# What is the open market option for annuities?

> Quick answer · Last updated 4 July 2026

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## In short

Your right to buy an annuity from any UK provider — not just the company that holds your pension. Rates vary significantly; shopping the open market often secures higher lifetime income.

Your pension provider must tell you about the open market option before you annuitise.

Enhanced annuities pay more if health conditions qualify.

See buying a pension annuity guide.

## Related

- [Buying an annuity guide](https://moneyguide.org.uk/pensions/buying-a-pension-annuity-guide/)
- [Drawdown vs annuity](https://moneyguide.org.uk/pensions/drawdown-vs-annuity/)

## Primary source

gov.uk/tax-on-your-private-pension/what-you-can-do-with-your-private-pension-pot

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Independent UK money guidance from [Money Guide](https://moneyguide.org.uk). Information only — not regulated financial advice.