There has been a 44% rise in the number of enquiries about equity release products on pre-EU referendum levels as retirees have been hit hard by market volatility, according to national broker Responsible Equity Release.
Uncertainty around the impact of Brexit on savings returns and investments have driven the surge in queries, with customers fearful about the future availability of equity release products – a product they may have earmarked for use in the future, the firm says.
Steve Wilkie, managing director, Responsible Equity Release, said: “Equity release has always been a product with a long buying decision cycle, with many enquirers looking for information four to seven years ahead of using this product. In addition, it’s a decision that typically involves all the stakeholders, including family members.
“Brexit-fuelled market uncertainty has put investments on shaky ground. There’s also the looming prospect of interest rate reductions, which will hit retirees hardest – as they rely on a return on savings. Brexit could have the biggest financial impact on an age group that was once considered the most favoured.
“Despite this uncertainty, we’re reassuring this influx of enquirers that we firmly believe equity release is here to stay and there is no need to panic about future access to this important lifeline for pensioners on a fixed retirement income.”