People who opt to release equity from their property typically do so in order to fund home improvements, new research has suggested.

Norwich Union polled its customers about the practice and it found that 29 per cent of those accessing their dwelling's value through such a scheme were doing so in order to make home improvements.

The government has made energy efficiency a national priority and the latest research suggests that many people are heeding calls for sustainability by investing in green technologies such as double glazing insulation.

However, there are also indications that a large number of Brits are relying on equity release to pay off debts - something that Dominic Fraser-Smith of Norwich Union said marked a worrying trend for retirees.

"This then highlights the need to rethink traditional retirement planning options, as many can no longer rely solely on the traditional pension pot for their later years," he commented.

Other popular reasons for equity release were improving general living standards (27 per cent) and lavishing gifts on friends and family (12 per cent).


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Author:  Joanne McCabe

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