Equity Release succeeding where pension provisions fail
The number of people who have been actively saving in company pension schemes has almost halved over the last ten years, according to the Office of National Statistics.
With fewer people making the necessary provisions for retirement there could be a general reliance on equity release in the near future.
Whilst a large section property market flounders, equity release has flourished in recent years. Q4 2011 saw equity release advances up 15 per cent year-on-year (£215.9m vs. £188.5m in Q4 2010) and news of dwindling pensions sees experts predicting continued growth for this sector.
Richard Espley is the Head of Equity Release at Goldsmith Williams:
“As the cost of living continues to rise, fewer people are able to pay into their pension pot and, those who are, are unlikely to be able to sustain the level of contribution they once put in. This can only lead to one thing - a financial deficiency come retirement.
“For many, Equity release will compensate for this void and ensures that retirement is as comfortable and financially secure as one hoped it would be!”
Content correct at time of publication