MB Associates

A Message from Lord Pickles and Lord Blunkett, followed by MB Associates's best practice article

The ability to listen and learn from one another has always been vital in parliament, in business and in most aspects of daily life. But at this particular moment in time, as national and global events continue to reiterate, it is uncommonly crucial that we forge new channels of communication and reinforce existing ones. The following article from MB Associates is an attempt to do just that. We would welcome your thoughts on this or any other Parliamentary Review article.

Blunkett signature Rt Hon The Lord David Blunkett
Pickles signature Rt Hon The Lord Eric Pickles

www.mbassociates.net

THE PARLIAMENTARY REVIEW
Highlighting best practice
THE PARLIAMENTARY REVIEW
Highlighting best practice
20 | MB ASSOCIATES
Managing Director
MonicaBradley
MB Associates has provided clients with advice on
mortgages and related protection products for over
25 years. As winners of multiple national awards over
the past two decades, the Surrey-based broker has clients
across the UK and internationally. As specialists in assisting
those who are self-employed, consultants or business owners,
founder Monica Bradley and her team work closely with over
90 lenders and are focused on sourcing specialist lending
solutions. Monica tells
The Parliamentary Review
that she is
often called upon to comment on the latest market trends and
developments in the mortgage sector, as well as contributing
to industry-wide best practice and thought leadership boards.
The financial services sector has changed significantly since 2014, when
complex legislation was introduced following the Financial Conduct Authority’s
Mortgage Market Review, and later in 2017 when the Prudential Regulation
Authority revised criteria around buy to let lending, coinciding with the
introduction of Section 24 of the Financial Services Act in the same year. As
a consequence, applying for a mortgage, whether to finance the purchase
of a main residence or to leverage a portfolio-based asset, is now far more
convoluted than it has ever beenpreviously.
Fortunately, our structure and processes have enabled us not just to survive,
but to shine in such conditions. We have a team of expert mortgage advisers,
who are each supported by a case manager. This approach enables our advisers
to do what they do best, which is source the most appropriate solution, while
our case managers diligently liaise with underwriters, solicitors, surveyors and
accountants to expedite the concomitant paperwork as efficiently as possible.
The result is a seamless experience for our clients, regardless of the complexity
oftheirrequirements.
The holistic approach that we take to advising our clients with regards to
their finances is one that we’ve long championed. We don’t just provide
mortgages; we take time to fully understand each case on an individual basis
and fully explore all immediate and longer-term objectives, as well as any other
mitigatingfactors.
For example, aside from borrowing requirements, there may also be a need to
arrange appropriate wills and trusts, a service we offer via our trusted business
partners, to implement an efficient approach with regards to inheritance tax.
Other clients may find a review of their buy to let portfolio with our specialist tax
advisory partner helpful, in order to potentially restructure into a limited company
vehicle to increase profitability from rental incomes.
AT A GLANCE
MB ASSOCIATES
»Managing Director:
MonicaBradley
»Founded in 1989
»Located inCheam, Surrey
»Services:Specialist mortgage
and protection broking
»No. of employees: 15
MB Associates
BEST PRACTICE SPONSOR 2020
THE PARLIAMENTARY REVIEW
Highlighting best practice
20 | MB ASSOCIATES
Managing Director
MonicaBradley
MB Associates has provided clients with advice on
mortgages and related protection products for over
25 years. As winners of multiple national awards over
the past two decades, the Surrey-based broker has clients
across the UK and internationally. As specialists in assisting
those who are self-employed, consultants or business owners,
founder Monica Bradley and her team work closely with over
90 lenders and are focused on sourcing specialist lending
solutions. Monica tells
The Parliamentary Review
that she is
often called upon to comment on the latest market trends and
developments in the mortgage sector, as well as contributing
to industry-wide best practice and thought leadership boards.
The financial services sector has changed significantly since 2014, when
complex legislation was introduced following the Financial Conduct Authority’s
Mortgage Market Review, and later in 2017 when the Prudential Regulation
Authority revised criteria around buy to let lending, coinciding with the
introduction of Section 24 of the Financial Services Act in the same year. As
a consequence, applying for a mortgage, whether to finance the purchase
of a main residence or to leverage a portfolio-based asset, is now far more
convoluted than it has ever beenpreviously.
Fortunately, our structure and processes have enabled us not just to survive,
but to shine in such conditions. We have a team of expert mortgage advisers,
who are each supported by a case manager. This approach enables our advisers
to do what they do best, which is source the most appropriate solution, while
our case managers diligently liaise with underwriters, solicitors, surveyors and
accountants to expedite the concomitant paperwork as efficiently as possible.
The result is a seamless experience for our clients, regardless of the complexity
oftheirrequirements.
The holistic approach that we take to advising our clients with regards to
their finances is one that we’ve long championed. We don’t just provide
mortgages; we take time to fully understand each case on an individual basis
and fully explore all immediate and longer-term objectives, as well as any other
mitigatingfactors.
For example, aside from borrowing requirements, there may also be a need to
arrange appropriate wills and trusts, a service we offer via our trusted business
partners, to implement an efficient approach with regards to inheritance tax.
Other clients may find a review of their buy to let portfolio with our specialist tax
advisory partner helpful, in order to potentially restructure into a limited company
vehicle to increase profitability from rental incomes.
AT A GLANCE
MB ASSOCIATES
»Managing Director:
MonicaBradley
»Founded in 1989
»Located inCheam, Surrey
»Services:Specialist mortgage
and protection broking
»No. of employees: 15
MB Associates
21MB ASSOCIATES |
FINANCIAL SERVICES
Financial education
Over and above these core elements
of our service, as a team we all feel
passionately about financial education.
The business was founded on the belief
that clients should have access to all
relevant information to help inform
their choices, particularly around their
future financial strategy. Within the last
few years, lenders have identified the
need for niche, innovative solutions and
have answered with products that many
consumers are still unaware of, yet which
can provide life-changingsolutions.
For example, “family springboard”
mortgages may enable first time buyers to
purchase without a gifted deposit. At the
other end of the scale, regulated later life
lending and equity release solutions can
potentially enable elderly clients to stay
in their property for longer by helping to
fund private nursing care, or improve their
lifestyle in a myriad of other ways. For
mid-life borrowers, access to competitive
rates may provide the ability to reduce
their cost of borrowing, creating an
opportunity to make overpayments to
reduce their outstanding capital and
become debt-free earlier than anticipated.
In all of these cases, educating our clients
about these options means that they are
empowered to make the right decisions
for their individual circumstances.
A diverged and nuanced UK
property market
It would be remiss to suggest that
the UK property market has been
plain sailing of late. Since the 2016
referendum, we’ve observed an
increasingly diverged and nuanced
picture with significant variations
between regions. In some areas, for
example Wales, Scotland, the Midlands
and Yorkshire, property values have
risen at a significant level over the past
three years, partly due to localised
economic factors, but also perhaps due
to less sensitivity towards the ongoing
political and news agenda. However,
at the time of writing, we’ve seen
consumer confidence fall in London
and the South East since 2016, which
has negatively affected both house
prices and the volume of transactions.
The knock-on impact these extremes
have in terms of agreeing borrowing
is significant; for those who wish to
purchase in an area that has seen
significant house price growth in a short
period of time, lenders are often cautious
due to the lack of comparative properties
available to substantiate a valuation for
mortgage purposes. Conversely, in areas
where prices are falling and there is a
perceived increase in lending risk due to
the possibility of negative equity, buyers
may only be able to raise a mortgage
on a particular property if they have a
significant deposit, in order to provide a
buffer should prices fallfurther.
The government announced plans in late
2019 to trial reservation agreements from
2020 for residential purchases – already
commonly used by new home builders –
therefore it will be interesting to see what
change this makes to the current status
quo; on average, one in three residential
transactions fall through prior to
exchange in the UK – a statistic that has
remained consistent over the past decade
– regardless of location or pricepoint.
2020 vision
Looking forward, we aim to expand in
the first half of the year by opening a
Yorkshire office, and will be rolling out
our approach in further locations around
Surrey and the Home Counties. Our new
protection department with dedicated,
specialist advisers is on track to open in
early 2020; a strategic decision based
on observing the changing needs of our
clients over the last few years.
Regardless of complexities, it’s a hugely
exciting time to be in the sector, and
incredibly gratifying to know that
every day, we’re making a significant
and positive difference to our clients’
financial wellbeing.
It’s incredibly
gratifying to
know that
every day,
we’re making
a significant
and positive
difference to
our clients’
financial
wellbeing
MAB 10469

www.mbassociates.net

This article was sponsored by MB Associates. The Parliamentary Review is wholly funded by the representatives who write for it. The publication in which this article originally appeared contained the following foreword from Rt Hon Elizabeth Truss.

Rt Hon Elizabeth Truss's Foreword For The Parliamentary Review

By Rt Hon Elizabeth Truss

Even by the standards of the day –this has been one of the most exciting and unpredictable years in British politics.

The leadership election we’ve just seen marks a huge moment in our country’s history. This government is taking a decisive new direction, embracing the opportunities of Brexit and preparing our country to flourish outside the EU.

As international trade secretary, I’ll be driving forward work on the free trade agreements that are going to be a priority for the government. Free trade isn’t just an abstract concept bandied around by technocrats. It is crucial for a strong economy and for the ability of families to make ends meet. Free trade benefits people in every part of our country, as British firms export to new markets and people doing the weekly shop have access to a wider choice of goods at lower prices.

The essence of free trade is in the title: freedom. It’s about giving people the power to exchange their goods without heavy government taxation or interference. Commerce and free exchange are the engine room of prosperity and social mobility. I’m determined to tackle the forces who want to hold that back.

One of my priorities is agreeing an exciting new free trade deal with the US, building on the great relationship between our two countries and the Prime Minister and US President. But I’ll also be talking to other partners including New Zealand, Australia and fast-growing Asian markets.

And with the EU too, we want a friendly and constructive relationship, as constitutional equals, and as friends and partners in facing the challenges that lie ahead – a relationship based on a deep free trade agreement. Our country produces some of the world’s most successful exports, and the opportunity to bring these to the rest of the world should make us all excited about the future. It is this excitement, optimism and ambition which I believe will come to define this government.

For too long now, we have been told Britain isn’t big or important enough to survive outside the EU – that we have to accept a deal that reflects our reduced circumstances. I say that’s rubbish. With the right policies in place, we can be the most competitive, free-thinking, prosperous nation on Earth exporting to the world and leading in new developments like AI. To do that, we’ll give the brilliant next generation of entrepreneurs the tools they need to succeed. Since 2015, there has been a staggering 85 per cent rise in the number of businesses set up by 18 to 24 year olds – twice the level set up by the same age group in France and Germany. We’ll help them flourish by championing enterprise, cutting taxes and making regulation flexible and responsive to their needs.

As we do that, we’ll level up and unite all parts of the UK with great transport links, fibre broadband in every home and proper school funding, so everyone shares in our country’s success.

2019 has been the year of brewing economic and political revolution. 2020 will be the year when a revitalised Conservative government turbo charges the economy, boosts prospects for people across the country, and catapults Britain back to the forefront of the world stage.



Rt Hon Elizabeth Truss
Secretary of State for International Development