Legal & General Mortgage Club Finances Â£40bn in Funding for Homes.
26 December 2014
2015 expected to be a “strong” year for the Club, says Legal & General
The Legal & General Mortgage Club today announced it has recorded 50% year on year growth to date against 2013. The mortgage club will finish the year at £40bn of funding, up from £28bn last year.
Despite other reports that suggest mortgage lending is falling, Legal & General continues to show very strong growth and means that the Legal & General Mortgage Club is now involved in around one in five of all UK mortgage transactions, helping 300,000 customers.
The Legal & General Mortgage Club is responsible for over a third of all business in the UK intermediary channel with intermediaries now accounting for over 65% of all mortgages in the UK. Legal & General attributes the strong performance to the diversity of mortgage transactions, including new purchases, through to re-mortgage business and buy-to-let opportunities. The Mortgage Club’s partner firms have also contributed hugely to the strong performance. Broker partners, Appointed Representatives and other key accounts as well as lenders have played a key role in the success and continued growth in 2014.
John Pollock, Chief Executive, Legal & General Assurance Society, said:
“Legal & General would like to thank all our broker and lender partners for their contribution to a successful year.
We expect 2015 to pose some challenges as interest rates start to rise, but the success of the Mortgage Club in 2014 is evidence that customers still want and need strong financial advice for their major financial transactions, such as mortgages. Supporting the UK housing market in a sustainable, profitable way while protecting the best interests of customers is a key strategic aim for Legal & General, and we are looking forward to a strong 2015 for the Mortgage Club.”
Stephen Smith, Legal & General’s Director Mortgage Club and Housing, said:
“2014 has been another record-breaking year for the Club, and we’re proud of what has been achieved with our intermediary and lender partners. The Club forges strategic partnerships with strong and secure broker and lender partners and these firms have done well as the market recovered. Brokers, in particular, have taken MMR in their stride and have not let the new regulations hamper them from writing good, profitable business for their customers.”
Notes to editors
About Legal & General
Legal & General Group Plc
Established in 1836, Legal & General is a leading provider of insurance, savings and investment management products in the UK. The Group has a market capitalisation of £14.6bn (as at 25th November 2014) and is responsible for investing £676bn worldwide (as at 30th September 2014) on behalf of investors, policyholders and shareholders. We have over seven million customers in the UK for life assurance, pensions, investments and general insurance plans and over one million customers in the US who rely on us for life assurance. In 2013, Legal & General's profits before tax (on the IFRS basis) were £1,134m and earnings per share were 15.20p for the period, an increase of 10% for both respectively.
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