Growth in the use of equity release in the UK is “only a matter of time”
March 27, 2008 by admin
Filed under News, News-Mortgages
Increasing numbers of consumers are expected to use equity release over the next few years, one financial expert has claimed. 
According to the Safe Home Income Plans (SHIP), the increased use of equity release is only a matter of time, given the extent to which consumers have preferred property over pensions as a method of saving for retirement over many years.
The SHIP added that the quality and standards of equity release schemes have improved over a similar time scale has meant more savers are comfortable using the schemes.
Andrea Rozario, director general of SHIP, said that declining levels of private pension provision and smaller state pension benefits will drive more people in this country to explore alternative ways to top up their income in later life.
She added: “Some will work longer, but a very large number are already planning to use the value in their property.”
Last week, a report from the Council of Mortgage Lenders called for the government to do more to encourage the take up of equity release schemes after it noted the relatively slow use of them compared with the Australian and US markets.
