Close Brothers is to set up a wealth management equity-release product with Isle of Man Assurance.
The product is designed to help people to manage their estates for tax purposes and is described by a source as an equity-release/estate management product.
It is being launched with the backing of Equity Release Services, which has designed the product and will take responsibility for its administration.
Close Brothers and Isle of Man Assurance join recent market entrants Standard Life Bank, Mortgage Express and In Retirement Services.
The equity-release market is tipped for big growth. Figures from the CML show a 121 per cent increase in equity-release lending in the first half of 2003 from 2002. The figures show that £498m was borrowed for equity release in the first half of 2003 compared with £225m in the first half of 2002.
A source close to the company says: “The details of this product, which is designed to help people manage their estates for tax purposes, will be released next week. It is an equity release/estate management product.”
Key Retirement Solutions managing director Colin Taylor says: “Seeing a company of this quality coming into the market bodes well for the future.”