Intermediaries expect to see a growth in income from equity release products over the next five year...
Intermediaries expect to see a growth in income from equity release products over the next five years, according to research from actuarial company, Tillinghast-Towers Perrin.
By 2008, one in eight intermediaries expect these types of products to generate 10% to 20% of their annual income and a further one in 12 believe they will contribute 20% or more.
Stuart Robinson, consultant at Tillinghast, said: 'Our research shows 40% of IFAs are currently not generating any income from equity release and of those who are, the vast majority are not selling many products.'
At the moment the equity release market is worth around £750m but it has the potential for £4bn-£5bn of new business each year for the next decade, Robinson said.
He noted some £313m was released through equity release schemes in the first six months of 2002, an increase of 33% over the same period in 2001.
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