"There are tangible issues. It is difficult, but we must understand where we are now and where we have been as an industry, before we go forward."
The research, published in conjunction with Aldermore and Virgin Money, collated views from 1,178 people on issues including culture, career progression, pay and rewards, and actual experiences of overt discrimination.
The report revealed widespread recognition that the mortgage industry needs to become attractive to diverse talent. While many survey respondents noted recent progress on gender diversity and point to the success of initiatives such as Women in Finance, fewer than half of all respondents (43%) agreed that the mortgage industry attracts a workforce that is representative of the whole community.
There were frequent references to women, LGBTQ+ and people from ethnic minority backgrounds having to work ‘twice as hard’ to prove their worth and overcome barriers. However, straight white men underestimated the extent to which their colleagues do not believe that the industry is genuinely meritocratic: three-quarters (75%) believe, for instance, that gender has no bearing on career progression and rewards.
Among the 448 survey respondents who had taken parental leave, 48% of women felt that this had put them at a disadvantage in their career, compared to only 8% of men thinking that this negatively impacted their progression and pay.
When asked about experiences of overt discrimination, sexual harassment and inappropriate behaviour had been experienced by 8% of respondents and bullying, physical harassment or violence by 7%, but both had been witnessed by up to 12%.
Women face most sexual harassment, with 15% saying they have personally experienced this.
Interviewees from ethnic minority backgrounds also reported a wide range of racist comments, assumptions and microaggressions.
Overall, the most common forms of discrimination are about feeling undervalued, being unfairly spoken to, demeaning language being used, and feeling uncomfortable or exclusion in the workplace: more than 20% survey respondents reported those. Between 15 and 20% of survey respondents experienced or witnessed being passed over for promotion, feeling uncomfortable at industry events, and being made to work on tasks below their skills or pay grades.
Of the 268 survey respondents who have experienced or witnessed inappropriate behaviour at work, 5% of Type 1 respondents, 10% of LGBTQ+ people, and 13% of women and ethnic minority respondents actually left their company because of concerns around discrimination, diversity, inclusion or equity, while 10% of women did so.
The AMI said: "On first read it is easy to focus on some of the uncomfortable facts that have been presented. There are tangible issues. It is difficult, but we must understand where we are now and where we have been as an industry, before we go forward.
"Discrimination and harassment have no place in our industry or in society. We will not tolerate this behaviour and a new code of conduct needs to be agreed and signed up to by all firms. We must call out poor behaviour whenever we see it, knowing that there will be support around us. AMI hopes these research findings will commence more conversations, stimulate thought and bring real change."
Robert Sinclair, Chief Executive of AMI, commented: “The report highlights simple actions that we can all take to make a change individually, as well as more structural changes required at firm level. We have some real hope for the future, some real talent to let through our doors, a real chance to make a difference to the lives and experiences of so many within this industry. AMI is committed to work with intermediary firms, lender partners and the industry, as a whole, to do so.
"We must come together, banish poor behaviour and choices, and eliminate any ingrained prejudices to ensure that we, as an industry, attract a diverse workforce. We must champion true meritocracy, smash glass ceilings and ensure we are truly representative of the customers we advise now and in the future. Our industry, our people and our clients will thank us.”
