Billion Pound Industry - UK mortgage broker sector to...

Property lending experts, Octane Capital, claim the UK’s mortgage brokerage market is estimated to increase by 12%. That would mean the industry would be worth £2 billion by 2025.

Currently, 580 mortgage broker businesses with a market value of £1.78 billion exist in the UK. That puts the average revenue of each business at around £318,584.

Mortgage broker businesses

Octane Capital report that over the past decade, the number of businesses has increased by 23.9%.

The total market value has also increased by 100.7% during this same period. As a result, the average revenue per business has increased by 61.9%.

The Covid-19 pandemic is said to have helped the mortgage broker industry. During this time there was in face a 9% increase in the number of active businesses in this secure.

The market value also saw growth of 13.2%, while revenue per business has grown by 3.9%.

Although other industries have collapsed during a time of economic crisis, this industry has remained resilient.

Octane Capital forecasts a 4% business increase. This would push the total value of the market up by an estimated 11.9%, allowing it to reach £2 billion.

The average revenue of the individual mortgage broker is also predicted to increase by 7.6%.

Chief executive officer of Octane Capital, Jonathan Samuels, commented: “The mortgage sector is the backbone of the UK housing market and so it’s hardly surprising that we’ve seen such phenomenal growth, not just during the pandemic property market boom, but for a sustained period of time.”

“Of course, the current outlook for the market is far from that of recent years and we expect some turbulent times ahead.”

“However, we’ve also seen how the property market has defied wider economic turmoil time and time again and even in the current landscape, we expect the mortgage sector to post further positive growth over the coming years.”