Equity release report welcomed by SHIP

17 September 2009 / by Rebecca Sargent

The UK's equity release body, Safe Home Income Plans (SHIP), has welcomed a report into the use of equity release in retirement.

The report from the Pensions Policy Institute (PPI) was released yesterday, and looks into the ways that housing can support retirement. The report revealed that equity release could be helping 5.2million UK pensioner households by 2030.

Commenting, Andrea Rozario, director general of SHIP said: "SHIP has long championed the use of housing equity to fund retirement needs and we are therefore delighted that the PPI has chosen to take an in-depth look at this sector.

"Currently, pensioners can access £251billion worth of housing wealth and this is set to grow to £359billion by 2030, so proper consideration of this market and its potential must be a priority for all stakeholders."

The PPI report sets out the barriers to growth as well as the potential solutions that the use of housing equity can offer to the ever encroaching UK pensions' crisis.

Rozario adds: "67 per cent of people would rather enjoy life than worry about leaving an inheritance. Therefore, we hope that the launch of these papers serves to highlight the need for Government, industry and consumer groups to work together to develop a workable proactive stance on housing equity."

SHIP released its discussion paper, 'Facing the Future, Redefining Equity Release' back in July.

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