The Financial Conduct Authority wants to simplify the rules around mortgages. In principle, that makes sense. Who wouldn’t want a system that’s faster, easier to navigate, and more straightforward for buyers seeking to get their first home or move up the ladder?
But there’s a difference between removing red tape and removing the parts of the process that actually support people. Advice – proper, regulated, human advice – is one of those parts.
REASONS WHY
We understand why the FCA is trying to make changes. The mortgage market is full of friction points that cause challenges for everyone involved. It takes months to move from offer to completion, with delays, paperwork, and clunky systems that for those not in the know seem unfathomable, and for even those of us working in the industry are frustrating. What we hope is that by speeding things this doesn’t mean sidelining the people who make the process meaningful.
What is at stake here isn’t just efficiency but outcomes – the outcome of owning a home. The reality is that consumers don’t make better financial decisions simply because the form is shorter or because the journey feels slicker. They make better decisions when they understand their options and someone has taken the time to talk them through what’s possible, what’s sensible, and what’s risky. That’s where advisers come in.
COMPLEXITY CAN’T BE AVOIDED
The mortgage market is full of complexity as all advisers, lenders and buyers know. Looking at our own system we know thousands of products, changing criteria, fluctuating rates, and personal situations that rarely fit neatly into drop-down boxes. Whether it’s a first-time buyer trying to understand whether to fix for two or five years, or someone self-employed to make sense of how their complex income may impact their ability to get a mortgage and to what extent, these aren’t just technical queries, but emotional decisions tied to life goals – buying a home, starting a family, and finding stability. Decision-making like this doesn’t happen in a vacuum but through dialogue, explanation, understanding and trust. An app might help someone compare products, but it can’t pause to answer a worried question or explain why one option might be more suitable over the long term. That’s the job of an expert and experienced adviser who knows what they are doing. Without them consumers without the relevant expertise, could be making the wrong decisions or not accessing products that are better suited to them and their financial ambitions.
REASSURANCE REQUIRED
There’s a lot of talk in our industry and others about execution-only journeys and digital self-service. Of course technology and apps have their place and we understand people want to browse online, run their own comparisons, and get a feel for the market before committing to such a major decision. But most still want the reassurance of a human voice when it comes to signing on the dotted line and handing over their hard earned cash. It’s a big commitment – and they want to be sure and feel confident that the decision they’re making is one they’ll still be happy with in five or ten years’ time. For that, advice is irreplaceable.
We also need to think about fairness. Some people have the time, language skills, and financial literacy to navigate the system solo – but not all do. There’s a certain privilege with that. If the rules shift in a way that assumes everyone can and will go it alone, we risk building a system that benefits only a portion of the population. People with more complex financial lives – gig workers, carers, those juggling debt or trying to re-enter the property market later in life – are the ones most likely to fall through the cracks. For many people advice is a lifeline.
FOCUS ON OUTCOMES
The FCA’s own Consumer Duty places an emphasis on outcomes. They know that it’s not about ticking boxes, but making sure people truly understand what they’re signing up for, and that it works for them in the long run. That’s a high bar – and rightly so. But it’s not one that tech alone can meet. If we want to reduce complaints, prevent regret, and build lasting trust in the mortgage market, advice has to be part of the answer, with humans built into every stage of the process.
That’s why we believe the future lies in a hybrid model. Let tech do what it does best: speed, search, sorting. But let advisers do what only humans can: listen, interpret, empathise, and guide. It’s not about choosing between digital or personal but rather about building a system that reflects how people actually make decisions – with a mix of curiosity, caution, ambition, and anxiety. Especially when those decisions are about the homes they live in.
If the FCA is seeking to fix issues and simplify the bits that are needlessly complex this is the right move. But it’s crucial not to confuse simplicity with relevant and helpful support. Because support is what gives people clarity. And clarity is what leads to confidence. That’s what good advice delivers and what home buyers around the country need.
