Taking place at Brooklands in Surrey, the invitation-only event for senior leaders in the specialist lending space – be they lender, broker, network or club – included sessions on strategies to embed AI, deep dives into bridging and BTL and lender insights on how to unlock growth in the specialist lending market.
Find our thematic highlights of the key areas that were discussed below.
Companies should create data strategies not AI strategies
AI is already impacting the mortgage market, but there are misconceptions that using Copilot or similar tools to write emails or employing a chatbot is leveraging the full gamut of what this technology can offer.
The real opportunity is in data-driven AI, which can lead to better risk assessment and credit decisioning, time series forecasting and better recommendation systems for customers.
However, companies should not create AI strategies; they should focus on creating a data strategy first and foremost, as AI cannot operate effectively without clean and well-structured data.
AI can now take unstructured data like PDFs and convert it into data that can be used in models.
Brokers need to look at the data that they have, ensure is it standardised and stored effectively and capture outcomes to make the most of what AI can offer.
Proprietary data that firms hold is the true ‘gold’ and can offer a real competitive advantage, as this won’t be in a large language model (LLM).
Where firms are having the greatest success with AI is in back-office workflows, document handing and operations and compliance, but the key is to focus on what the business goals are and what the problems are and whether some sort of AI or machine learning could address those.
It is crucial to be open-minded when it comes to using AI, as most projects will fail due to people and change management, not the technology.
Bridging market already seeing impact of bridging lender failures
Century Capital and Market Financial Solutions entering administration is already having impact on the bridging market, and it is key to establish the contamination risk sooner rather than later.
There have been some localised impacts in markets like Prime Central London, some brokers have said.
The fallout means brokers have to do even more due diligence on lender funding lines, looking at how diversified they are and what contingency options are in place.
Relying on price alone for recommendation for bridging is a “disservice” to clients, with lender suitability for certain asset classes, speed and deliverability, and relationships and communication being vitally important.
There was debate around whether brokers should have to do some kind of qualification for development and bridging, as currently there is no mandated exam and poor advice can lead to bad customer outcomes and reputational damage for the sector.
Attendees also said that trade body the Bridging & Development Lenders Association (BDLA) would be key in advocating for the sector in terms of education requirements, rather than the Financial Conduct Authority (FCA) coming up with a “one-size-fits-all solution” that could stifle the innovation and flexibility that the sector prides itself on.
There was also discussion around “red flags” for customers, such as cases having been shown to lenders by multiple brokers, borrowers with no experience wanting to do complex schemes, unrealistic gross development values and low-balled building costs and weaker exits.
Brokers should not be afraid to question their customers, get a clear understanding of lenders’ appetites and strengths and be aware of potential pain points early.
High street lender risk appetite will curb expansion and specialist lender USPs will set them apart
High street lenders have always eyed the specialist lending market and dabbled in it to a degree, but there are limits with their risk appetites around credit risk and borrower type.
Lenders that are really a concern are the ones that can operate in both the mainstream and specialist spaces.
However, specialist lenders’ USPs around manual underwriting taking a more holistic approach with borrowers, access to underwriters and “surety, certainty and reliability” will continue to set them apart.
When asked what barriers are holding back lenders when trying to expand their target audience, some pointed to data, while others said trying to retain the “DNA” of the consumer approach and scaling was a factor.
Funding and technology upgrades were also cited as potential barriers to expansion.
A key takeaway was for specialist lenders to “stick to your knitting” but also “push the parameters”.
BTL market expected to hit pre-pandemic figures
Estimated figures for the BTL market are expected to come to £44bn in 2026 after a slower start to the year, as pipelines were smaller coming into the year due to lower activity from Budget uncertainty in the last period of 2025.
Industry figures then suggested that BTL lending would rise to £46bn in 2027.
This is in line with prior-year figures from 2018 to around 2021 and would be considered a “good market result”.
The “noise” around the Renters’ Rights Act will also dissipate somewhat, as measures from phase 1 – which is due to come into effect from 1 May – come into force.
Measures in this include the abolition of Section 21 evictions, existing assured shorthold tenancies (ASTs) moving to periodic tenancies, rent being restricted to one increase every 12 months, no rental bidding and no rent in advance.
However, there was concern around the roll-out of the private rented sector database, which is in phase 2 and due to come into effect on 1 October, as well as the set-up of the Landlord Ombudsman Service and how the latter would impact rental appeals.
Social media will make advice even more important
More borrowers are starting their mortgage journey on social media, making it crucial for those on the mortgage sector to be present in these spaces.
However, the focus of content should be on education, rather than promotion. For instance, focusing on mythbusting and real-life case studies.
It can also help nurture customers early and get them mortgage ready, rather than solely being for immediate leads.
Social media should point consumers to advice and should not replace it.
Delegates said social media made advice even more important, as while the information was out there, people still wanted to talk to someone before going ahead with a mortgage.
Mortgage industry needs to be involved in financial literacy roll-out
There was strong agreement that financial literacy needed to be compulsory in schools and should focus on real-life money skills.
The industry should be involved in this, and while there are some brokers and lenders sending learning and development teams into schools, it is on a local scale and should be national.
Better financial literacy can also help reduce the stigma around specialist lending, as more people will be aware that there are solutions available to cope with financial blips and are less likely to become a specialist lending customer by accident.
Embedding financial literacy could also help to encourage careers in mortgages and financial services.
