Release equity to plug £100bn black hole

Posted in Equity Release Property News

5th July 2010

Homeowners may choose to release equity from their home after the extent of the pension black hole was revealed.

Research from Aon Consulting showed that the 200 biggest final salary pension schemes in the country have a deficit of £100bn – a jump of £12bn from last month.

There are fears that this figure could rise to £140bn over the next year, whilst the total black hole has been put at £239bn by Pension Capital Strategies.

An equity release scheme may offer people peace of mind if they fear that they won't get the pension they were expecting.

A drawdown lifetime mortgage would offer them a regular income in their retirement and allow them to have a comfortable life once they finish working.

The views expressed in these videos are those of ReelContent alone. They may not represent the views or opinions of Age Partnership or its staff. RealContent acts in a journalistic capacity and is not authorised to give advice under the Financial Services and Markets Act 2000. The information contained in this video is intended for information and interest only, and not to either provide advice to, or to address the particular requirements of any individual.