Analysis by Pure Retirement showed that this was a 2% annual increase and 4% up on the prior quarter.
The report noted that debt and mortgage repayment were the most common primary reasons for taking out a lifetime mortgage, at 26%. This is down 4% compared to the prior period.
Holidays, cars and giftings rounded out the top five, coming to 10%, 8% and 7% respectively. This is in line with last year’s figures.
Looking at demographics, the over-70s made up 24% of new business in Q4 2025, which is 6% up on a quarterly and annual basis.
New lifetime mortgages being taken out on a lump-sum basis came to 51%, which is in line with the same period last year but down from 63% in Q3 2025.
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For new business, around 65% of new business was for female customers, the highest in 12 months, equal to a 2% annual rise and a 7% increase on the prior quarter.
Simon Hayton, Pure Retirement’s chief operating officer, said: “The shifts in customer profiles we’ve seen in a relatively short period of time shows the dynamic and ever-changing nature of the people benefitting from lifetime mortgages as a tool to reach their financial goals in later life.
“With noticeable movement on a number of demographic markers, this data shows the importance of keeping on top of emerging trends and being able to respond to them in an agile fashion to meet consumer needs. In addition to using data to shape our own offering, we hope that sharing these findings will also aid in ensuring the later life sector remains a relevant and consumer-focused part of the financial services landscape.”
