaired life annuities and drawdown took just four per cent of the retirement options, and only two per cent chose deferred annuities and with-profit annuities.

The research was undertaken online, and conducted by Research Plus amongst 1,001 UK adults aged 55 to 64, between September 29 and October 2 2008.

- Pensions Age March 2009

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