Countrywide financial services director Nigel Stockton has warned the industry is facing a broker recruitment crisis.
Speaking at the Financial Services Expo in London last week, Stockton warned lenders will be sweeping up qualified brokers in the run-up to the mortgage market review, when most non-advised sales will be banned. The rules require every mortgage adviser and salesperson to hold a relevant mortgage qualification.
He said: “We are facing a recruitment crisis and it is going to get worse with the MMR. Lenders will pick and choose the CeMAP qualified guys and I think we are all in trouble in that regard.
“If I were to say anything to brokers at the moment I would say go out hiring, hire now, recruit them and keep them. And then your business will grow because the market will grow next year.”
From 26 April lenders will not be able to conduct non-advised sales, except where a borrower wants to make small contract variations or wants to take out a retention product. However, the FCA will allow pipeline applications to continue on a non-advised basis for three months after the introduction of the MMR as long as they are received before 26 April.
Trinity Financial product and communications manager Aaron Strutt says: “I am not sure if it is that tempting to be an in-house bank broker at the minute, and be tied to a bank’s mortgage rates. With the biggest brokers offering all sorts of incentives to get recruits on board the banks will have to make pretty generous offers to lure them away from that.”