REG - Mortgage Adv. Bureau - AGM Statement

Mortgage Advice Bureau (Holdings)Announcement

24/05/2023 07:00

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RNS Number : 4155A  Mortgage Advice Bureau (Hldgs) PLC  24 May 2023

24 May 2023

Mortgage Advice Bureau (Holdings) plc ("MAB" or "the Group")

AGM Statement

Mortgage Advice Bureau (Holdings) plc (AIM:MAB1.L) will hold its Annual
General Meeting at 2pm today during which the Non-Executive Chair, Katherine
Innes Ker, will make the following statement:

"In an ongoing challenging environment, we continue to demonstrate the
strength of MAB's model and resilience in adviser numbers and mortgage
completions against a significantly weaker market backdrop. This positions the
Group well for subsequent market recovery.

"Our Adviser numbers have stabilised in Q2 at 2,122(1) advisers on 19 May
2023.  We expect our existing Appointed Representative firms to start growing
their adviser numbers again later in the year, most likely as consumer
confidence improves further when there is more certainty around the outlook
for mortgage interest rates and our firms can plan with a greater degree of
certainty.  Our pipeline of incoming new Appointed Representatives has grown
strongly this year.

"As expected, the value of completions in the wider market was slower in Q1
2023 with a 21% reduction in new mortgage lending(2) compared to last
year.( ) MAB's total mortgage completions for Q1 2023 were broadly stable at
£5.8bn (2022: £5.9bn).  Our new mortgage completions were £4.4bn (2022:
£4.9bn) with the balance of £1.4bn (2022: £1.0bn) being Product Transfers.
We have continued to grow our market share, which has been achieved despite a
reduction in the number of advisers since Q4 2022.

"During the six months following the mini-budget, new mortgage approvals
across the market were down by as much as 40% versus the prior year.  There
are early signs of increasing activity and mortgage approval levels have now
gradually started to improve, but remain significantly lower than for the
equivalent period last year.

"MAB's performance, despite challenging market conditions, remains in line
with the Board's expectations with further improvement expected in the
second-half of the year."

 

(1) Includes 139 Fluent advisers as at 19 May 2023 (76 advisers in the first
charge mortgages division, 49 in the secured personal loans division, 8 in the
later life division, and 6 in the bridging finance division). Includes a total
of 183 advisers at 19 May 2023 who are later life advisers or advisers in
directly authorised firms that use MAB's subsidiary, Auxilium, a specialist
protection service provider, for protection. For both later life and directly
authorised advisers the fees received by MAB represent the net income received
by MAB as there are no commission payouts made by MAB.

(2) UK Finance, product transfer lending figures not available until 7 June.

 

Enquiries:

 Mortgage Advice Bureau (Holdings) Plc                             Tel: +44 (0) 1332 525007

 Peter Brodnicki - Chief Executive Officer
 Ben Thompson - Deputy Chief Executive Officer
 Lucy Tilley - Chief Financial Officer

 

 Nominated Adviser and Joint Broker:

 Numis Securities Limited               +44 (0)20 7260 1000

 Stephen Westgate / Giles Rolls
 Joint Broker:

 Peel Hunt LLP                        +44 (0) 20 7418 8900

 Andrew Buchanan / Mike Burke

Media Enquiries: investor.relations@mab.org.uk

 

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