Will equity release help those who are forced to retire?

 

Plans to increase the UK's state retirement age by one year do not go far enough, it has been claimed.

People who are forced to retire under the country's current system could turn to equity release plans such as lifetime mortgages in a bid to boost their retirement finances.

Robin Ellison, partner at law firm Pinsent Masons, said it is widely accepted that the retirement age needs to go up by at least four or five years, but said MPs do not want to "frighten the horses".

"The retirement age has got to rise; the only question is how far and how fast?" he said.

"Most people within the industry reckon it is going to be age 70 within the next ten years. This is just the start of a series of changes."

UK Property owners who fear that forced retirement could affect their finances could use the value of their property to provide them with a regular income through the use of an equity release scheme.