MS Poll result: Nearly 70% dissatisfied with FSA relationship

In the latest Mortgage Solutions poll an overwhelming majority of brokers (69%) said they would categorise their business relationship with the Financial Services Authority (FSA) as ‘poor’.

A further 12% said that their relationship with the FSA was ‘fair,’ 9% said it was ‘satisfactory’ and 10% agreed that it was ‘good.’

The poll provoked a variety of comments from brokers but David Sheppard, managing director of Perception Finance said that the result was not surprising.

He said: “The response is most likely from the back of the latest series of documents from the regulator. Brokers are annoyed because their market has been squeezed from the recession and there has been a lack of clarity over lending practices for self-cert and fast track.”

He added that the size of the Mortgage Conduct of Business (MCOB) handbook makes the information quite difficult for brokers to absorb.

“MCOB is a fairly lengthy document which makes it harder for smaller companies to keep up to speed with regulatory requirements. The new regulator needs to produce a rule book that is simpler and much easier to read and understand.”

Brian Bird, mortgage consultant at Mortgages-online, said that the new regulator also needs to provide a better service for DAs and ARs

“Information is so important to brokers and sometimes it is not communicated clearly by the FSA. The regulator should provide better training to its staff or hire people who understand the market they are looking to regulate,” he said.

The FSA refused to comment.

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