Incoming government ‘should promote equity release’

Posted 29/04/2010

Equity release should be promoted by the winner of the forthcoming election as a potential solution to retirement funding shortfalls.

This is the view of trade body Safe Home Income Plans (Ship), which has called on the incoming government to work with the retirement industry to help highlight all the finance options open to older people.

Andrea Rozario, director general of Ship, said that the retirement funding infrastructure is likely to be placed under strain by the demands of Britain’s ageing population in the coming years.

She suggested that equity release could be the answer to this problem, as it can help to free up finance that allows older people to remain in their own homes during retirement.

Ms Rozario added: “By working with the industry, whoever is in power after May 6th will have a better understanding of equity release and the possibilities it offers.”

This comes after Ship earlier this week stated that demand for equity release has remained “robust” in the first quarter of 2010.