Dave Harris, CEO at more2life comments on today's FCA DP25/2 on the future of the mortgage market

25 June 2025

“It’s hugely encouraging to see later life lending receive its own dedicated chapter within this FCA discussion paper; a clear recognition this is no longer a specialist niche sector, but a vital and growing part of the mortgage market. The regulator is absolutely right to highlight that more borrowers are now likely to carry mortgage debt into retirement, and that lending into later life must be supported by the right product innovation, regulatory framework and advice. At more2life, we’ve been leading this charge for years, developing flexible product solutions that meet the evolving needs of over-55s including those that reward borrowers who wish to pay off some, or all, of their interest. However, for the market to truly scale, we need broader commitment, greater competition and regulatory support that fosters innovation rather than friction. If the regulator does want to encourage more product choice and solutions, we need an environment where providers are willing and able to match our own long-term investment and commitment to later life lending, even when conditions can be challenging.

“We strongly support the FCA’s apparent interest in breaking down the entrenched silos that exist between mainstream mortgage advice and later life lending. The idea of wider, even mandatory, use of the equity release qualification is a positive one. The reality is that too many consumers are missing out on potentially life-changing financial options because their adviser isn’t qualified or authorised to discuss and recommend them. An enhanced advice model, where more advisers can confidently consider later life lending solutions, will deliver better outcomes for older borrowers and help address some of the wider societal challenges the paper rightly highlights - from pension under-saving to retirement insecurity.

“However, if we’re to empower advisers to take on this broader remit, we must also support them. Advice in this space needs confidence, clarity and capability. That’s why more2life remains committed to delivering the tools, training and partnership support advisers need to serve their clients effectively and efficiently. In this paper, the regulator appears to have adopted a much more progressive tone and open engagement towards the later life lending space which is clearly positive, and we echo the call for the industry to step forward, share views, and help shape a market that works better for consumers, the advisers who support them, and the providers committed to this space.”