"The pace of change will not slow, and firms will need to ensure that their plans for developing technology are underpinned by the clearest possible understanding"
The Council says technology has the potential to enhance the competitiveness of the UK mortgage market. 84% of companies believe technology could improve customer experiences and relationships and 76% say it could improve their own operational capabilities, according to the CML research.
68% think technology can give greater control to customers and 40% say it "has the potential to unlock the power of data".
But the research also highlights the challenges for lenders in a market in which two-thirds of customers prefer to speak to an adviser about complex products and value being able to ask questions and receive a personalised service.
Other challenges include the limitations imposed by legacy thinking and systems, the need for greater external collaboration and to keep pace with change, and the way in which compliance with necessary regulation can inhibit the pace of digital development.
The CML says lenders will need to develop their own commercial strategies to ensure they "can react with agility to future developments" and remain responsive to customers in a constantly evolving environment.
CML director general Paul Smee said: “This report highlights the enormous potential of technology in the mortgage market – a huge, process-driven industry with more than 11 million customers. It is already enhancing what lenders are able to offer their customers, as well as improving the efficiency of work behind the scenes.
"The pace of change will not slow, and firms will need to ensure that their plans for developing technology are underpinned by the clearest possible understanding of all the implications of digital change.”
