Equity Release Might Be Used for Children’s Savings

Recent statistics published by various sources suggests that UK families find it increasingly hard to put away money for their children and, thus, rely on equity release as a possible source of financing.

Ms. Kate Moore, head of savings at Family Investments, UK-based investment and family specialist, said that not only low- and middle-class families, but also high-class ones struggle to save for the future of their children.

Let us remind that it was recently that Chancellor George Osborne announced British families with one or more higher rate taxpayers will be unable to claim child benefits as well as take advantage of the Child Trust Fund (CTF).

A separate research showed that 33% of parents in Great Britain used all or at least some of the money they have put away for their children's future to meet the ends meet.

These gloomy perspectives suggest that should the country’s economy remain at the same levels as it is now, releasing of equity might become the only source for children's savings that their parents will be able to turn to.