Legal & General is writing more equity release business than individual annuities after lifetime mortgage sales reached over £200m in the first half of the year.
In an update published this morning, the insurer says new business sales in its retirement division covering lifetime mortgages, individual annuities and bulk annuities hit £4bn in total between January and June.
Bulk annuity sales have reached £3.6bn over the same period, compared with £2.4bn sales for the whole of 2015.
L&G retirement managing director Kerrigan Procter says: “We now provide more lifetime mortgages to our customers than individual annuities.
“We expect this trend to accelerate as more baby boomers retire and choose to access their housing wealth to help fund their retirement, instead of buying an individual annuity.”