According to a survey conducted by the Intermediary Mortgage Lenders Association (IMLA), more than 60 per cent of brokers said that they submitted between 10 and 25 per cent of their business via packagers, with 6 per cent submitting more than 50 per cent of business via this route. Only 2 per cent submit all business via packagers.
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Despite this, it is anticipated that business submitted via packagers is expected to increase only slightly over the next two years. Almost a quarter of brokers said that they expected the level of business via packagers to increase, with two-thirds expecting it to remain stable. A third of advisers generally only submit business through one packager while 56 per cent will use two or three.
Peter Williams, executive director of IMLA, said: “The majority of brokers expect to continue submitting a steady stream of business via packagers and a further 23 per cent plan to increase the volumes they submit. This provides tangible proof that brokers value the service packagers provide.
Those predicting the demise of the packager should think again.”
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Eddie Smith, director of operations at the Alliance of Mortgage Packagers & Distributors (AMPD), said: “These are interesting statistics. My experience is that most brokers would rather go via a packager that understands the process than go through a lender that doesn’t completely understand the process.”
