Innovation ‘driving equity release expansion’

Posted 22/06/2012

Innovation in the equity release industry is leading to the expansion of the sector.This is the view of Jon King, managing director of More2Life, who stated new product features – such as the protected equity guarantee and redemption charges – are becoming increasingly important.Speaking to FT Adviser, he explained the equity release market is set for strong levels of growth in the coming years.”The launch of the Equity Release Council last month has created a unified voice for the industry and the aim now must be to outline product benefits fully and to enhance products,” said Mr King.Safe Home Income Plans – the former regulator of the industry – became the Equity Release Council last month in a bid to provide customers with a greater level of protection.Figures recently revealed by provider Key Retirement Solutions showed total lending rose to £217.1 million in the first quarter of the year, with plan sales up by 6.4 per cent.Posted by Simon Crooks