Pure Retirement is now offering its Sovereign later life lending products at 2.35 per cent MER, the lowest on the market.

The Sovereign range offers lump sums or a drawdown plan for those aged 55 or over and is open to single and joint applications.

The minimum property value accepted is £70,000 and there is no maximum valuation cap. There is a minimum initial advance of £10,000.

Pure Retirement head of products Brendan Gilligan says: “As a company committed to innovating and enhancing its products, it’s gratifying to be able to offer a new market low rate to consumers and continue to stand out in an increasingly competitive marketplace.”

Earlier this week, Key reported that value of new equity released in the second quarter of this year came to £521m, a 45 per cent drop on the first quarter figure of £949m.