The Equity Release Group (ERG) has reported "strong growth" in Q1, as case volumes jumped by 11.1% year-on-year.

The expert group said that while the market remains broadly flat for new customers and overall customer growth remains limited, firms with stronger infrastructure, technology and advice processes are better place to improve conversion and grow market share.

Founder and chief executive officer at ERG, Mark Gregory, stated that while the market has not necessarily grown in terms of new customers, "it is becoming more mature".

He added: "The firms that are converting demand most effectively are those with the right advice model, technology and operational infrastructure

"Our growth reflects the strength of our model, combining whole of market advice with advanced technology and a diversified ecosystem."

ERG has also reported a shift in consumer behaviour, with more varied and needs-based use of equity release products, as rising demand for greater financial flexibility in retirement continues in the year.

The firm has reported that debt consolidation rose by 7.5% year-on-year, while gifting to family also increased in this period, reinforcing the "continued importance of intergenerational financial support".

Home improvements remained the largest single growth driver in the equity release market, although it reduced slightly year-on-year, which ERG said suggests a broader mix of motivations amongst customers.

In its advice sector, the firm reported that 60% of all cases are over the telephone, highlighting a "clear preference for speed and accessibility" among customers, while the data also pointed to a more balanced distribution mix overall, reducing reliance on any single acquisition channel and supporting consistent lead flow.

Gregory concluded: "Customers are increasingly using property wealth in more flexible ways, whether that be to manage existing financial pressures or support family members. Financial decisions are no longer for one sole purpose but are part of a wider financial planning conversation.

"In a market that is currently relatively flat, growth comes from doing things better, improving accessibility, increasing efficiency and delivering consistently high-quality advice.

"Our focus remains on making equity release more transparent, accessible and easier for both customers and advisers to navigate."

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