Equity release pensioners in debt

Nearly a third of pensioners who unlock money tied up in their property are struggling with debts of more than £25,000, research has indicated.

Around 31% of homeowners who took out an equity release plan during the first quarter of 2011 used some or all of the money they raised to clear a mortgage, credit card or loan debt, with people owing an average £25,418, according to equity release specialist Key Retirement Solutions.