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Annuities are specifically defined for means-testing purposes as income, not capital, even where the structure of the payments might appear more like payments from capital and/or where HMRC regards some or all of the payment from the annuity as capital and not subject to income tax.
In the special case where someone has taken out a loan and used it to purchase annuities, and some of the resulting income is used to service the interest repayment (a typical feature of a "home income plan") then both CTB and PC will ignore as income any payment from the annuity that is used to pay the interest. This will be the case provided that the loan:
The amount ignored will be the net amount payable where tax is paid, otherwise the gross amount payable. Note though that this relates only to the element used to make interest repayments, the remaining income from the loan will be fully taken into account as income.