View more on these topics

Premier closes as Brain misses corporate target

Mortgage Brain has shut down packaging arm Premier Processing after 18 months after failing to generate enough business from corporate clients.

The company set up the packager to allow customers, including Royal Liver, to outsource their mortgage business and get help in establishing themselves in the market.

But Mortgage Brain director Mike Green admits the client base, which also included a number of unnamed mortgage networks, failed to submit enough cases for Premier to profit.

Mortgage Brain and then owners Nationwide, Halifax and Alliance & Leicester tried to turn round the packager&#39s decline last October with a new business plan.

But Green says by the start of the year it was clear that the plan was not working and made a joint decision with the lenders to close the business down.

Green blames the closure on Mortgage Brain overestimating the demand among its corporate customers for a company that would handle their mortgage cases as well as loan sourcing and consultation. He says Premier&#39s format also hindered Mortgage Brain&#39s ability to market it properly.

Green says: “It was a business that we thought there was a need for as part of our overall offering but there was very little take-up of it. It was simply an experiment that went wrong.”

Mortgageforce managing director Rob Clifford says: “When one of the market&#39s leading corporate players cannot make the packaging model work I think it demonstrates it is pretty shaky.”


Isis technology VCT axed as it falls short of target

Isis technology became the third VCT to be pulled from the market in less than a month on Monday, having raised just £309,000 since it was set up four months ago.The fund, which had aimed to raise £25m, was one of only two remaining VCTs not to have reached its minimum subscription and should be […]

BSA predicts market will remain strong

Net lending by building societies rose to £569m last month from £448m in December 2001, says the Building Societies Association.The BSA says this increase is a sign that last year&#39s strong growth in the housing market is set to continue after the Christmas break, despite gross advances falling slightly from £2.14bn to £2.11bn.In the savings […]

Appointments at Royal London

Royal London has announced the appointment of Chris Ide as chief executive of its retail operations. Ide joined the mutual in late 2000 and has been leading the provider&#39s push into new markets and methods of distribution.Before Royal London, Ide headed up Swiss Life&#39s European division based in Zurich. Prior to that he was Swiss […]

Porteus re-elected as Sofa chairman

Sofa has re-elected John Porteous as is its chairman for the next year and appointed two new vice-chairs. Phil Billingham Associates chairman Phil Billingham and Informed Choice managing director Nick Bamford will serve as vice-chairmen for the forthcoming year, taking over from Keren Milton and Richard Anderson. Billingham has been a Sofa director since 1999 […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm