The equity that consumers have built up in their home should not be considered as an alternative to adequate pension planning, one adviser has stated.

Darren Carter, managing director of In Retirement Services, has asserted that equity release has provided a valuable source of income for a comfortable retirement for many people across the UK.

However, he adds that some people might fall into the trap of relying too heavily on home reversion, putting themselves at financial risk.

"Unfortunately, this fundamental misunderstanding could result in many people not funding a proper pension plan and failing to secure a proper standard of living at retirement," Mr Carter told IFAOnline.

Meanwhile InTune, a subsidiary of Help the Aged, has called for an increased number of informed equity release advisers who it asserts can help people to make sure they make the right decisions regarding the financial treatment of their property.