Brokers call for greater borrowing education as Near Prime business rises

16 January 2026

Brokers have called for a greater investment in financial education, with the vast majority having seen an increase in Near Prime enquiries during 2025, a new study from Atom bank has revealed.

The UK’s highest rated bank on Trustpilot polled brokers on their experiences during a recent webinar on the subject of Near Prime, following Atom bank’s publication of its inaugural Near Prime Index.

More than nine in 10 (93%) brokers said they had seen an increase in customers with either adverse credit or who would fail traditional credit scores over the last year. It’s a trend they expect to continue, with around three quarters (74%) predicting a further jump in Near Prime business in 2026.

And they called for improved financial education in order to help the next generation of borrowers avoid succumbing to the same credit mistakes.

The Government recently announced plans to include financial education within the national curriculum, and brokers were polled on what elements they felt were most important for inclusion. An overview of the different forms of credit was the most popular option, pinpointed 22% of respondents, while almost one in five called for lessons on the real cost of borrowing and how debt can build up over time.

Breaking misconceptions about Near Prime

The webinar was hosted by Paul Hunt, Managing Director of media agency Square 1 Media, and brought together a panel featuring Richard Harrison, Head of Mortgages at Atom bank, Jonny Magill, Chief Commercial Officer of broker Haysto, and Nakita Moss, Head of Lender at Twenty7tec.

The discussion explored the increasing scale of the Near Prime market, with panellists noting that many customers experiencing credit blips are middle- to high-income earners affected by life events or short-term financial pressures.

Data from Atom bank’s Near Prime Index revealed a significant proportion of these borrowers have household incomes of between £75,000 and £150,000, demonstrating that adverse credit is not confined to lower-income households. Panellists also noted that customers often misunderstand the long-term impact of minor credit issues, and better financial education could prevent many from falling into avoidable difficulties.

Technology was identified as a key enabler for brokers managing Near Prime cases. Panellists noted that integrating adverse credit data earlier in the research process leads to more accurate product sourcing, reduces adviser workload and supports clearer customer expectations.

Richard Harrison, Head of Mortgages at Atom bank, said:

“Near Prime is now a mainstream part of the market, with our research highlighting the growing role it plays - and looks set to play - in the daily workloads of brokers across the country. What came through clearly in our webinar is that customers need more support and better financial education to help them understand borrowing, avoid unnecessary credit blips and navigate the mortgage process confidently.

“Demand for Near Prime lending is only likely to increase, as we see the continued ramifications of the budgeting challenges of recent years, so it’s crucial that lenders provide clear pathways back to Prime products as customers’ circumstances improve. Atom bank is committed to supporting these borrowers, combining flexibility, speed and criteria designed for the realities of today’s market.”