Families miss out as equity release rises

Equity release has always been a bit controversial and but it now emerges that some retirees are resorting to this not as a means to enjoying a bit of retirement income, but to meet their day-to-day living costs.

Some people are even using the cash to invest on the stock market in the hope of turning it into an even bigger fund. These days, that's almost like putting it on Number 7 down at the greyhound track.

The plan is usually that those who own their house outright sign up for equity release and then receive a lump sum or monthly income with the added benefit that they can stay in their home until they day. Then it's flogged and the debt cleared.