Packagers anticipated that the sector would grow by nearly a third over the next two years while brokers expected volumes to remain stable. According to new figures from the Intermediary Mortgage Lenders Association (IMLA), 91 per cent of packagers believed they would be packaging more business by 2009 with 56 per cent expecting growth in excess of 25 per cent and 30 per cent slightly less. Only 6 per cent anticipated it staying the same, while 4 per cent expected a decline.
However, 67 per cent of brokers anticipated volumes to remain stable with 23 per cent expecting growth and only 10 per cent predicting a decline.
Godfrey Blight, director of IMLA, said: “Packagers are optimistic about their future business prospects and are much more bullish than brokers. However, one thing is clear – nobody expects packaging to go away, as has been predicted in some quarters.”
Technological advancements from lenders were seen as positive by packagers, with 57 per cent viewing them as a benefit. Meanwhile 53 per cent of respondents thought technological developments on the part of lenders would cause brokers to place more business direct.
Andy Pratt, chief operations officer at Alexander Hall, said: “I think there will be steady increases but they will be smaller than in previous years. Going by the amount of remortgages there are, there are more mortgage brokers getting the word out and more lenders will review their options.”
