Legal & General Equity Release Review (2026)

Author profile photo of Clare Townhill
By Clare Townhill Updated 18th March 2026
Disclaimer: Prices and ratings correct at time of writing.

Legal & General is one of the UK’s most established financial services companies and a leading provider of lifetime mortgages. Regulated by the Financial Conduct Authority and a member of the Equity Release Council, L&G offers a range of Moneyfacts 5-star rated lifetime mortgages, including flexible, optional payment and income plans. Known for award-winning products and a strong focus on customer protection, all Legal & General lifetime mortgages come with a no-negative-equity guarantee and flexible options designed to suit different later-life financial needs.

*Updated March 2026*

On this page:

Who is Legal & General?

Types of Legal & General equity release

Is Legal & General a member of the Equity Release Council?

Features of all L&G lifetime mortgages

Legal & General equity release advisers

Next steps

Legal & General Equity Release Review (2026)

legal and general lifetime mortgage Who is Legal & General?

Legal & General is one of the world’s largest insurance and investment management companies and the UK’s leading pension fund asset manager. Founded in 1836, the company provides a wide range of financial products including pensions, investment services and lifetime mortgages.

Legal & General is authorised and regulated by the Financial Conduct Authority (FCA) and is a member of the Equity Release Council.

Membership of the Council means its equity release products must follow strict rules designed to protect customers.

The company has also received several industry awards in recognition of its equity release products. Most recently, Legal & General won Best Provider of Products at the 2024 Equity Release Awards.

It also won Best Equity Release/Lifetime Lender at the 2023 Mortgage Strategy Awards and was highly commended in the Best Equity Release Service category at the 2023 Moneyfacts Life & Pensions Awards.

A note from our expert, Ashley:

This Legal & General lifetime mortgage review forms part of our wider series of equity release provider reviews. In these guides, we assess the leading lenders in the market to help you compare what’s available and decide which option could be right for your circumstances.

Types of Legal & General equity release

Legal & General offers three types of lifetime mortgage, all of which have been awarded a Moneyfacts 5-Star rating.

The Legal & General Flexible Lifetime Mortgage allows you to release either a single lump sum or take smaller withdrawals over time. There are no required monthly repayments, and the loan, plus interest, is usually repaid when the property is sold after you pass away or move into long-term care.

The Optional Payment Lifetime Mortgage works in a similar way but allows you to make voluntary monthly payments towards the interest.

This can help reduce the overall cost of the loan over time, while still giving you the flexibility to stop payments if your circumstances change.

The Income Lifetime Mortgage is designed for homeowners who want to supplement their retirement income.

With this option, you receive an initial lump sum followed by a regular monthly income for a fixed period of 10, 15, 20 or 25 years.

Is Legal & General a member of the Equity Release Council?

Yes, Legal & General is a member of the Equity Release Council.

The Equity Release Council is the industry body that sets standards designed to protect customers using equity release products.

One of the most important protections is the no negative equity guarantee, which ensures that you will never owe more than the value of your home when the loan is repaid.

Membership of the Council also requires providers to ensure customers receive professional advice before taking out an equity release plan.

Features of all L&G lifetime mortgages

The maximum amount you can borrow with a Legal & General lifetime mortgage will depend on your age and the value of your property.

In general, the older you are, the higher the percentage of your home’s value you may be able to release.

Interest is calculated daily and added to the outstanding loan balance each month.

You do not have to make repayments during your lifetime unless you choose to do so.

Instead, the loan is typically repaid from the sale of your home when you pass away or move permanently into long-term care.

All Legal & General lifetime mortgages include the no negative equity guarantee, meaning the amount owed will never exceed the value of your property.

You can continue living in your home for the rest of your life, provided it remains your main residence, and you meet the terms of the mortgage.

Someone else can live with you in the property, although they may need to sign a form confirming they understand the property has a lifetime mortgage secured against it.

In many cases, it is also possible to move home and transfer the lifetime mortgage to a new property, provided the new home meets Legal & General’s lending criteria.

It is important to remember that taking out a lifetime mortgage could affect your entitlement to means-tested benefits, such as pension credit.

In addition, if you receive a fixed monthly income through an income plan, inflation may reduce its real value over time.

Try our equity release calculator to see how much you could borrow

Features of the Flexible and Optional Payment lifetime mortgage

  • With both the Flexible and Optional Payment lifetime mortgages, you can release money either as a lump sum or in smaller amounts over time.
  • The minimum initial withdrawal is £10,000, and any future withdrawals must usually be at least £2,000.
  • Additional withdrawals are charged at the interest rate available at the time they are taken, rather than the rate applied to the original loan.
  • You can repay the loan early if you wish, although early repayment charges may apply depending on when the loan is repaid.
  • With the Optional Payment Lifetime Mortgage, you also have the option to pay some or all of the interest each month.
  • Doing so can help prevent the loan from increasing as quickly over time.

Unique features of the Income lifetime mortgage

  • The Income Lifetime Mortgage allows homeowners to use the value of their property to receive a regular monthly income.
  • You begin with an initial lump sum payment of at least £2,500, followed by monthly income payments of at least £200.
  • These payments can be arranged to last for a fixed term of 10, 15, 20 or 25 years.
  • You can make partial repayments at any time to reduce the amount owed and the interest charged on the loan.
  • It is also possible to stop receiving the monthly income if you choose, although once stopped, the payments cannot be restarted.
  • At the end of the chosen income period the monthly payments will stop, but interest will continue to accumulate on the remaining loan balance until the lifetime mortgage is repaid.

Legal & General equity release eligibility criteria

To qualify for a Legal & General lifetime mortgage, you must be aged 55 or over, and the property used for equity release must be your main residence.

You must own the property, although applicants with a small existing mortgage may still be eligible if it can be repaid using the equity release funds.

The property must typically be worth at least £70,000, or £100,000 for ex-council, ex-housing association or ex-MOD properties. It must also be built using standard construction and located in England, mainland Scotland or Wales.

Legal & General equity release advisers

Legal & General works with The Retirement Lending Advisers, who can provide advice on its lifetime mortgage products and help you decide which plan may be suitable.

This advice service does not charge a fee. However, it is important to understand that the advisers only recommend Legal & General products and do not compare plans from other lenders.

Because of this, some homeowners may prefer to speak with an independent equity release adviser who can assess plans from a wider range of providers.

For example, Age Partnership offers advice on schemes from several leading UK equity release providers, including Legal & General. This can help you compare different products and find the most suitable option for your needs.

Next steps

If you are considering equity release, the next step is usually to compare providers and estimate how much equity you may be able to release from your home.

You can do this using an equity release calculator, which provides an estimate based on your age and property value.

You may also wish to speak with a specialist adviser who can explain the costs, risks and alternatives before you make a final decision.

Equity release is a long-term financial commitment, so it is important to ensure you fully understand how it works and discuss the decision with your family before proceeding.

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Ways to contact us

Call 08001337380
Call 0800 368 8466
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Email us
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