Pensions - Articles - Aegon comment on Which? report on the impact of Brexit

 “Understandably, individuals’ concerns around Brexit are focussed on shorter term impacts such as food prices and the cost of overseas holidays. While it’s hard to predict any long term implications, positive or negative, those planning their retirement should consider the impact of a return to higher rates of inflation, possibly as a result of a weaker pound making imported goods more expensive.

 Higher inflation weakens buying power, and can be particularly hard for those on fixed incomes, which includes many pensioners. Increasingly people are living 20 or more years in retirement and even low-level inflation can erode the value of retirement income over time.

 This makes it important to build in flexibility to your retirement income, allowing you to take less initially but increasing this to keep pace with inflation. Not everyone is the same, and people’s decisions will depend on their circumstances. Ideally, everyone should get advice to help them get the most out of their retirement income.”