The UK’s later life lending market is undergoing rapid change, and the latest UK Finance figures for Q3 2025 show a sharp rise in borrowing among older homeowners. With demand increasing and financial pressures intensifying, industry leaders are calling for deeper consideration of how suitable the available mortgage options truly are. Below, leading voices from NAEA Propertymark and more2life share their insights on what the numbers really mean for homeowners aged 55 and over.
Mary-Lou Press, President of NAEA Propertymark (National Association of Estate Agents), comments:
“It is positive to see many lenders demonstrating a firm commitment to those who may be aged 55 and over. In previous years, such demographics have typically been underserved with suitable mortgage products that are tailored to their needs.
However, there is a flip side to highlight, and that is openly talking about why there is increased demand within this specific age bracket. We are seeing ever-growing complexities in life, such as cost-of-living concerns and the ability to put aside such sizeable sums of money needed for deposits. The reality is that the pressures many people face in their younger years are contributing more heavily towards not easily achieving a footing on the housing ladder until much later in life.”
Dave Harris, CEO at later life lender more2life, on today’s UK Finance later life lending statistics:
“Today’s figures show strong growth across later life lending, with new loans to older borrowers up more than 18% by number and almost 25% by value in Q3. Lifetime mortgage lending also rose, but only by around 4%. That gap should not be ignored. It raises a clear question over whether enough older borrowers are being shown lifetime mortgages at the right stage of the advice process. These are modern products with features that can suit older clients far better than some mainstream loans, yet the take-up remains modest even as demand for later life borrowing rises at pace. After yesterday’s Budget confirmed higher tax pressure for many older homeowners, advisers must think carefully about how they are supporting these clients and whether they are offering the full range of solutions, including lifetime mortgages.
The FCA’s Discussion Paper made the need for better access to later life options plain, and these figures underline why that point matters. Advisers are central to this. If older borrowers are being placed into mainstream products out of habit, or because lifetime mortgages are not being considered early enough, then we are not getting the most suitable outcomes. The demand is rising, the financial strain on older homeowners is growing, and the product set has never been stronger. Advisers must guide clients through the full list of options, and they must give lifetime mortgages proper attention. Anything less risks leaving older people with mainstream mortgage solutions that do not match their needs.”
