In its trading update ahead of the publication of its final results on 19 March, MAB said it took a “cautious view” on activity levels for the final three months of 2023 but this was “better than anticipated”.
As a result, its profit is predicted to be higher than the market consensus.
MAB said while UK Finance estimated gross new mortgage lending had come to £226bn in 2023 representing a 28 per cent annual decline in business, MAB’s revenue rose by four per cent to around £239m.
The group saw its adviser numbers fall by four per cent over the period to 2,158 which it said was expected.
By the end of the year, the number of mainstream advisers at MAB fell by eight per cent to 1,918.
MAB said there were signs of increased purchase activity so far this year and written mortgage volumes were “substantially higher” than January last year.
“Whilst uncertainty remains in the wider political and geopolitical environment, current trading is encouraging,” it added.
The group said it was in a “strong position” to capitalise on the market’s recovery.
Mortgage Advice Bureau does not expect to see organic growth in adviser numbers this year, but its appointed representative (AR) firms are predicted to resume recruitment sooner than planned. It said this would lead to a return to previously reached levels of adviser growth by 2025.
MAB said the addition of AR firms saw activity levels rise in the second half of last year and this was set to continue going forward.
“Our delivery of technology, lead generation and retention initiatives are proving compelling, and we expect that to be reflected in our recruitment of new firms this year,” it added.
MAB: A challenging year
Peter Brodnicki (pictured), CEO of MAB, said: “2023 was an exceptionally challenging year with consumer confidence heavily impacted, resulting in many customers deciding to delay their house purchase or refinancing.
“Against this difficult backdrop, I am very pleased with how MAB has significantly outperformed the market. To ensure we are in the best possible shape when market conditions improve, we have continued to invest across the entire group to drive lead flow and deliver optimal business and adviser efficiency.
“There is a great deal to be positive about, and our technology developments and lead initiatives, including the addition of Fluent, have broadened our addressable market and strengthened our growth plans.”
