Press releases

Legal & General enhances later life lending proposition with new features and product developments

Legal & General Home Finance has launched two new lower LTV variants to its Flexible and Optional Payment Lifetime Mortgages. Today also sees the extension of its Lifetime Mortgage offer validity to 90 days, following adviser feedback. The business is reducing interest rates across its Lifetime Mortgage range by up to 0.30%.

2 Feb 2023


Full press release

To meet changing customer needs and respond to adviser feedback in a fast-paced market, Legal & General Home Finance has announced improvements to its Lifetime Mortgage range, which come into effect tonight. These changes are:

New LTV variants

Legal & General Home Finance has launched two new LTV variants to both its Flexible and Optional Payment Lifetime Mortgage ranges. These will be the lowest LTV products available across its product range and will be priced below its current Graphite and Black products. They will offer LTVs from 3.5% at age 55.

Offer Validity Period

Following adviser feedback, and to give customers an added layer of reassurance and protection, from tonight all lifetime mortgage offers will be valid for 90 days – an increase from the 50 days offered previously. The extension will provide peace of mind to customers and advisers and will be particularly helpful to those taking out a lifetime mortgage while buying and selling a property, as well as customers remortgaging in more complex situations, such as those involving divorce or matrimonial considerations, trusts and wills, and title issues.

Lifetime Mortgage rates

Legal & General Home Finance is also reducing interest rates across its lifetime mortgage range by up to 0.30%. These will be available for all customers from tonight.

Craig Brown, CEO, Legal & General Home Finance: “Since we entered the lifetime mortgage market in 2015, we’ve been committed to innovating, championing choice and driving good customer outcomes for people looking to benefit from accessing their property wealth. We are constantly listening and onboarding adviser feedback, looking at ways that our products can change to reflect customer needs. These improvements are a direct response to this feedback and will better support the needs of our advisers and their customers.

“Lifetime mortgages continue to be an effective modern financial planning tool. We want to help support advisers who play an increasingly important role in helping homeowners to understand if a lifetime mortgage is a suitable solution to support their financial planning, supplement their income or to improve their home in a sustainable way. Our new product enhancements provide greater peace of mind around the interest rate they will be able to secure on their lifetime mortgage.”

Legal & General Home Finance recently also made a series of key product announcements to enhance its Lifetime and Retirement Interest Only mortgage products offer, including enhancing its Energy Saver Cashback offer, underwriting criteria changes to its Lifetime and Retirement Interest Only mortgage products, as well as extending its Downsizing Protection to include customers moving outside of the UK.

Further information

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Claire Byrd

Senior PR Manager

Legal & General Retail

Notes to editors

Established in 1836, Legal & General is one of the UK's leading financial services groups and a major global investor, with over £1.2 trillion in total assets under management* of which 39% is international. We have a unique and highly synergistic business model, which continues to drive strong returns. Legal & General provides powerful asset origination and management capabilities directly to clients, which also underpin our leading retirement and protection solutions. We are a leading international player in Pension Risk Transfer, in UK and US life insurance, and in UK workplace pensions and retirement income. Our purpose is to improve the lives of our customers and create value for our shareholders. Through inclusive capitalism, we are investing in long-term assets, such as real estate and infrastructure, that can help build a better society for the future.

Legal & General Retail helps create brighter financial futures for all our customers. The division covers the savings, protection and retirement needs of our c.13 million retail policyholders and workplace members.  

In 2022, we had total individual annuity sales of £954 million, and issued £632 million of Lifetime Mortgages and Retirement Interest Only Mortgages. Our Workplace pension platform served 4.9 million members, while our Protection businesses gave peace of mind to more than 6.3 million UK life insurance, 1.8 million group and 1.5 million US customers, taking in £3.1 billion of gross written premiums.

*at 31 Dec 2022