Pure Retirement has cut the interest rate on the Pure Drawdown Plan.

This scheme was one of the two main products launched when it entered the equity release market a year ago.

The Pure Drawdown Plan interest rate has been reduced by 43 bps to 6.59% monthly (6.79% annual). The equity release provider says it is passing on to clients the full benefit of recent reductions in the cost of its funding.

Pure Retirement’ has seen nearly 1,000 advisers register with it during its first year of operation and current levels of new equity release lending that give it a 5% market share.

Paul Carter, CEO of Pure Retirement, said: “We have had an incredibly successful first year, far above our expectation, and I am delighted that we have been able to serve so many intermediaries and their clients. We were immensely proud to be the first new provider to enter the market for more than three years, and launched after carefully listening to what intermediaries did and did not want from a new lender.

“With approaching 1000 intermediaries now registered to do business with us, it is superb to know that we have offered something new and distinctive that the market has responded to.

“We are pleased to offer an even more competitive rate on our flagship Pure Drawdown Plan from today and maintain our competitive fee free offer.

“We are looking forward to building on our success to date by offering even more to the market in 2015.”