Annuity Rates, Annuities, Pensions, Divorce Annuity Rates Charts
Home News Annuity Rates Annuities Pension Annuity Impaired Annuity Annuity Quotes Pensions Divorce Resources

12 December 2018 last updated
Yields fall as Brexit uncertainty sends investors to safe havens
15-year gilt yields chart
Based on figures for November 2018
Latest gilt yield chart

Gilt yield recovery hit by Brexit uncertainty with investors heading for the safety of gilts and bonds as government's EU deal lacks support from parliament.

Standard rates:  
annuity rates change -0.22%
Enhanced rates:  
annuity rates change -0.35%
Gilt yields:  
annuity rates change 1 basis point

  More annuity topics
  Quarter 4 News 2018
  News & articles
  Archive news stories
  Flexi-access drawdown
  Annuity rates tables
  Outlook for 2022
  Annuity rates charts
  15-year gilt yields
  Latest annuity rates

Brexit uncertainty sends yields lower

Continued uncertainty over Britain's exit from the European Union with a deal acceptable to parliament and risk of a no deal is sending investors to the safety of gilts and bonds.

The 15-year gilt yield increased by 1 basis points to 1.63% during November 2018 with providers of standard annuities decreasing rates by an average -0.22% for this month and we would expect rates to increase by 0.32% in the short term if yields do not fall.

For smoker and enhanced annuity providers have decreased their rates by an average of -0.35% and rates may rise by 0.45% in the short term if yields do not fall.

Fig 1 below shows the annuity rates changes for the whole market and the proportion that have either increased, decreased or or did not change. It also shows the range of the changes of the annuity rates over the last month:

Annuity Rates Changes
Increase No change Decrease
annuity rates decrease   32%
annuity rates no change   35%
annuity rates decrease   33%
Increases of:
up to 1.5%


Decreases of:
up to -2.7%

  Fig 1: Annuity rate changes for the whole market

For the month 32% of annuity rates increased by up to 1.5% with 35% remaining unchanged and 33% decreasing by up to -2.7%.

What happened to standard rates

Below shows a fund of £100,000 with the change in standard annuity rates for single and joint pensioners from age 55 to 75 with different annuity options such as level or escalating over 1 month compared to gilt yields:

Standard annuity 1 month changes
Fig 2: Change in standard rates last month compared to gilt yields

What happened to enhanced rates

Lifestyle smoker and enhanced annuities have decreased significantly across the board for all types of annuities and ages.

Enhanced annuity 1 month changes
Fig 3: Change in enhanced rates last month compared to gilt yields

For the latest updates see Annuity Rates Review.

Changes to the 15-year gilt yields

The yields change for the month from 1.62% to 1.63% or 1 basis point. Fig 2 below shows the daily 15-year gilt yields and the increase or decrease from the previous day's close:

15-Year Gilt Yields - November 2018
Day Rate (%) Change (bp*)
1 1.62 0
2 1.65 +3
5 1.70 +1
6 1.74 +4
7 1.70 0
8 1.74 +4
9 1.67 -7
12 1.65 -2
13 1.71 +6
14 1.71 0
15 1.60 -9
16 1.62 0
19 1.59 -3
20 1.61 +2
21 1.60 -1
22 1.62 +2
23 1.58 -4
26 1.62 +4
27 1.62 0
28 1.62 0
29 1.61 -1
30 1.63 +2
  Table 1: Daily 15-year gilt yields and changes
* bp - basis points

News related stories:
Retirement income down 14% with falls in equity and gilt yields
Annuity income hit by volatility in global equity and gilts market
Pension annuities fall as US tariffs creates economic uncertainty
Annuities could rise 1.6% as gilt yields recover on central bank plans
Annuity Rates
  Age Single Joint  
  55 £5,025 £4,644  
  60 £5,501 £5,102  
  65 £6,168 £5,832  
  70 £7,003 £6,583  
£100,000 purchase, level rates, standard
Unisex rates and joint life basis
  Annuity Rates  
Annuity Quotes
  Plan your annuity and get quotes from the 12 leading providers  
  free annuity quote Free Annuity Quotes
  annuity quote no obligation No Obligation
  annuity quote all providers From All Providers
  Annuity Quote  
  Annuity Rates News:

Annuity rates rise but yields weaken
Annuity rates rise 7pc last month Annuity rates rise by a record 7% for a single month but gilt yields weaken
Yields fall 33 bp on recession fears
Gilt yields fall 33 basis points Gilt yields fall 33 basis points off 2.92% high as investors fear global recession
Ban on Russian oil sends yields up 2.4pc
Gilt yields rise over 2pc Yields rise 30 basis points the highest in seven years as Russian oil is banned
Annuity rates up 23pc with gilt yields
Gilt yields rise over 2pc Annuity rates rise 23% as investors expect higher oil prices and base rates
Annuity rates rise due to inflation fears
Gilt yields rise over 2pc 15-year gilt yields are up 28 basis points as investors expect rise in base rates

  Follow Us:
You can follow the latest annuity updates on Twitter or as a fan on Facebook
  Facebook Page Twitter Page   This website is for marketing purposes only and does not provide specific financial or legal advice. Website security issued by GeoTrust and Equifax. Copyright©2001-22 All Rights Reserved