Will Hale, comments on ERC Quarter 3 2019 figures
25 October 2019
Will Hale, CEO of Key, the UK’s largest equity release advisory firm, said: “Today’s figures highlight the resilience of the equity release market in tough economic conditions and how the fundamental issues of low pension savings, substantial property wealth and an aging population continue to drive customer demand and attract new sources of funding to the market helping support product innovation.
“Economic and political uncertainty has meant growth has been more subdued in 2019 when compared to 2018 with many customers adopting a wait and see approach. However, with this uncertainty dragging on for longer than anticipated we are starting to see more customers come off the fence. New products, rates at historic lows and the launch of free advice propositions, means that there has never been a better time for customers to consider how their property wealth could unlock a better retirement.
“Looking to the future, the fundamental drivers of the market remain strong with over-55s predicted to make up a third of the population within the next 20 years. That points to further evolution of the market to meet the needs of an ever more diverse range of customers. As such, we see equity release sitting within a broader later life lending sector which needs to continue to adapt across both advice provision and product design to enable people to use their property wealth to support themselves and help families.
“Specialist advice remains vital as older homeowners will always need expert support when making significant financial decisions around how to use their property wealth in the best and most appropriate way.”