Pension uncertainty to increase interest in Equity Release

Published: 11/11/2011

With the cost of living draining our financial resources, there is not much leftover to set aside for retirement. This could lead to more people requiring additional finance support, such as equity release, to fund life after work.

According to research carried out by Prudential, nearly 50 per cent of women living with a partner do not have their own pension.

56 per cent of couples over the age of 40 have opted for the ostrich approach to pensions, burying their heads in the sand and are avoiding sitting down to work out how much money they will realistically need for their retirement.

40 per cent of all couples have admitted that they have taken no steps in financially preparing for retirement, suggesting a definite future reliance for such products as equity release.

The equity release market is going from strength-to-strength; last quarter saw the equity release industry enjoy a 12 per cent rise in advances taking it to its highest level of lending since the start of 2010.

Content correct at time of publication