New research from equity release lender More 2 Life has revealed that 79% of advisers have been unable to find a retirement lending solution for a client at some point.

The main reasons that advisers are struggling to find relevant products are LTVs being too low (54%) or lending criteria being too restrictive (24%).

The research also revealed that 10% of advisers said they were unable to find a solution due to client age restrictions, either because they were too old (5%) or too young (5%) – even though the average age of a retirement lending client is 65.

More 2 Life’s Retirement Lending Report also shows that 62% of advisers have encountered older or retired clients who have been refused credit, specifically because of their age. More than 50% of advisers said that this is a common problem they face.

To meet the demand from their clients, over a quarter of the advisers surveyed said that they would like to have access to better interest repayment mortgages or interest repayment mortgages with lower Early Repayment Charges (ERCs).

20% of advisers wanted more lifetime mortgage products with higher LTVs, and 16% asked for more general flexibility surrounding repayments and lending criteria, allowing for changes in personal circumstances.

Dave Harris, managing director at More 2 Life, said: “Advisers should make unlocking equity part of a holistic retirement plan for their clients. Intermediaries need to ensure they are educated and informed. However, our Retirement Lending Report highlights the problems that advisers are facing when trying to meet the needs of their later life lending clients.

“In order for the market to grow, the industry needs to develop more flexible products that can be tailored to a client’s changing retirement needs. We also need to raise awareness and promote the benefits of retirement lending among advisers and their clients.

“The FCA and trade bodies also need to work together to raise awareness of the market externally and highlight the innovation taking place as we look to attract a diverse range of funding. This will allow lenders to invest in retirement lending solutions and develop innovative new products that can meet the needs of the UK market.”