Canada Life cuts lifetime mortgage rates by up to 0.79%

The Lite, Gold and Gold Plus products have seen reductions of between 27 and 79 bps, with Lifestyle Lite rates now starting from 3.12%.

The largest reduction is for the Gold Plus, where the rate has dropped from 5.59% to 4.80%.

Canada Life’s Lifestyle Options range allows customers to borrow up to £1 million against their property and offers a tax-free, one-off initial cash advance, with interest on the loan rolled up and added to the mortgage balance each month.

Alice Watson, head of marketing at Canada Life, said: “We’re pleased to announce a series of interest rate reductions on one of our lifetime mortgage product ranges. The changes apply to products in our Lifestyle Options range, which are particularly popular with people looking for a low interest rate or a high LTV.

“As with all our lifetime mortgage products, the Lifestyle Options range allows people to continue living in their homes, whilst releasing the money tied up in their property. This unlocked capital can boost retirement pots, pay for home improvements or even fund a holiday.”