Prudential forced to set aside £175 m for annuity mis-selling

Prudential has been forced to set aside £175 million to repay customers who were mis-sold annuities in a scandal sweeping the pensions industry.

The City watchdog found some customers who were ill had not been told they could earn more because their life expectancy was shorter.

Last month, rival Standard Life took its own £175 million hit.

Boss Mike Wells insisted he would make it up to any customers who had missed out.

The charge was revealed in annual results showing profits had risen 7 per cent to a record £4.3 billion.

Profits in Asia rose 28 per cent to £1.5 billion and they climbed 21 per cent to £2.1 billion in the US.

UK profits fell 32 per cent to £799 million largely because the Pru quit the bulk annuities market.

Read the original story on the This is Money website.

Annuity Claims

Take a look at our annuity claims page if you think you might have been affected by this story or if you think you were mis-sold your annuity.