The acquisition of Mortgage Intelligence by OneDome could signal an era of more consolidation in the mortgage network space, and those that succeed will “invest, innovate and provide a clear value proposition for brokers”.
OneDome announced that it had acquired Mortgage Intelligence – which also includes Mortgage Next Network Limited and Life and Easy Limited – from Connells in November, growing its mortgage distribution footprint substantially.
Nicholas Mendes, mortgage technical manager at John Charcol, said the OneDome acquisition of Mortgage Intelligence “shows clear intent in their ambitions”.
He added: “Networks are under pressure from multiple directions – rising regulatory costs, tighter margins, and the need for ongoing investment in technology. Smaller and mid-sized networks often struggle to absorb those costs at scale, so being part of a larger platform or tech-led business becomes an attractive way to stay competitive.
“The opportunity for networks is obvious: scale brings better lender terms, more robust technology, and the ability to offer brokers integrated tools and smoother customer journeys. The challenge is cultural. Networks must balance efficiency with the independence brokers value. Push too far toward centralisation and firms will start looking elsewhere, including the directly appointed (DA) route.”
Mendes said that for brokers, consolidation “cuts both ways”, as some would “welcome the stability, the improved tech stack, and potentially broader lender access”.
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“Others will use moments like this to reassess whether their network still aligns with their goals. We may see more experienced firms shift networks or go DA if they feel they can operate more efficiently on their own terms, particularly those with strong client pipelines and established processes.
“Networks will need to sharpen their proposition. Competitive procuration fees alone are not enough. Brokers want proportionate compliance, meaningful onboarding support, and technology that speeds up workflow rather than adding layers of friction.
“This deal won’t be the last. As margins tighten and customer expectations evolve, the market naturally gravitates toward larger, better-resourced networks. The networks that thrive will be those that invest, innovate, and maintain a clear value proposition for brokers,” he said.
Mortgage network space will see more consolidation and start-ups
Paul Day, founder and director of Network Consulting Services, said the acquisition of Mortgage Intelligence showed that there is appetite for mortgage networks, noting that there are private equity and venture capital firms looking to invest.
He noted that not only could there be more consolidation in the market but also new start-ups wanting to enter the market.
Day added that, based on conversations he was having with brokers, there was “appetite” for going from DA to appointed representative (AR).
“I think the appetite from brokers – it may be reluctantly – is that they will go towards networks. It just offers them a plug-and-play. They can get in there, and it’s just up to those individuals to make sure that they choose the right one [and are] not tied in for too long. And it suits… their values and their working practices… so, yes, I do think there’s going to be more going towards networks,” he said.
Day added that going forward, mortgage networks may have to “build in more value-adds” for advisers, and that technology would be key.
“Technology is a large part of that – making it more streamlined for the advisory process, while not cutting corners, making it an easy consumer process, because at the end of the day, that’s why they’re all here. With that investment in technology, investment in value-adds, etc, [they] just come at a cost,” he said.
Networks will have to focus on their offerings, including general insurance, protection, sourcing, training and communication with advisers, as “little things can give them a competitive edge” and offer advisers “true value” to their business.
“All these little things added up, that’s where networks can come in and win and keep their advisers happy,” he added.
Mortgage networks ‘must compete on quality of their support’ not just fees
Zara Bray, mortgage and protection distribution director at Quilter Financial Planning, said running a network today “requires far greater scale, deeper capital resilience and sustained investment in both technology and compliance than it did even a few years ago”.
“Regulatory expectations continue to rise after Consumer Duty and networks must now provide genuinely high-quality oversight, training and digital infrastructure to support advisers. That level of investment simply is not feasible for every firm, which naturally encourages mergers and larger groupings,” she noted.
Bray said that from Quilter Financial Planning’s perspective, networks still “offer enormous value to mortgage advisers”.
“While some advisers consider the DA route, the reality is that the regulatory and operational burden has never been heavier. Many firms underestimate the time and cost involved in maintaining compliant processes, implementing systems, shouldering professional indemnity (PI) risk and staying on top of evolving regulation.
“A strong and larger network absorbs those pressures and allows advisers to focus on clients, rather than infrastructure,” Bray added.
Going forward, she said she expected advisers to “become more selective about the network they choose”.
“Switching is easier than it once was and firms want to be confident that their network will remain stable, sustainable and well-capitalised. That means networks must compete on the quality of their support rather than on fees alone. The winners will be those that invest in ways to genuinely enhance adviser productivity, provide strong case-handling support and offer consistent training and development to keep advisers ahead of regulatory expectations.
“Consolidation is not inherently negative. When done well, it can strengthen the market by concentrating investment, improving the standard of oversight and creating more robust environments for advisers to operate in. Ultimately, advisers benefit from networks that are equipped to keep pace with change and we expect that to remain a central driver of how the market evolves,” Bray added.
