The Equity Release Council has welcomed its 500th member this month.
The news follows another year of growth, and exactly 25 years on from the launch of the first equity release industry Standards by its original provider members in December 1991.
The number of individual members rose to 515 this month – more than doubling in the 4½ years since the trade body relaunched – after a surge of new enquiries in Q4 saw the membership increase by almost 10% from 475 in October.
The number of member firms has also risen from 20 to 178 since summer 2012: a nine-fold increase.
The transition from Safe Home Income Plans (SHIP) to The Council in May 2012 expanded the trade body’s remit from representing providers to include financial advisers, surveyors, solicitors, intermediaries and other industry professionals.
Among the protections offered are the no negative equity guarantee, the guaranteed right to tenure, the right to port a loan to a suitable property free of charge and a requirement that any customer taking out an equity release product must first receive independent legal as well as regulated financial advice.
The Council’s membership milestone comes towards the end of what is set to be a fifth successive year of growth for the sector, with record quarters for lending in both Q2 and Q3 putting the annual size of the equity release market on course to reach £2 billion for the first time. 2016 has seen The Council launch new adviser training initiatives and resources to support new entrants and recent arrivals in the market, as well as welcoming OneFamily Lifetime Mortgages as a new provider member.
Nigel Waterson, chairman of the Equity Release Council, said: “2016 has been a landmark year for equity release as the chance to experience a better retirement by tapping into housing wealth continues to appeal to a growing and increasingly mainstream audience.
“It is particularly fitting to mark the 25th anniversary of the first industry Standards by passing 500 individual members. Doubling the membership in just four years highlights an industry-wide commitment to the best possible standards of products and advice, which are vital to maintain a safe and reliable market for consumers.
“Looking ahead to next year, the sector is in a great position to build on this and establish closer ties with related areas of financial services including later life planning and the residential mortgage market. As people live longer, savings will have to stretch further and equity release will play an important role as part of the solution to meet their financial needs.
“The continued growth of our membership will ensure more consumers have access to high quality advice and products to support a comfortable retirement.”