Royal London’s Steve Webb says the Government was right to resist calls for default retirement pathways.

New analysis of 17,000 drawdown customers by a provider has revealed wide variations in the amount taken from pension pots but few signs of pensioners taking out all their cash in one go to buy a Lamborghini.

Royal London director of policy Steve Webb has called for an end to what he called the “absurd” way pension withdrawals are taxed.

HMRC has taken down a web page, which allows users to check how much money they can put into a pension, after “blunders” were spotted by tax experts at Royal London.