Viewpoint | Bankhall PMS | Winter 2025

Brought to you by

WINTER 2025

NAVIGATING THE NOVEMBER BUDGET: WHAT IT MEANS FOR ADVISERS AND THEIR CLIENTS The Chancellor’s November Budget has arrived following much speculation and advisers now have a timely opportunity to turn complexity into confident decision‑making.

For advisers, the question is simple: what does this mean for you and your clients?

BLENDING DRAWDOWN AND ANNUTIES: A MODERN APPROACH TO RETIREMENT PLANNING Retirement planning is no longer about choosing between flexibility and security. It’s about intelligently combining both to deliver a tailored resilient income strategy.

SUPPORTING SMARTER ACQUISITIONS The adviser market continues to evolve, with consolidation remaining a key theme. Whether driven by succession planning, growth ambitions, or strategic diversification, acquisitions are becoming increasingly common.

AI: BROKER FRIEND OR FOE? Artificial intelligence (AI) has moved from theory to reality, reshaping industries and prompting businesses to rethink how they work.

The latest news and views for professional advisers use only. If you are not an adviser, please contact your financial adviser for advice.

! n o o S g n i m o C Schedule

VIEWPOINT AUTUMN 2025

WELCOME TO THE LATEST EDITION OF

CONTENTS UPDATE WITH RICHARD 04 BUDGET HARRISON SESAME BANKHALL GROUP

2025: ADVISERS MUST 06 BUDGET WARM TO LIFETIME MORTGAGES IN RESPONSE TO FROZEN IHT THRESHOLDS

MORE2LIFE

07 IN THE PRESS

SESAME BANKHALL GROUP

FIRMS SHOULD STILL BE 08 WHY CONCERNED ABOUT THE FCA FOCUS ON ONGOING ADVICE SERVICES

SESAME BANKHALL GROUP

DRAWDOWN 10 BLENDING AND ANNUITIES: A MODERN APPROACH TO RETIREMENT PLANNING

PRU

12

THE MOMENT OF TRUTH

CURVES IN FOCUS: 16 YIELD UK VS. US FISCAL DEFICITS BNY

SMARTER 18 SUPPORTING ACQUISITIONS: HOW BANKHALL

HELPS FIRMS WITH DUE DILIGENCE

SESAME BANKHALL GROUP

NEW OUTSOURCING: 20 THE WHY ADVICE FIRMS ARE

INCREASINGLY TURNING TO TECHNOLOGY

INTELLIFLO

KNOWLEDGE. 22 EXPERT TAILORED SUPPORT. L&G

TRACK RECORD ACTUALLY 24 DOES WORK? SKIPTON BUILDING SOCIETY

26 IN THE SPOTLIGHT...

SESAME BANKHALL GROUP

HSBC LIFE

14 AI: BROKER FRIEND OR FOE? BARCLAYS

When investing your capital is at risk. Your home may be repossessed if you do not keep up repayments on your mortgage. The Financial Conduct Authority does not regulate taxation and trust advice and cashflow modelling. You may have to pay an early repayment charge to your existing lender if you remortgage. Home reversion plans and lifetime mortgages are complex products. A lifetime mortgage is a loan secured against your home. To understand the features and risks, ask for a personalised illustration.

Equity release will reduce the value of your estate and may affect your entitlement to means tested benefits.

CAS-77065-V2Q5Z9. This publication is issued by Bankhall Support Services Limited, a company registered in England and Wales with company number 2785381, whose registered office is at Aviva, Wellington Row, York YO90 1WR. Bankhall is a trading style of Bankhall Support Services Limited a company registered in England and Wales with number 2785381 which is authorised and regulated by the Financial Conduct Authority under number 164877. Registered office: Registered office: Aviva, Wellington Row, York YO90 1WR. VAT number: 105437300. Bankhall® is a registered trademark of Sesame Bankhall Group Limited (a company registered in England and Wales with number 3573352. Registered office: as above). PMS is a trading name of Premier Mortgage Services Limited, which is an Appointed Representative of Bankhall Support Services Limited. Sesame Bankhall Group Limited is the parent company of both Bankhall Support Services Limited and Premier Mortgage Services Limited.

This document is for use by financial advisers only and is not approved for use with customers. The views expressed in this publication may be those of individual authors and do not necessarily reflect those of Sesame Bankhall Group Limited or any of its group of companies. Whilst every effort is made to ensure that contents of this publication are correct, we cannot guarantee complete accuracy and, to the maximum extent permitted by law, do not accept liability for any errors.

Copyright Sesame Bankhall Group Limited. No reproduction of any information within this publication is permitted without prior written consent from the Sesame Bankhall Group Limited.

BUDGET

NAVIGATING THE NOVEMBER BUDGET: WHAT IT MEANS FOR ADVISERS AND THEIR CLIENTS The Chancellor’s November Budget has arrived following much speculation and advisers now have a timely opportunity to turn complexity into confident decision‑making.

increases flexibility for intergenerational wealth transfers.

For advisers, the question is simple: what does this mean for you and your clients?

From April 2026, the cap on Universal Credit for families with more than two children will be removed, increasing household income for affected families and changing affordability calculations.

Key announcements, and why they matter The November Budget isn’t just a list of numbers; it’s a roadmap that will shape client decisions for years to come. From tax thresholds and pension rules to savings limits and property charges, these measures will influence borrowing capacity, investment strategies, and long‑term planning. Advisers who understand the detail behind the headlines can give clients confidence and direction and position themselves as trusted guides.

Two-child benefit cap scrapped

Minimum wage increases From April 2026, there will an increase to minimum wages. This means: •

Eligible workers aged 21 and over on the National Living Wage will receive £12.71 an hour, up from £12.21.

•

For workers between 18 and 20, the National Minimum Wage increases to £10.85 an hour, up from £10.

Below, I break down some of the most significant changes, so you can assess their impact and act early.

•

For those aged 16 or 17, the minimum wage will rise to £8 an hour, up from £7.55.

Income tax threshold freeze extended

•

The separate apprentice rate which applies to eligible people under 19 - or those over 19 in the first year of an apprenticeship – will also increase to £8 an hour, from £7.55.

Personal income tax and National Insurance thresholds will remain frozen for a further three years until April 2031.

Workplace pensions: salary sacrifice cap

Inheritance tax reform From April 2026, spouses and civil partners will be able to transfer 100% of any unused £1 million allowance for the 100% rate of Agricultural Property Relief and Business Property Relief to each other. This change simplifies estate planning and

From April 2029, there will be a £2,000 cap on NIC relief on salary sacrifice. Contributions above this will attract both employee and employer National Insurance.

“Behind every Budget announcement are real decisions about family finances and future security.”

Richard Harrison, CEO, Sesame Bankhall Group

From April 2027, the annual cash ISA limit will fall from £20,000 to £12,000 for those under 65. The overall ISA allowance remains £20,000, but £8,000 must be invested in stocks and shares. Over65s retain the full £20,000 cash allowance.

Dividend and savings tax increases From April 2026, the ordinary and upper rates of tax on dividend income will increase by 2 percentage points: •

Basic rate: 8.75% → 10.75%

•

Higher rate: 33.75% → 35.75%

There is no change to the dividend additional rate, which will remain at 39.35%.

From April 2027, the Government will introduce separate tax rates for property income. These will be: •

Property basic rate: 22%

•

Property higher rate: 42%

•

Property additional rate: 47%

Savings income tax rates also increase by 2 points from April 2027: •

Basic: 20% → 22%

•

Higher: 40% → 42%

•

Additional: 45% → 47%

Mansion tax introduced From April 2028, a new council tax surcharge applies to homes worth over £2 million: •

£2m–£2.5m: £2,500 per year

•

£5m+: £7,500 per year

Charges will rise annually with CPI. Electric vehicle mileage tax From April 2028, EV drivers will pay £0.03 per mile (battery electric) and £0.015 per mile (plug-in hybrid), indexed to inflation. An average EV driver covering 8,500 miles will pay about £255 per year.

Other measures •

State pension: rises 4.8% from April 2026.

•

Energy bills: average household cut of £150 from April.

•

Fuel duty: 5p cut extended until September 2026.

What this means for you Budget measures reshape client priorities, affordability, and long‑term plans. Advisers now face a dual challenge: helping clients navigate immediate impacts while preparing for structural shifts in tax, savings, and income over the next decade.

This is where proactive advice matters most. Below, we outline how these changes affect mortgage, protection, and wealth planning, and the practical steps you can take to turn uncertainty into clarity.

Mortgage advisers: Freezing income tax and NIC thresholds will affect income in real terms going forward. When discussing new mortgages or remortgages, check what repayments look like if their income drops slightly or if rates don’t fall as quickly as expected. Encourage clients to think about a buffer rather than stretching to the limit.

Protection advisers: Budgets are tight, but wage increases and energy bill cuts could give clients a little breathing space. This may be a time to review their protection cover to help keep their family secure.

Wealth advisers: Taxes on dividends, savings, and property income are going up, and ISA rules will change. Help clients make the most of tax-efficient options like ISAs and pensions. Plan ahead for the lower cash ISA limit by checking how much they need to keep accessible versus invested. For clients with more expensive properties, factor in the new surcharge when reviewing estate plans. Shareholding directors (in conjunction with their accountant) should assess their remuneration structures and evaluate the comparative tax merits of dividends, salary and pension contributions.

Dates and details advisers should note •

April 2026: Minimum wage increases take effect.

•

April 2027: Reduced cash ISA allowance takes effect for most savers.

•

April 2028: Mileage‑based EV tax begins.

•

April 2029: Salary sacrifice cap of £2,000 per year applies to employee pension contributions. Employers will need to review their salary sacrifice schemes and, where they have passed on some or all of the employer NIC savings by way of enhancing contributions, consider what changes they might need to make.

Clients will need to wait and see what changes employers put into place.

Final thoughts Behind every Budget announcement are real decisions about family finances and future security. Tax changes, benefit reforms, and cost-ofliving measures aren’t just headlines—they shape how families budget, how businesses plan, and how individuals protect what matters most.

Your advice turns uncertainty into clarity.

Across Sesame Bankhall Group, our role is to help you cut through noise, focus on client outcomes, and communicate change with confidence. As your Proactive Partner for Life: we’ll keep giving you the insights and resources to help clients make confident choices, whatever the economy throws their way. Because in times like these, trusted advice isn’t just valuable—it’s vital.

Here’s our first look summary of the Budget measures.

The tax treatment depends on the individual circumstances of the investor and may be subject to change in the future.

Source link: Budget 2025 (HTML) - GOV.UK

BUDGET

ISA allowance reform

RESIDENTIAL

BUDGET 2025: ADVISERS MUST WARM TO LIFETIME MORTGAGES IN RESPONSE TO FROZEN IHT THRESHOLDS Dave Harris CEO When it comes to Budget announcements, we’ve never seen anything quite like it. The weeks of rumours and drip-fed hints of what’s to come have become par for the course, but for the contents of the speech to be widely available before the Chancellor has even stood up was, shall we say, more than highly unusual.

Others will want to take this opportunity to pass funds to loved ones, to give them a financial helping hand. There is a wide range of gifting allowances for IHT, and there had been speculation that some could be removed in the Budget, or annual allowances replaced by a single lifetime gifting allowance.

As a result, there was no great sense of surprise when the Chancellor finally confirmed that a host of tax thresholds, including for Inheritance Tax (IHT), would be frozen for a further three years, taking us up to April 2031.

While these changes didn’t materialise, the temptation for reform will remain for the Treasury, so it may make sense for clients to utilise them as much as possible while they remain in place.

However, the impact of this freeze may be significant for many older homeowners looking to keep their eventual IHT bill as low as possible. The figures from the OBR, mistakenly released ahead of the Budget itself, highlight what a tremendous revenue-generator IHT has become for the Treasury. It suggests the levy is likely to bring in £9 billion in 2025-26, a jump of 4.5% on the previous year. This analysis follows official data from the taxman itself, showing that between April and October this year, £5.2 billion of IHT was paid, not only a new record high but a jump of £200 million on the same period of the year before.

Considering the whole picture

These ever-increasing receipts demonstrate the impact of greater numbers of families falling within the orbit of IHT. There is no escaping the fact IHT will become an even bigger concern for many across the country, and should therefore take a central role for advisers building a financial plan for their clients.

Reducing the value of the estate The key factor with IHT is the eventual value of the estate.

And as with the new Council Tax surcharge on higher-valued property, £2 million is a crucial milestone, since this is when the Residential Nil Rate Band starts to taper away. If clients want to prioritise keeping their IHT bill as low as possible, reducing the size of that estate is key.

That’s not made easy by the continued growth of house prices.

The OBR predicts average house prices will move from an average value of £240k last year to just under £305k by the end of the decade, pushing more estates above the IHT threshold.

This is where lifetime mortgages can be such a powerful tool, for clients who want to take proactive measures now without having to sell their home and downsize. Borrowing against their property reduces the value of the overall estate, but it also gives them control over how those released funds are used.

Some will want to devote the money towards making their later years more comfortable, supplementing their pension savings, or perhaps making changes to their home to better meet their needs as they age.

06

The reality is that when putting together a holistic financial plan for clients, property wealth simply cannot be overlooked. Whether the priority for the client is efficiently transferring their wealth to their children and grandchildren, or meeting their own wants and needs in the here and now, the housing equity they hold is crucial.

Advisers must take this opportunity to ensure they are considering the full picture when working with older clients, encompassing all of their assets, including the equity held in the property. In a very true sense, lifetime mortgages must not be overlooked.

Seizing the opportunity When a client is looking to reduce their eventual tax bill, or efficiently pass wealth onto loved ones, a new mortgage might not jump out as the go-to option. But that’s where quality advisers can really stand out, educating their clients and highlighting a different path which can result in a more positive outcome.

Working alongside a specialist tax adviser means clients will be provided with an accurate insight into precisely what impact this strategy would have on their overall standing, allowing them to make the most informed decision possible.

As the Budget, and the figures behind it show, IHT is only going to become a bigger pressure point in the years ahead.

It’s already a hated tax, and as more families find themselves liable, there will be a push for new ways to reduce liabilities.

Advisers have a tremendous opportunity to help their clients take greater control over the legacy they leave behind — as well as the support they can provide in the present — by including lifetime mortgages in the product mix. more2life Ltd is authorised and regulated by the Financial Conduct Authority.

Registered in England No 5390268

December, 2025 | Section A/issue No. 1

Jackson House, Sibson Road, Priory Ward, England M33 7RR. | Tel. 0345 230 6000 | www.sbg.co.uk

YOUR SBG NEWS ROUNDUP

INTHEPRESS INDUSTRY NEWS

GROWTH

TECH

SUPPORT

CLIENT CONVERSATIONS AND EXPLAINING AI IN PLAIN ENGLISH The winning formula is not machine or human. It is machine and human, working together. Read more >>

How to embed a repeatable protection sales process in your firm Toni Smith, distribution and marketing director, Sesame, discusses how business leaders can embed protection into the advice process and encourage engagement from advisers...

Read more >>

Richard Harrison: Why advisers should plan their exit from day one Advisers who treat their business as an asset from the beginning may achieve far stronger outcomes when they sell...

Read more >>

MORE STORIES Claire Cherrington: Five questions advisers should ask their business consultant before selling Read more >> Demystifying AI in protection underwriting Read more >> The hidden power imbalance in IFA M&A Read more >>

All the latest news gathered from industry publications delivered to you in this edition of Viewpoint

Look out for more hot off the press news stories next quarter

COMPLIANCE AND REGULATION

WHY FIRMS SHOULD STILL BE CONCERNED ABOUT THE FCA FOCUS ON ONGOING ADVICE SERVICES Graeme Jones Regulatory, Development & Policy Consultant It is now around nine months since the Financial Conduct Authority (FCA) published its findings from a multi-firm review looking at the delivery of ongoing advice services. With the FCA confirming that it was only in 2% of cases that these firms were genuinely at fault for failing to deliver ongoing services they had agreed to provide, it is easy to infer from the headlines that no significant failings had been identified.

Although this review looked at the 22 largest advice firms only, the FCA was clear that it expected all advice firms to consider the findings and that it intended to conduct further work later in 2025 to review the actions firms had taken. With larger firms taking steps to put aside significant funds for potential redress liabilities this is indicative of how much of a priority it should be for all firms to ensure their services propositions and processes are fit for purpose Whilst the FCA review focused heavily on firms taking any remedial action required (including, where relevant, paying redress) for any historic non-delivery of services, it is also essential that firms make any necessary improvements going forward: this includes the design of their ongoing advice propositions, record keeping, and monitoring of service delivery.

S165 data request As firms will no doubt be aware, the FCA issued a mandatory survey back in July requesting information from financial advice businesses as part of its commitment to a more data-led approach to supervising firms and to monitor any areas where there may be risk of consumer harm. This included asking for data on the number of active clients firms have – notably split between those ‘transactional’ clients and customers who had received ongoing advice - as well as information on firms’ advice process and controls.

With FCA analysis showing that 90% of new clients are placed into arrangements for ongoing advice and that the proportion of advice revenue from ongoing advice has also increased (from 60% in 2016 to 80% in 2023) the design and delivery of these services is likely to continue to be an area of interest to the regulator.

08

In this article we consider what firms should be doing in practice to demonstrate they have taken onboard the findings from the FCA review.

Service design In the first instance we would strongly advise firms to ask themselves a few key questions in relation to the design of any ongoing advice proposition. Under the Consumer Duty derived rules, advice firms are considered ‘manufacturers’ in respect of the design of their own services and therefore the rules in PRIN 2A.3 that apply to the manufacture of products and services will be relevant.

Key questions: •

Have you clearly specified the target market for your ongoing services to the level of granularity necessary?

•

Where necessary, have you defined different propositions for different groups of customers? For example, the components of an annual retirement income review service might be different than for a standard annual investment review service – Is it clear what is going to be delivered?

•

Have you clearly defined the type of customer for whom your ongoing services wouldn’t be appropriate? (for example, this might be customers who do not have complex financial planning needs, or where solutions are recommended which do not really require an ongoing service (e.g. a single multi-asset fund matched to the client’s risk profile))

•

How have you satisfied yourself that the ongoing service is designed to meet the needs of consumers it is designed for?

For example, can you demonstrate they actually need all the elements being offered as part of that service?

The reason all these questions are important is that the FCA is not only focused on whether services are being delivered, but also whether some customers are paying for services they do not really need. The FCA is clear that, where a customer is paying for a service they do not need, then this will never represent fair

Some firms might also need to seriously consider whether certain propositions actually constitute a true ongoing service – for example ‘retainers’ (where a customer pays an ongoing fee to secure access to advice services in the future), or discussions around valuations/ performance that stop short of making any personal recommendations (e.g. – that merely outline whether a customer is on track to meet their goals/target).

In addition to all of the above, firms should clearly confirm the details of the ongoing service to the customer (i.e. – what exactly will be delivered), the associated charges, and – importantly - how customers can cancel the service and stop payment of any charges if the service is no longer required.

Delivery and monitoring The FCA stated in a Dear CEO letter to financial advisers and investment intermediaries that firms should not charge clients for services that are not delivered and must maintain records to ensure appropriate monitoring. This was one of the key points highlighted in the FCA Retirement Income Review, with the FCA saying:

“We expect firms to track and monitor when review meetings are due and identify whether any are missed. Where firms do not measure key information or are not able to access this easily, they may find it more difficult to demonstrate the delivery of good customer outcomes” Firms should therefore ensure that record keeping allows them to identify those customers that have signed up to an ongoing review service, when these are scheduled to be delivered, and also be able to identify those instances where the service has not been provided. This might involve considering any gaps in existing processes, for example if advisers schedule their own annual reviews, how is this tracked and managed centrally?

It is also important to note that, whilst the FCA findings from the ongoing advice review were generally positive, there was a slight sting in the tail – The FCA have made it clear firms should be looking back over a 7 year period to 2018 and considering whether they delivered the ongoing reviews they were obliged to provide. Where any nondelivery was the fault of the firm, then the FCA expectation will be that firms should appropriately refund adviser charges and, also, that consideration is given to proactively contacting customers where the failure to deliver the service may have caused harm.

Taking action But what if reviews have been missed? It is perhaps inevitable that this will happen for every firm at some point for a variety of reasons – for example where customers do not engage following meeting reminders, appointments are re-arranged multiple times at a customer’s request, or a scheduled review hasn’t been delivered due to an adviser oversight.

We often get questions about whether adviser charges should be refunded in all cases, or whether there are any exceptions (for example if it this is due to clients simply not engaging or responding to adviser requests). The FCA position seems to be clear-cut where this is the fault of the firm: customers should not be charged.

Where firms have made every effort to provide the service and non-delivery is a result of customers declining a review or failing to engage with firm’s requests, the FCA appear to allow some flexibility. The regulator has stated that that it is ‘less likely redress would be due’, although in reality it is only likely to be appropriate not to refund fees if this is a ‘one-off’ instance – Where a customer fails to engage with subsequent reviews, firms would be expected to take a more proactive approach. So, what if a client does frequently fail to engage with annual review requests? It might not be something you really want to consider but may be necessary to have a difficult conversation with the client about the importance of regular reviews, whether they value the service and, if not, why?

If this is a persistent pattern, then consideration will need to be given to ending that particular ongoing relationship and signpost the customer to other potential sources of guidance and support.

Lack of customer engagement with annual reviews may also be an indicator in itself that the service isn’t needed or is poorly designed, for example it may simply be more appropriate for some customers to be contacted periodically (say every 3 or 5 years) and offered an ad-hoc review.

Understandably, advisers have concerns that this feels like leaving customers ‘high and dry’ and also question if this at odds with their Consumer Duty obligations, particularly the obligation to ensure they prevent causing foreseeable harm for customers.

The FCA do, however, acknowledge that firms cannot prevent all harm and that customers have a role to play too – so if firms have been clear with regards to the reasons why they do not consider it viable to continue providing the service, pointed out the risks of not having regular reviews and have signposted the customer to other sources of support, then they have ensured the customer has been put in a fully informed position.

The design and delivery of ongoing advice services will clearly continue to be a focus for the regulator but, by taking a commonsense approach and, where necessary, making changes to propositions and processes, this will help demonstrate that customers are getting good outcomes.

How can Bankhall help?

To assist firms in ensuring their ongoing advice propositions and processes, are fit for purpose Bankhall have recently launched a new Ongoing advice healthcheck service This additional support day is delivered by the Bankhall Compliance Consultancy team and covers •

Proposition design and client segmentation

•

Target market and price & value

•

Delivery of ongoing advice services

The FCA has outlined its expectations fairly briefly and bluntly – firms should not be charging customers for services where they have not made a sufficient attempt to deliver the service that was agreed. So what steps should firms be taking?

•

Record keeping, monitoring and MI.

Firstly, firms should have a clear process for non-respondents. This doesn’t need to be complex and, after issuing an initial meeting request/invitation, could be as simple as one or two subsequent reminders and outline steps for refunding any ongoing advice charges (or even instructing platforms/providers to pause adviser charges if these have not yet been taken).

Sources:

Please contact clare.palfreeman@sbg.co.uk if you interested in learning more about this new service. https://www.fca.org.uk/publication/correspondence/portfolio-letter-advisersintermediaries-2024.pdf https://www.fca.org.uk/publications/multi-firm-reviews/ongoing-financial-adviceservices

09

COMPLIANCE AND REGULATION

value, regardless of how that service has been priced.

WEALTH AND INVESTMENT

BLENDING DRAWDOWN AND ANNUITIES: A MODERN APPROACH TO RETIREMENT PLANNING In today’s evolving retirement landscape, the binary choice between income drawdown and annuities is increasingly outdated. For professional financial advisers, the opportunity lies not in choosing one over the other, but in strategically combining both within a single pension wrapper to deliver a more resilient, flexible, and client-centric retirement income strategy.

Drawdown: flexibility and growth potential Income drawdown remains a powerful tool for clients seeking control, flexibility, and the potential for capital growth in retirement. It allows retirees to tailor withdrawals to their lifestyle needs, adapt to changing circumstances, and remain invested in growth assets. For clients with sufficient risk tolerance and a longer time horizon, drawdown can provide a dynamic income stream that evolves with market conditions and personal goals.

However, drawdown is not without its challenges. Market volatility, sequencing risk, and longevity uncertainty can all erode capital and undermine income sustainability. This is where the strategic integration of annuities becomes not just beneficial, but essential.

Guarantees: certainty and peace of mind Annuity type solutions offer something drawdown cannot: guaranteed income. Whether through a lifetime annuity or a fixed-term product, annuities provide a dependable income floor that can cover essential expenses, regardless of market performance or lifespan. In an environment of higher annuity rates, the value proposition of guaranteed income is stronger than it has been in years.

The power of combining both The real innovation lies in integrating both strategies within a single pension framework. This combined approach enables advisers to divide retirement income into three categories: essential, lifestyle, and discretionary. The guaranteed portion can be allocated to cover core expenses such as housing, utilities, and

10

food. Depending on the client’s assessed capacity for loss, it may also support some or all lifestyle spending. The remaining assets can then be directed toward funding additional lifestyle choices, travel, and legacy goals.

This dual approach also enhances behavioural outcomes. Clients with a guaranteed income floor are often more comfortable taking investment risk with their drawdown pot, knowing their basic needs are covered. It also provides a psychological buffer during market downturns, reducing the likelihood of panic-driven decisions.

Modern pension solutions now make it easier than ever to implement and manage both solutions within a single wrapper.

This not only simplifies administration but also enhances tax efficiency and reporting. Advisers can seamlessly adjust the balance between drawdown and annuity over time, responding to changes in client circumstances, market conditions, or health status.

Retirement planning is no longer about choosing between flexibility and security. It’s about intelligently combining both to deliver a tailored, resilient income strategy. As financial advisers, embracing this hybrid model positions us to better meet the complex and evolving needs of our clients. In a world where certainty is scarce and longevity is increasing, the ability to offer both growth and guarantees is not just modern; it’s essential.

For more information and support, visit M&Gs Retirement Planning hub.

Pension savings are at risk of being eroded by inflation.

Prudential Distribution Limited is part of the same corporate group as the Prudential Assurance Company Limited.

The Prudential Assurance Company Limited and Prudential Distribution Limited are indirect subsidiaries of M&G plc, a company incorporated in the United Kingdom. These companies are not affiliated in any manner with Prudential Financial, Inc, a company whose principal place of business is in the United States of America or Prudential plc, an international group incorporated in the United Kingdom.

FOR ADVISERS ONLY

BET TER IS IN THE DETAIL

DUAL LIFE APPROACH FOR COUPLES

CRYSTAL CLEAR CRITICAL ILLNESS DEFINITIONS

COVER UPGRADE PROMISE

Gives both partners individual cover, so if one partner claims, the other is still protected.

For the most claimed-for conditions, confirmation from a UK Consultant is all we need.

If we improve our definitions in the future, our existing customers can also benefit.

TERMINAL ILLNESS DEFINITION

OPTIONAL CHILDREN’S CRITICAL ILLNESS COVER

OWN JOB DEFINITION

Life Protection that pays out on diagnosis of incurable stage 4 cancer rather than life expectancy.

Parents can add it to any adult cover anytime.

Our Income Protection pays out if your client is too ill to do their actual job.

GFS A 1168 0225

For more information, visit: adviser.guardian1821.co.uk

Guardian Financial Services Limited is an appointed representative of Scottish Friendly Assurance Society Limited. All products are provided by Scottish Friendly.

Guardian Financial Services Limited is an appointed representative of Scottish Friendly Assurance Society Limited which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered office: Galbraith House, 16 Blythswood Square, Glasgow G2 4HJ. Registration number 110002. Guardian Financial Services Limited is registered in England and Wales under number 11115769. Registered office: 11 Strand, London WC2N 5HR.

PROTECTION AND GI

THE MOMENT OF TRUTH: Q&A WITH RICHARD WATERS AND LINDSAY THATCHER, HSBC LIFE (UK) Richard Waters Head of Protection Distribution HSBC Life (UK) What does ‘the moment of truth’ in life insurance and critical illness claims mean and how does it affect customer outcomes?

Head of Protection Distribution, Richard Waters sat down with Lindsay Thatcher, Senior Claims Manager, to discuss what sets the HSBC Life (UK) claims team apart when it comes to the ‘moment of truth’.

Richard: Lindsay, you work on our claims team here, so you deal with customer claims every day. How would you describe the ‘moment of truth’ for someone unfamiliar with the phrase?

Lindsay: The moment of truth is when, after months or years of making policy payments, a customer encounters a life curveball where they need to claim for either their own critical illness or the death of a loved one. How the claim is handled at this moment is how we as providers are judged – and how we should be judged. It’s the real indicator of success, over and above the level of policy coverage and price the adviser was able to obtain for the customer when the policy began. Everything comes down to this one moment.

Richard: What, in your opinion, sets HSBC Life (UK) apart at this ‘moment of truth’?

Lindsay: We take the Consumer Duty very seriously and we understand the vital importance of good outcomes for customers in vulnerable circumstances. Anyone contacting us to say that a loved one has died, or that they have been diagnosed with a critical illness, is clearly at a point of vulnerability in their life. We believe that our approach at such a time is inextricably linked to customer trust and brand reputation – and rightly so.

12

Lindsay Thatcher Senior Claims Manager HSBC Life (UK) A 2025 Capgemini report1 found that 27% of customers cited a lack of empathy during the life insurance claims process. I find this figure shocking considering what a huge milestone insurance beneficiaries are experiencing – the death of a spouse or parent, usually.

We prioritise empathy. Our Head of Underwriting and Claims, Jen Carhart, personally hand-picks team members with the interpersonal skills of compassion and patience. We believe that sensitivity makes a huge difference to the overall customer experience. When we take a claim call, we lean into the moment and really step up to meet the customer where they are.

“I value the way in which you handled everything, including your patience with the hospital team. Your approach has been caring, empathetic and respectful and I am pleasantly surprised by the expedience of the process.”

HSBC Life (UK) Life Insurance/Critical Illness customer, 2025

PROTECTION AND GI Rich: Insurers tend to be benchmarked against speed of decisions and percentage of payouts, all which influence ‘the moment of truth’. On the other hand, the individual customer experience at this pivotal moment can be more difficult to quantify. Do you agree?

Lindsay: Yes, I think that’s true. Customers are often in a very vulnerable place when they call us, and we know how much this initial phone call means to them.

At HSBC Life (UK), we don’t have time targets for our calls so claims managers can be led by the customers and take as long as they need. Every customer keeps the same claims handler throughout the process, so they never need to explain themselves twice.

We regularly get great customer feedback on the claims experience, but our SLAs stand up to scrutiny too – we make 67% of life insurance claim decisions on day one.2 We paid 100% of breast cancer claims received and 100% of prostate cancer claims received in 20243 which is a very positive message for advisers to take to their clients. Particularly as we know that breast cancer affects 1 in 7 women4 and prostate cancer affects 1 in 8 men.5 Rich: Across the industry, we know that clarity of definitions also plays an important part in ‘the moment of truth. We’ve recently enhanced our critical illness policy in terms of definitions so it’s clearer what people are covered for.

Lindsay: Yes, and for new customers we pay out as soon as the customer is placed on an NHS waiting list for a covered condition – rather than at the point of the procedure. We’re expecting to see good feedback from these recent changes.

touch. These are all things HSBC Life (UK) is passionate about providing.

Rich: What final message would you give to advisers reading this?

Lindsay: I would say to advisers, if one of your clients needs to claim, you can be sure they are in safe hands at their time of need with our claims team.

“The customer service received from Ben Gage was exceptional. I was treated with courtesy and empathy, and the speed in which the claim was handled was nothing short of miraculous. I can't thank you enough!”

HSBC Life (UK) Life Insurance/Critical Illness customer, 2025

Sources:

Rich: So, what would you say is the most crucial element playing into ‘the moment of truth’?

1. Capgemini World Report Series 2025

Lindsay: Obviously whether we can pay out is the key. Assuming everything is in order there and we process the claim as quickly as possible, the most important things are communication and transparency. We hear again and again from customers that compassion, patience and honesty are so important. Being kept in the loop so you don’t have to chase up the claim yourself at an already stressful time is vital. As is having that direct dial number to your dedicated claims handler, should you need to get in

3. HSBC Life Claims data from1st January to December 31st 2024.

2. HSBC Life (UK)

4. Cancer Research UK 5. Prostate Cancer UK HSBC Life (UK) Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Our Financial Services Register number is 133435 and our registered office is at: 8 Canada Square, London E14 5HQ. Registered in England number 00088695. HSBC Life (UK) Limited is a member of the Association of British Insurers

13

TECHNOLOGY

AI: BROKER FRIEND OR FOE? Victoria Thompson Head of Strategic Partnerships at Barclays

Artificial intelligence (AI) has moved from theory to reality, reshaping industries and prompting businesses to rethink how they work. Huge investments are evident, with Google recently pledging £5 billion to boost its AI capabilities in the UK, and conversations once limited to tech circles are now happening in boardrooms and homes alike. While AI promises improved productivity, smarter workflows and creative support, concerns about trust, ethics and the future of jobs are growing too.

Accenture’s announcement that all staff will retrain in AI shows the scale of change already underway.

Changing expectations

In the mortgage market, this shift brings both opportunities and challenges. Brokers, lenders and compliance professionals are exploring how AI will affect their work, not just in the future, but today. Its potential to transform underwriting, fraud detection, marketing and client engagement is clear. The real question is how we use it responsibly while preserving the judgement, empathy and trust that sit at the heart of the advice process.

AI also enables greater personalisation. As highlighted in the webinar, these capabilities support advisers in delivering improved outcomes without replacing the human element at the heart of advice.

These themes were central to the recent Barclays webinar, AI: Broker friend or foe?, where I was joined by Matt Coulson, founder of Heron Financial, and Alex Hansen, Compliance and Relationship Manager at National Hunter. The discussion explored how AI is already reshaping the sector and how firms can embrace it confidently and carefully.

14

Client expectations are rising and they are demanding decisions to be delivered faster, solutions that better reflect their circumstances and seamless digital journeys. AI, when used thoughtfully, can help meet those demands. It can process large amounts of data in seconds, highlight patterns that might otherwise go unnoticed and support more accurate decisionmaking. For brokers, that means less time spent on admin and more time focused on client conversations.

Yet technology cannot do everything. Machines might identify patterns, but they cannot read unspoken concerns, apply compassion or build trust. Human judgement remains essential, and the most effective brokers will combine AI’s capabilities with their own expertise Regulation and responsibility The regulatory environment will also shape how AI is used. The Financial Conduct Authority (FCA) is technology-neutral, focusing on accountability and outcomes rather than the tools themselves.

Firms must show how AI supports compliance and consumer protection, and ensure that decisions made with its support are explainable, traceable and documented.

As AI becomes more deeply embedded in the mortgage process, its role in marketing, risk management and customer retention will grow. But innovation must evolve alongside strong governance.

Firms that strike this balance will be better placed to deliver the fair, transparent and high-quality outcomes required under Consumer Duty.

Practical first steps A key message from the webinar was that adoption does not need to be complex. Starting small with low-risk tools can deliver quick wins and build familiarity before expanding into more advanced applications.

"...Human judgement remains essential, and the most effective brokers will combine AI’s capabilities with their own expertise."

Looking ahead AI’s role in the mortgage market will only grow. As digital-first generations become the dominant client base, expectations for faster, more personalised experiences will rise. AI will support everything from product recommendations and risk analysis to client engagement. But how it’s adopted matters and responsible integration will separate firms that thrive from those that fall behind.

In summary, AI is not here to replace advisers. It cannot build relationships or guide clients through complex decisions. But it can support and enhance the work advisers do every day by improving efficiency, accuracy and client experience.

It is our collective responsibility to shape how AI impacts us and our industry. Rather than waiting for technology to dictate the future, we must take an active role in guiding its development and application. By engaging early through education, ethical decisionmaking, and strategic adoption, we can ensure AI enhances our work, supports our values, and drives positive outcomes. If we remain passive, these tools will evolve without our influence, leaving us to adapt to systems we didn’t help design. Proactive involvement today is the key to creating an AI-enabled future that benefits everyone.

To explore these themes in more depth and hear insights from Matt and Alex on how AI is shaping the future of advice, watch the full AI: Broker friend or foe? here Barclays Bank UK PLC. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (Financial Services Register number: 759676). Buy to Let is not regulated by the Financial Conduct Authority or the Prudential Regulation Authority. Registered in England.

Registered number: 9740322. Registered office: 1 Churchill Place, London E14 5HP

Examples already delivering value include: •

Client conversation summaries: AI can review call transcripts and produce compliant notes, saving time and prompting follow-up questions.

•

Data gathering: Digital tools can collect client details outside office hours, speeding up case preparation.

•

Marketing insights: Analysing data can reveal trends, refine campaigns and improve targeting.

By automating repetitive tasks, brokers can focus on interpreting nuance, understanding client needs and delivering advice that makes a difference.

15

TECHNOLOGY

Due diligence is vital. AI providers must manage customer data securely and ethically. Data privacy and security has to remain a top priority, not just to meet legal obligations but to maintain trust. Clients need confidence that their information is handled responsibly, and transparency will be key.

WEALTH AND INVESTMENT

YIELD CURVES IN FOCUS: UK VS. US FISCAL DEFICITS Paul Flood Head of Mixed Assets Investment BNY Investments Newton head of multi asset investment, Paul Flood, reflects on market trends and policies impacting the yield curve in bond markets and compares the nuance between the US and UK fiscal deficits…

Key Takeaways: •

Inflation is driving bond yields higher, with pressure on longterm UK bonds amid fiscal uncertainty and lack of demand from pension funds

•

Flood believes a focus in the UK on growth rather than taxation could be beneficial.

•

Strategic risk management includes protective equity positions and calibrated gold exposure amid market volatility.

Bond yields have increased globally over the past several months, driven in part by inflationary pressures. The UK has seen a notable rise in its 30-year bond yield, moving from just under 5.2% to 5.6% since the start of the year.

However, demand for long-dated UK debt appears to be softening, with the Treasury signalling intentions to reduce issuance at the long end. In contrast, US 30-year yields have remained relatively stable, reflecting differing economic and fiscal dynamics.

The yield curve – UK versus US There are some market concerns around the UK’s fiscal position amid what Flood highlights is limited growth prospects.

16

Flood explains: “The United Kingdom fiscal deficit is projected to go from 5% down to 4% over the next three to five years, whereas in the United States it continues to rise up towards the 6% level. However, unlike the US, where GDP growth is relatively robust, the UK is facing stagnant growth, making its fiscal deficit more problematic.”

Flood outlines the need to see more growth in the UK, emphasising that raising economic growth is preferable to increasing tax burdens.

“The UK’s high savings rate — higher than that of the US — also dampens consumer spending, as households remain cautious amid job market uncertainties,” continues Flood. “This consumer caution further complicates efforts to stimulate growth through domestic demand.”

These factors contribute to the steepening yield curve, with longer-term yields rising more than shorter-term ones. The UK’s 10-year versus 30-year yield spread has widened to about 85 basis points, reflecting increased risk premiums on longer maturities.

“In the United States, the 30-year yield has remained stable and, unlike in the UK where the yield curve has steepened due to the rise of the 30-year yield, the curve steepening in the US has come about as the 10-year yield has dropped, suggesting that people believe the Fed is going to bring interest rates down and will have the flexibility to do that,” Flood explains.

WEALTH AND INVESTMENT The strategy is also exercising caution in gold, which has rallied 35% year-to-date, supported, Flood believes, by foreign central banks’ preference for gold over US Treasuries in their reserves.

Despite this, Flood highlights that holidngs of physical gold ETFs have not increased substantially, suggesting potential for further price support if institutional and retail investors increase their exposure.

“The gold rally may continue, which may lead to continued performance in gold should those participants also come into the market,” says Flood. “However, for us, given the significant gold price appreciation we've seen year to date, we have trimmed our gold position back within this strategy.”

From a sectoral perspective, Flood says the steeper yield curve benefits financial stocks, which have rallied strongly over the past six months. Conversely, bond proxy sectors such as consumer staples and healthcare face headwinds.

“Healthcare, in particular, is under pressure due to political initiatives aimed at reducing pharmaceutical prices,” says Flood.

“This is reflecting broader concerns about affordability and pricing fairness.”

Is all that glitters gold?

When considering the BNY Mellon Multi-Asset Diversified Return Strategy, Flood has some reservations on equity pricing.

“We are becoming more concerned of valuations, particularly in the US equity market,” he says. “Because of that, we've decided to put in some derivative strategies to ensure we're more protected should the equity market come off again.”

He cites the US as a market they are keenly watching, explaining that the strategy has taken a cautious stance by implementing put options on the S&P 500 to protect against downside risk, reflecting a prudent response to market strength and valuation concerns.

The value of investments can fall. Investors may not get back the amount invested.

Past performance is not a guide to future performance For Professional Clients only. This is a financial promotion. Any views and opinions are those of the investment manager, unless otherwise noted. This is not investment research or a research recommendation for regulatory purposes. Issued in the UK by BNY Mellon Investment Management EMEA Limited, BNY Mellon Centre, 160 Queen Victoria Street, London EC4V 4LA. Registered in England No. 1118580. Authorised and regulated by the Financial Conduct Authority. For further information visit http://www.bnymellonim.com.

17

COMPLIANCE AND REGULATION

SUPPORTING SMARTER ACQUISITIONS: HOW BANKHALL HELPS FIRMS WITH DUE DILIGENCE Andy Spedding Regulatory Advice Review Manager

The adviser market continues to evolve, with consolidation remaining a key theme. Whether driven by succession planning, growth ambitions, or strategic diversification, acquisitions are becoming increasingly common. But buying a firm is not just about the numbers — it’s about understanding the risks, the culture, and the regulatory footprint of what you’re acquiring.

At Bankhall, we provide specialist due diligence support to help firms navigate this complexity. In fact, we were proud to support two of the top five acquisitions by asset value in 2024 — a testament to the trust placed in our expertise and the value of independent insight.

What Does Acquisition Due Diligence Involve?

•

•

18

File Reviews: We assess a sample of client files to evaluate the quality of advice, documentation standards, and regulatory compliance. This helps identify any red flags or areas requiring remediation.

Policy and Process Reviews: We take a deeper dive into the target firm’s governance, supervision, complaints handling, and risk management frameworks. This provides a broader understanding of how the firm operates and whether its culture aligns with the buyer’s expectations.

•

Risk Assessment:We highlight potential risks — from legacy advice issues to operational gaps — and provide recommendations to mitigate them.

Independent due diligence is not just a box-ticking exercise.

It’s a strategic tool that helps buyers make informed decisions, negotiate fair valuations, and plan effective post-acquisition integration.

Why Independent Due Diligence Matters Acquiring a firm is a significant investment. Relying solely on internal assessments or seller-provided information can leave buyers exposed to hidden risks. Independent due diligence offers: •

Objectivity: A neutral, expert view of the target firm’s strengths and weaknesses.

•

Credibility:Assurance for stakeholders, investors, and regulators that the acquisition has been thoroughly vetted.

•

Clarity:A clear understanding of what needs to be addressed post-acquisition to ensure compliance and continuity.

COMPLIANCE AND REGULATION Top Tips for Buying Firms To help firms approach acquisitions with confidence, here are our top five tips: 1.

Start with the files Quality of advice is the cornerstone of any firm. Reviewing client files early helps identify potential liabilities and sets the tone for further investigation.

2.

Don’t Overlook Culture and Governance A firm’s policies, supervision structure, and approach to compliance are just as important as its financials.

Misalignment here can lead to integration challenges.

3.

Ask the Right Questions Go beyond surface-level metrics. Ask about complaints history, adviser supervision, training records, and how the firm handles regulatory change.

4.

Plan for Integration Think ahead to how the acquired firm will fit into your existing structure. Will systems align? Are processes compatible? Is there a plan for adviser onboarding?

5.

Use Specialist Support Engaging experts like Bankhall helps to ensures you get a thorough, independent view — and helps you avoid costly surprises down the line.

To support sellers, Bankhall has recently launched the Exit Pathway service. Acting on behalf of the selling firm, Exit Pathway helps prepare businesses for sale by identifying and addressing areas that could impact valuation or buyer interest.

It’s a proactive way to help ensure your firm is acquisition-ready and positioned to attract the most suitable buyer.

Supporting Strategic Growth Whether you're acquiring a single adviser or a multi-adviser firm, the stakes are high. Bankhall’s due diligence services are designed to give you confidence in your decision-making and clarity in your integration planning.

If you're considering an acquisition or want to understand more about how we can support your growth strategy, speak to your Bankhall Account Manager today.

What Sellers Should Know While this article focuses on acquisition support, it’s worth noting that sellers also have a role to play in ensuring a smooth transaction. Buyers are looking for: •

Clean, well-documented client files

•

Robust policies and procedures

•

Evidence of good governance and compliance culture

•

Transparency around historic advice and complaints

19

TECHNOLOGY

THE NEW OUTSOURCING: WHY ADVICE FIRMS ARE INCREASINGLY TURNING TO TECHNOLOGY Richard Wake Chief Operating Officer, intelliflo

In our latest marketwide advice efficiency survey, we asked 238 firms about their business operations and found a strong desire to increase productivity by adopting digital and AI tools. Many advisers wanted to be freed from time-sapping routine admin tasks to focus on building deeper, more rewarding relationships with their clients.

From onboarding and account admin to data capture and client servicing, digitisation is enabling advisers to reclaim time and focus instead on delivering value. AI-based services are now flourishing to reduce friction in processes even further.

Outsourcing in this way, not to third parties but to technology, is fast becoming a business necessity across the sector in 2025.

How firms are working today To understand how advisers are adapting in practice, our research explored what day-to-day client engagement and operations currently look like.

20

Our research revealed that the majority of firms (92%) are using a hybrid approach to client engagement, combining online and face-to-face meetings depending on what works best for each client. Two-fifths (41%) say they are operating with an even split between the two.

Nearly all respondents (96%) feel they could improve their advice journeys, pointing to frustrations with internal inefficiency, time-consuming processes, and fragmented systems as areas to improve.

These pressures are feeding directly into demand for technology.

The percentage of processes now digitised has risen by 10% on last year’s survey, to 43%. But there’s a clear appetite for more: firms say they want to increase this to 77%, giving a strong indication that advisers would rather spend their time in front of clients, where the value of advice really shines, than on admin.

TECHNOLOGY When it comes to AI, we found that 43% are already using it for personalisation, automation, data analysis and compliance. And interest is only set to grow. As more providers emerge targeting the specific needs of the advice sector, 64% of firms told us they want to see more AI helping with report writing, meeting transcription, fact-finding and, crucially, better integration.

We also found that aspirations aren’t always matching reality when it comes to technology. One in five firms want to eliminate all manual or paper-based processes, but only 1% have managed it so far. This gap is a clear sign that while frustrations remain, digitisation – supported by the right infrastructure and training – could be the solution advisers are looking for.

Support from technology

Underpinning advice, not superseding it

To see where technology could make the biggest difference, we asked firms to name their top priorities for digital adoption.

Three themes stood out:

All in all, the benefits of outsourcing to technology are clear. But it’s important to stress that AI and digitisation aren’t replacing advisers. They’re here to support you by removing friction, reducing risk, and cutting out human errors that creep in with repetitive manual work.

1.

Over three-fifths put better integration top, up from 58% last year. Switching between systems, rekeying errors, and compliance issues continue to be cited as major headaches, evidenced by 17% of client onboarding processes suffering from errors when rekeying data between unconnected systems.

2.

In line with last year, 54% stated that enhanced fact-finding, with richer, cleaner data, gathered with the support of technology, was crucial. That way, client meetings can become real conversations, rather than informationharvesting exercises.

3.

Just over half want facilitated note-taking and recording, capturing key insights in real time to help them focus on the client and free them from post-meeting admin.

Although it ranked as firms’ third biggest priority for digital adoption, demand for this actually declined from 57% last year, suggesting that AI transcription tools may already be lightening the load.

More importantly, the growing use of technology should liberate advisers, paraplanners and support staff from basic tasks that automated tools can complete efficiently, so you can spend more time where it really counts: with clients.

This article was first published in IFA Magazine on 29 October.

We transform the advisory experience.

Your advice can be life-changing – our technology makes it possible.

Registered in England and Wales No. 5206315 Registered Address: Wellington House, 60-68 Wimbledon Hill Road, SW19 7PA

21

PROTECTION AND GI

EXPERT KNOWLEDGE. TAILORED SUPPORT. Legal & General is much more than a provider. We’re your expert partner and you can lean on us to help boost your client relationships.

Because better advice starts with better support – we’ve reworked our Adviser Academy to make learning quick, relevant, and ready when you are.

Expertise That Moves You Forward Behind every product, claim, and service is a person who understands your world. Our commitment is built around three pillars that reflect the real support advisers need: •

•

22

Expert Support – Human-led help when it matters most.

From product knowledge to help with complex cases, our teams are here to provide fast, personalised answers that help you deliver confident advice.

Expert Resources – Tools that fit your process and your clients. These live on our Adviser Site, and include calculators, case studies, planning aids, and sales content designed to help you focus on what matters most: your clients’ needs.

•

Expert Learning – Knowledge that grows with you. This is where our Adviser Academy comes in — a dedicated hub for CPD-accredited webinars, podcasts, and soft skills development that helps you stay ahead.

Adviser Academy Need training that delivers real impact? Lean on our expertise.

Our refreshed Adviser Academy is designed to support your professional development. It’s not a catch-all platform — it’s focused specifically on learning, offering: •

CPD-accredited webinars

•

Knowledge-building podcasts

•

Soft skills development

•

Peer-led insights

Whether you’re dipping in for a quick refresher or diving deep into a new topic, the Adviser Academy is designed to work around your schedule — giving you the freedom to learn when it suits you.

PROTECTION AND GI Your Toolkit for Client Conversations For everything else — from sales aids and calculators to case studies and planning tools — head to our Adviser Site. It’s your central hub for practical resources that support your day- to-day conversations and help you deliver advice with confidence.

Expertise. It’s Personal There’s no robot-led info here. Just good, honest knowledge and stories from people: people who know your challenges and how to tackle them. We’re here to help, turning complexity into clarity with expert insight that’s always accessible.

A go-to partner - across protection, home finance, annuities, and mortgage services - the Academy offers the tools, insights, and support that make your job feel effortless.

Discover How We Can Support You and Your Clients Needs Whether you're focused on protection, Over 50s Mortgages, annuities, group protection or mortgage club, our Adviser Centre is your one-stop hub for expert support, tools, and learning.

Visit today to explore how Legal & General can help you deliver confident advice, every step of the way.

Explore the hub > Your expert partner, here for life | L&G

Support that helps you deliver more Our Market Development team is here to help advisers grow their business and deliver better client outcomes. Whether it’s mastering objection handling, gaining market insights, identifying new opportunities, or enhancing processes, we offer practical support tailored to real-world challenges. We’re also here to help advisers thrive in new environments, position themselves as industry leaders, and ultimately transform knowledge into action.

Legal & General Assurance Society Limited. Registered in England and Wales No. 00166055. Registered office: One Coleman Street, London, EC2R 5AA.

23

RESIDENTIAL

DOES TRACK RECORD ACTUALLY WORK? Derek Adams National Account Lead A question often asked by brokers (and other lenders) to BDMs in 2023, when we first launched our Track Record mortgage product.

(The ‘little to no deposit needed’ mortgage product launched to help first-time buyers, stuck in rented accommodation. Unable to save for a deposit after shelling out so much of their monthly income on rent and day-to-day living costs.)

The short answer is YES it works. We had over £100m Track Record applications from across the country in 2024.

When we were asking brokers for feedback recently, one broker said, “It’s been absolutely life changing for my client. She was absolutely thrilled”. The client had been given notice on their rental property. Mother to a disabled son, the family were mainly relying on benefits and a single income and therefore had a small deposit. The client thought her only option would be to look into Shared Ownership, but as they’d been paying £950 rent for 3 years, the broker recommended Track Record. The DIP showed she could borrow enough to purchase a property. Plus, she’d also have some money left from her savings to help cover legal and moving costs.

The criteria is simple. Each applicant: •

Must be aged 21 or over and must not have owned a property in the UK in the last 3 years.

•

Must have proof of having paid rent for at least 12 months in a row, within the last 18 months.

•

Will have no missed payments on debts/credit commitments in the last 6 months.

Subject to eligibility and lending criteria. Only available in Great Britain.

So, if you’re someone who looked at Track Record when it was launched 2.5 years ago and not since, it’s worth another look.

We don’t just launch a product and forget about it; we listen to broker and customer feedback and innovate. We’ve changed a lot since it was launched: maximum term, loan to income multiples, rental coverage requirements, all things that make a difference to the amount that a customer can afford to borrow.

Why? Because we want to make a difference. Because we want to help more people to have homes. Because it’s difficult trying to get on the property ladder nowadays. Rising rents, soaring house prices and the ever-increasing cost of living means that saving for a deposit can feel like an impossible task. More and more adults are living with their parents for longer, and even with savings and a deposit, mortgage and living costs can be simply too much to comfortably manage.

At Skipton we’re doing what we can, not only to keep innovating to help more people into homes, but we’re also campaigning for bigger changes from the government – like more tax-free savings but we're also calling on the government to reform stamp duty to reflect today’s affordability challenges. We also believe that the Government should reform the Lifetime ISA to meet the challenges of today and for the future. We're pushing for a housing market that truly works for first-time buyers.

Plus: •

In some circumstances we will offer loans which have monthly payments up to 120% of the rent the customer is currently paying.

•

The deposit must be less than 5% and a maximum loan size of £600,000.

24

Skipton Building Society is a member of the Building Societies Association. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, under registration number 153706, for accepting deposits, advising on and arranging mortgages and providing Restricted financial advice. Principal Office, The Bailey, Skipton, North Yorkshire, BD23 1DN

Important stuff just for mortgage brokers

Helping you say yes is what we do best Our experts are ready to help with your tricky mortgage cases.

Speak to your BDM and see what we can do.

Clydesdale Bank PLC (trading as Virgin Money). Registered in Scotland (Company No. SC001111). Registered office: 177 Bothwell Street, Glasgow G2 7ER. Financial Services Register Number 121873.

Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Credit facilities other than regulated mortgages and regulated credit agreements are not regulated by the Financial Conduct Authority. VM43631v1

SPOTLIGHT ON...

SPOTLIGHT ON... JANE REID Head of Client Relationships Q: What does your role involve day to day?

Q: What excites you most about the future of advice?

My day is all about supporting advisers and firms. A lot of it is problem-solving, helping firms navigate something that’s unclear, answering questions quickly, and making sure people get to the right support without being passed around.

So much, actually. The need for quality advice has never been higher, and advisers are becoming even more central to helping people make huge life decisions.

I keep on top of what advisers are telling us, what’s changing in the market, and what firms need from us right now. At its heart, my role is to make sure advisers feel supported, listened to and confident that we’re here when they need us.

Q: You’ve been with Sesame Bankhall Group (SBG) for almost 10 years — how has SBG changed for the better?

It’s changed hugely. The biggest difference is how much more adviser-centric we’ve become. We listen more, we explain more, and we’ve worked hard to simplify how firms engage with us.

There’s better communication, better use of data, and far more joined-up support across PMS and Bankhall.

We’re quicker, clearer and more responsive and I think advisers are really starting to feel that shift.

Q: How does your experience shape your approach to client relationships?

I’ve learnt that advisers don’t just want information, they want someone who understands the pressures they’re under. My years here have taught me to listen first, get the full picture and then come back with something practical and honest.

Consistency matters too. If you say you’ll do something, you do it. That reliability builds trust, and trust is what makes relationships work long-term.

Q: What’s your approach to listening to advisers?

I try to create space where advisers feel comfortable being honest with me, what’s working, what isn’t, what’s frustrating them, what they’re excited about.

I listen without jumping to solutions too early. Once you really understand what’s going on, you can support properly: share insight, connect them to the right person, or simply reassure them. Sometimes advisers don’t want a magic fix, they just want to know someone is genuinely hearing them.

26

Technology excites me, too. Not as a replacement for advisers, but as a way of giving them back time, reducing admin, and making compliance easier. The combination of human expertise and smarter tools is going to be incredibly powerful.

Q: What’s something people might not know about you?

My husband told me not to put this because it’s a red flag :-)... but when I am on holiday I am very unsociable, I do actually like some quiet time now and again. Lols.

Q: If advisers meet you at an event, what’s a good thing to talk about to engage you in conversation?

Ask me what I’m hearing from other firms at the moment, the themes, the challenges, the wins. I love sharing insight and comparing notes.

Or ask about the changes I’ve seen in the last decade, it always sparks a great discussion. And if all else fails, ask me about the funniest moment I’ve had supporting advisers. There are plenty.

Q: And finally, what’s your message to advisers reading this?

You play a vital role in people’s lives, often at really important moments. Never underestimate the impact you have.

Keep talking to us, keep challenging us, and keep telling us what you need. We’re here to support you, and we genuinely want to make your life easier so you can focus on what you do best -helping your clients.

We’ve made our Critical Illness proposition stronger We’ve listened to advisers and their clients and put together a series of meaningful Critical Illness policy enhancements that mean we’re there to financially assist more people facing difficult health diagnoses.

New customers will get more flexibility to deal with their situation in their own way, with less pressure on paying the bills or getting back to work.

These stats demonstrate just how many people in the UK are impacted by four of the critical illnesses that we cover...

144,700

5,000

55,000

63,000

About 144,700 people are living with Parkinson’s disease in the UK.

Motor neurone disease affects about 5,000 people in the UK at any one time.

55,000 women and 400 men are diagnosed with breast cancer in the UK every year.

More than 63,000 men are diagnosed with prostate cancer in the UK every year.

Source

Source

Source

Source

Enhancements new customers could benefit from Top-up payments (up to age 60) With payouts that reflect the financial obligations of working-age clients. Claimants can use the money for whatever they want from paying bills to private treatment.

Enhanced critical illness definitions We want it to be clearer what people are covered for and at the same time provide broader, improved cover.

Pregnancy complications We’ll pay out an additional £5,000 on 7 different types of complication.

NHS waiting lists Customers can now claim when they are placed on the NHS waiting list for surgery for 39 conditions* – they don’t have to wait for the surgery to take place.

Find out everything you need to know about the enhancements For full terms and conditions, including exclusions please go to the HSBC Life Critical Illness Policy Booklet. *39 conditions on CI Plus, including congenital heart disease on children’s CI Plus.

HSBC Life (UK) Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Our Financial Services Register number is 133435 and our registered office is at: 8 Canada Square, London E14 5HQ. Registered in England number 00088695. HSBC Life (UK) Limited is a member of the Association of British Insurers.

FIRST TIME BUYER TOOLKIT

28