SHIP Welcome Government Review of Benefits
The relationship between equity release and the UK benefits system is one that continues to leave both intermediaries and consumers confused. Therefore, it was with open arms that SHIP (Safe Home Income Plans) received the news of the Government’s decision to review benefits and how they affect equity release.
Director General of SHIP, Andrea Rozario, commented on the news stating that it was “high time” a review was put in place. She said:
“It is high time that it was thoroughly reviewed and that steps are taken to ensure that consumers are not penalised financially for trying to return to employment or for taking other proactive steps to improve their quality of life.”
“A Huge Amount of Confusion”
Ms Rozario also took this opportunity to talk about SHIP’s plans to help improve the relationship between equity release and state benefits. She continued by saying:
“This topic is of great interest to SHIP as – at the start of the year – we launched a campaign for the clarification of how state benefits interact with equity release.
“The Government’s announcement highlights its realisation that the current system is not meeting the needs of the general public.
“This puts SHIP in an ideal position to lobby to ensure that, when the new rules and regulations are outlined, the relationship between equity release and means tested benefits is clearly laid out.
“For many people, their home is their largest asset and in a country that is suffering from a retirement funding crisis, it is essential that we do our utmost to allow consumers the choice of accessing their housing equity without penalty.
“Clarification of the relationship between benefits and equity release is therefore vital.”
Related posts:
