FCA sets mortgage consumer outcome expectations

Jonathan Davidson, speaking at FCA’s webinar on mortgage forbearance, discussed what FCA is seeing the mortgage markets and reiterated its expectations on firms.  His key takeaways were:

• FCA sees an increasing desire for return to business as usual – but it’s not clear what that looks like;
• many mortgage deferrals have now expired or are about to, and many customers have resumed payments – but some will still struggle;
• firms need to adapt to operational challenges such as:
  • moving staff into different business areas to reflect customer demand;
  • keeping staff trained and motivated in a remote working environment; and
  • continuing to check that outsourced service providers are delivering the consumer outcomes firms need;
• getting the balance right when dealing with the borrowers who still need help – he noted FCA’s views on automation versus the need to deliver outcomes that are right for specific borrowers; and
• FCA will be monitoring how firms have adapted to change, and the outcomes for consumers – and it understands firms are doing their best, but will still take action where it needs to.