The Government has sensibly conceded regulation of home-reversion loans. The move had been resisted by the Treasury which argued there was little evidence of consumer detriment. But there was a clear moral hazard in regulating equity release but not home-reversion plans.
But there is still likely to be a regulatory gap because regulating home reversion requires legislation and Parliamentary time is unlikely to be found until after the election. It is regrettable a decision was not taken ear-lier but at least common sense has prevailed.