Pensions  

Equity release market sees first new entrant in three years

Age Partnership has backed a new equity release provider, Pure Retirement, which is set to launch in January 2014.

The company is the first to launch in the equity release market since June 2010 and has already signed up to the Equity Release Council.

Pure Retirement will be headed up by Paul Carter, who was former managing director at Cavendish Equity Release and sales director at Prudential Lifetime Mortgages.

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He was also previously worked in the equity release divisions of Millfield Partnership and Norwich Union (now Aviva).

Mr Carter said the company aimed to be one of the top three providers in the equity release industry by offering advisers “innovative” products.

He added: “The equity release market is in good shape, but we believe our launch will provide it with renewed vigour. We believe our fresh approach to the products will make them better suited to meet the needs of consumers.”

More product details

- company set to offer lifetime mortgages
- no monthly repayments
- fixed interest rate for life
- portable
- advisers can sign up now to become distributors at pureretirement.co.uk

Lorreine Kennedy, director of Hertfordshire-based Carematters, said: “Right now, it is easy to find providers who will allow clients to take out a lump sum, which might be necessary if they want to repay mortgage debt for instance.

“But it is not easy to find a provider to help those who require a small income of £5,000 - £10,000 a year. It will be interesting to see if Pure can offer more flexibility.”