There are pros and cons with each option and you can combine them.
A guaranteed lifetime income provides peace of mind. You’re paid an income for life whatever happens to investment markets. For many people this is reassuring. They can get on with enjoying their retirement, not worrying about their investments.
But there are drawbacks. These products lack the flexibility of drawdown. The income can’t be varied nor can you take a one-off payment once the annuity has been set up.
With drawdown, you can take what you want, when you want. You have complete flexibility. Your money remains invested, and you can buy a guaranteed lifetime income at some later point if you want.
But your money is at risk. If you make poor investment decisions, markets perform badly, you take too much income or live longer than you expected, your money could run out.
There are other issues to take into account, but the fundamental question is whether you prefer the flexibility of drawdown or the certainty of a guaranteed income for life? Or you can combine these products. Perhaps the best of both worlds?