to customers had little or no bearing on interest rates and more focus was on Market Share from the Big 6. As lenders continue to battle for Market Share, often the consumer wins. Sales of Product transfers again seemed to have outstripped “New Business” for many firms and calls to increase PT Proc Fees have fallen on deaf ears – indeed the opposite has happened at Lloyds Banking Group. So whilst many clients will have appreciated the work of their Adviser during 2025 when it came to their Mortgage, there are signs ahead that change is in the offing. Mortgage and Protection Outlook for 2026 What we do know is that the mortgage market will continue to be different in 2026. The bigger Lenders have been lobbying the FCA to allow them to deal with customers on their books of business wherever they have come from, and the removal of the advice interaction trigger for existing borrowers is proof they have been successful. The rule to signpost consumers to advisers has now gone. The FCA’s recent Discussion Paper also talks at length about more direct contact with consumers. It gives the impression that AIdriven mortgage journeys are acceptable, as long as the outcome looks reasonable. Emails, letters and texts are going out to existing borrowers well ahead of renewal dates. These messages do not mention advice. They do not mention the Adviser who placed the original loan, and so it is incumbent on firms to reinforce as much as possible the value of independent whole of market advice. Clearly any trigger to “cut out” the intermediary in the mortgage advice process will have “knock on” effects with other ancillary sales, namely Protection and General Insurance. Mike Allison Director of Protection Paradigm Protect Protection Market Update 04 WINTER PROTECT NEWSLETTER Welcome to the latest edition of the Paradigm Protect Newsletter! As we approach the end of the year, whilst looking forward to a well-earned break for most of us we inevitably turn our thoughts to what next year will bring...but to dwell on 2025 for a few seconds, it has been a great year for Paradigm Protect, thanks to all of you! We believe our proposition remains marketleading because we avoid loaded Premium Panels and do not restrict consumer choice through multi-ties, both of which positively impact recruitment numbers. With the FCA shining a spotlight on the protection market, we believe that limiting choice (and therefore not achieving the best possible outcome for consumers) is contrary to the principles of fairness. Clearly many of you agree which is one reason we believe why our network of supporting firms continues to grow. Multi – ties offer little gain in commercial terms and often higher “up front” commission comes at the expense of renewal commission making some deals better for Insurers and distributors but not customers. Our volumes are linked by many firms we work with to the performance of the mortgage market and it has been an interesting year in that world! At times it seemed that rates offered
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