Sales of equity release products reached £67.6m in the quarter covering July, August and September, a rise of just 3.8% on the figures posted in the same period in 2011.
This shows a slowing in growth when compared to the firm’s yearly results, which were released last month. They showed an increase in equity release sales of 11.8% year-on-year.
Overall, Just Retirement posted record group total sales of £455.5m for the quarter, up 36.6% on last year. This was largely down to a 44.6% increase in annuity policies sold during the period, worth £387.9m.
Rodney Cook, chief executive of Just Retirement, said that despite the slowing of sales, the outlook for the equity release sector remained positive.
“Latest data published by the Equity Release Council would indicate a positive outlook for the equity release market as increasing numbers of customers are choosing to use some of the equity in their homes as a solution to top-up their monthly retirement income.
“We expect sales in the annuity market will continue to be strong in the second quarter as advisers seek to close client contracts ahead of the Gender Directive and the Retail Distribution Review coming into force.
“We have witnessed strong growth in each of our core markets during this period. The final quarter of 2012 will be a challenging time for the industry as a result of the introduction of gender neutral annuity pricing and the Retail Distribution Review before the end of the year.
“Just Retirement’s plans are well progressed to support advisers through this period.”
