The number of UK mortgage advisers is set to fall as fewer people join the sector as many retire, research from PRIMIS suggests.

In a survey of appointed representatives across the UK, it was found that almost two thirds (63%) believe there will be a drop in adviser numbers in 2025, with 37% expecting the industry to grow in numbers next year.

PRIMIS stated that this split was likely a reflection of firms’ customer bases.

Sales director at PRIMIS, Claire Madge, said: "Our advisers report a really varied picture. In some parts of the country, customers are much more exposed to affordability constraints. In others, purchase and remortgage values are higher and income, therefore, more lucrative.

"Each firm has its own focus and business model to suit the customers they cater to and that means they experience different parts of the market - from high value loans and fewer transactions all the way through to writing more business at a lower margin."

She went on to say that some parts of the market were holding up more strongly due to the type of demand and typical wealth in the area.

Advisers in the North of England were slightly less optimistic about the number of intermediaries working in the mortgage sector rising next year, with 66% saying there will be fewer.

However, those in the South were more positive, with 61% of those surveyed stating that the number of advisers will contract over the next 18 months.

Madge added: "There is no doubt that it’s been a tough couple of years for borrowers and that has affected brokers. But whether our industry grows or not is of less relevance to advisers who run their businesses, as they know only too well.

"It’s much more important to focus on how efficient processes are, maximising profit margin on every piece of business written and having robust compliance taken care of so advisers can concentrate on what they’re good at. That’s where being part of a network which has your back is worth its weight in gold – especially at a time when regulatory requirements are coming in thick and fast."

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