SHIP sailing in the right direction

The value of new business written was £260.9 million, 4 per cent ahead of the first quarter in 2005 (£251.4 million). For the half year to 30 June 2005, the value of new business is up 2per cent on the same period last year (2004 H1: £503.7 million, 2005 H1; £512.3 million).

The value of Lifetime mortgage business written in the second quarter of the year was £250.3 million, 96per cent of the total, while the value of Home Reversions written business was £10.6 million, 4per cent of the total.

Jon King, Chairman of SHIP said:

“The second quarter figures show continued steady growth in the equity release sector as customers continue to benefit from a variety of schemes that allow them to access the wealth accumulated in their property.

“Total sales this year are on track to equalise those of 2004, at approximately £1.2 billion. We believe that the market is likely to develop further as the benefits of FSA regulation build further confidence in it, and consumers benefit from the ever widening choice of new suppliers and products. Flexible equity drawdown products launched this quarter have proved very popular.”