Confidence in equity release 'must be improved'

An All Parliamentary Group has outlined trust as one of the main challenges facing the equity release industry, which the MPs believe has the potential to be a key retirement funding source.

The group underlined the importance of maintaining high standards of equity release advice and encouraged the government to go further with its support for the sector.

Commenting following the meeting, director general of Safe Home Income Plans (SHIP) Andrea Rozario said: "SHIP remains committed to changing the way that the equity release industry has historically been perceived.

"Equity release products represent a real and immediate solution to financial problems facing older people every day."

House prices fell by 1.5 per cent in February, although equity release is still more of an attractive prospect than when the market reached a trough in April 2009.

Since then the average price of houses in the UK increased by eight per cent.

Ashall Glover Financial Services are equity release specialists