Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.
Brokers urged not to surrender vanilla mortgage business
Senior mortgage industry figures have warned advisers against handing straightforward, "vanilla" mortgage cases to lenders or technology, arguing that broker business models must adapt to the evolving market without giving up simpler business.
The debate took place during a panel at Mortgage Solutions' British Mortgage and Protection Senate (BMPS) 2026.
Will the middle of the market be squeezed?
Panel moderator Jamie Hurst, publishing director at AE3 Media, asked whether the middle of the market could be "squeezed" by technology — with large firms dominating by leveraging lender relationships, while smaller boutique firms focus on complex cases.
Mark Harrington, CEO of L&C Mortgages, said this was possible, but that what mattered was ensuring the journey works for customers regardless of complexity. He suggested advisers may need a different skill set as clients arrive better informed, and that this could separate specialist cases from business that could go straight through — though the value of advice would remain, provided customers know which route they are choosing and why.
Clare Beardmore, director of mortgage club at Legal & General, said brokers have already proved their value in times of uncertainty. She said AI could not replace that, but would make advisers more efficient, with the human explanation of why clients need to act remaining important. She added brokers will also be valued for protection and later life business, and for cases where consumers feel unable to get a mortgage.
"I'm not letting a single vanilla case go anywhere"
Peter Brodnicki, CEO of Mortgage Advice Bureau (MAB), cautioned against firms passing on simpler business, saying there appeared to be "a little bit of a surrender going on" — with vanilla cases going to lenders and complex cases to brokers. "I'm not letting a single vanilla case go anywhere," he said. Beardmore agreed, saying: "We should not give up on the vanilla."
Making technology work for advisers
Brodnicki said the sector should accept that automation is coming, and that firms face big decisions over whether to build, buy or lease technology — decisions not all business leaders are best placed to make while AI develops so quickly.
Harrington said advisers would need to become more productive as AI becomes more prevalent, and that the right investment decision depended on "trusting the people around you". L&C is currently building its own CRM, and Harrington stressed it must serve clients as well as advisers, asking whether the industry is genuinely making things better for the customer.
Reimagining business models
Asked whether current levels of distribution were sustainable, Brodnicki said firms will need to review their propositions and extend their reach, arguing that firms "can't just be a transactional business" and must extend their business models.
Source: Mortgage Solutions