Later Life  

Later life lending products 'no longer last resort', says Key CEO

This followed a warning from the FCA earlier this year that it is going to follow up on a previous review of the market to make sure it is working in the best interest of consumers. 

While the products themselves are not the main issue, it is the quality of the advice given alongside their purchase which is worrying the industry.

Article continues after advert

“That's where things like, our internal mortgage desk is important, “ Hale said. “If we don't believe equity release is the right solution for a customer then we're not leaving them without a solution, we are still helping them fulfil their needs.”

He added: “The industry is really trying to get his head around this evolution to a broader later life lending landscape where equity release is just one of a range of solutions."

Hale said noted that there is still a lot of work to be done by the industry and "potentially policymakers and regulators".

"That's why cultural aspects of consumer duty are really important. Because, yes, as a firm, we concentrate on equity release, and that's the driver. But ultimately, we want to do the right thing for customers.

"The business long term will only survive if put heart in everything we do, we want to provide the right outcome for our customers. Our tagline is that ‘if equity release isn't right for you, we will tell you’, and that is a principle that we hold very dear."