Will scrapping of Savings Gateway spur lifetime mortgage uptake?

Equity release, lifetime mortgages and other alternative sources of funding may become vital, under government plans to hold off the launch of the Saving Gateway.

Due to be introduced from July this year, the new government-backed savings scheme proposed under Labour was aimed at encouraging workers to develop a habit of saving regularly.

The target of the government was to contribute 50 pence for every £1 put away by the saver. It was designed so as to help Britons in the low income bracket kick start a savings scheme for their future financial needs.

Anyone receiving additional government funds in the form of jobseeker's allowance, employment support allowance, tax credits, income support, disability and carer's allowance among others, qualified to take advantage of the savings scheme.

Equity release advice is gaining importance, as recent research by uSwitch.com revealed that 52 per cent of new mothers were returning to work early owing to pressing financial needs.

Ashall Glover Financial Services lifetime mortgage advisers

Posted by Edward Simpson