Philip and Theresa May.

Here’s an interesting possibility, mentioned today by a commenter to This Site:

“The other commercial opportunity: the dementia tax is a stealth incentive to take out equity release mortgages.”

I had to look up what an equity release mortgage is; being in social housing, I haven’t had the opportunity or the need to find out about this particular financial product. Here’s what I found, courtesy of moneysupermarket.com:

With a lifetime mortgage, you take out a loan, secured on your property, and receive that amount as a tax-free lump sum. You do not usually make monthly repayments. Instead, the interest “rolls up”, and the loan plus interest is repaid after your death, when the property is sold.

With a home reversion plan, you sell all or part of your home in return for a tax-free lump sum and a guaranteed lifetime lease, with no monthly repayments to meet. After your death the house is sold, so the lender gets back its percentage share.

The only difference between this and the Dementia Tax is that, with the Dementia Tax, homeowners would buy an insurance policy instead of taking out a loan – guaranteeing that no money returns to any family member after the death of the homeowner.

(Or so it seems to me.)

The commenter adds: “This fast-growing market is dominated by Legal and General in the UK (29pc market share), of which a major shareholder is Capital Group, of which a key UK executive is Philip May, husband of Theresa May.”

Mr May is certainly a Capital Group shareholder, as described in this Guardian article. The headline may be a candidate for the Graun‘s ‘corrections and clarifications’ column because Capital certainly holds shares in Legal and General, and if L&G ends up selling the “products” the Conservative Party claims will be available for people facing the Dementia Tax, then it seems unlikely he has taken the “back seat” after all.

Perhaps he is a back seat driver?

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