A spokesperson for NGM said the firm had undertaken a strategic review and decided that its networkone AR proposition was not the best way forward for its business. NGM has entered into a formal business arrangement with PMN whereby it will continue to package all mortgage cases for PMN.
Although the FSA register shows networkone only has three AR member firms, NGM said it still has ARs going through the pipeline and could have as many as 50 members in total that will transfer over to PMN. The FSA register (as of 3 November) reveals PMN currently has 23 AR member firms.
The NGM spokesperson said: “NGM is currently planning a number of business opportunities such as entering the equity release market. We only have so many resources so we had to make a strategic decision and decided the AR proposition just wasn’t for us.
PMN has a very good proposition and we found it the best network for our ARs to move across to.”
Dale Knight, managing director of PMN, commented: “Part of our strategy is to look at the smaller networks and see what opportunities are there. We have good compliance systems in place so transferring these ARs over to us should not be a problem.”
Tony Jones, managing director of Pink Home Loans, said: “This is the start of a trend as smaller networks have found they may not have the AR numbers they were initially expecting. But purchasers have to be cautious and check the quality of the brokers they are taking on from other networks.”
