What does the latest UK sourcing data tell us about the advice market?
Our latest UK sourcing data shows that advisers are increasingly prioritising quality outcomes over volume as the market stabilises.
Every quarter, we analyse activity across our sourcing systems to identify the trends, shifts and changing behaviours shaping the UK advice market. The latest Iress Q2 Sourcing Data Insights Report shows a significantly calmer mortgage market, while protection applications remained resilient as advisers continued to focus on higher-quality client outcomes. Meanwhile, favourable rates drove annuity demand to record levels.
Summer seasonality also played a role. The World Cup and May and June heatwaves impacted activity levels on a micro level, something our Data Analyst Jimmy ‘the numbers’ Wilde explores in more detail in the full report.
Behind the football fever and heatwaves, the market may have been calmer, but it certainly wasn’t standing still.
Here are some of the key trends and observations from Q2 across mortgages, protection and retirement.
Mortgage market trends: stability returns as remortgage demand drives activity
Following months of rapid repricing and product withdrawals, the mortgage market showed signs of stabilisation during Q2. Activity across Iress mortgage sourcing platforms, Xplan Mortgage and Trigold, highlighted several important trends.
- Mortgage product shelf life increased: the average shelf life of a mortgage product almost doubled from eight days in early April to 15 days by June, giving advisers greater certainty as they navigated the ongoing refinancing wave.
- Residential product choice increased: product choice came close to record highs during June as lenders competed for borrowers coming off fixed-rate deals.
- Two-year fixes gained popularity: two-year fixed products continued to gain popularity as rates remained lower than equivalent five-year fixes.
Together, these trends point to a mortgage market becoming more stable, with advisers able to navigate a wider and more consistent range of products while supporting clients through the ongoing refinancing wave.
Protection market trends: quality over quantity
Protection data from The Exchange continues to show a market driven by committed advice rather than speculative research. The data highlights a growing focus on higher-quality advice and more efficient processes.
- Application volumes remained resilient: driven by growing market demand for higher-quality advice, application volumes have remained resilient, and conversion rates hold firm, reinforcing a growing ‘quality over quantity’ trend across the market.
- Technology is improving adviser efficiency: new Iress sourcing enhancements saved the advice market the equivalent of 182 working days in administration during the first half of 2026.
- Mortgage advice remains closely linked to protection: the data reinforces the close relationship between mortgage advice and protection, with mortgage activity acting as the strongest trigger for protection conversations.
The Q2 data, therefore, suggest that protection activity is increasingly reflecting genuine client advice needs rather than simply higher volumes of speculative research.
Retirement market trends: annuity demand reaches record levels
Demand for annuities remained exceptionally strong throughout Q2. In June, The Exchange recorded its highest monthly volume of annuity activity on record.
The key retirement trends from the quarter include:
- Favourable annuity rates continued to support demand: elevated gilt yields continue to support attractive annuity rates, encouraging advisers and clients to revisit guaranteed retirement income solutions.
- Equity release remains subdued: equity release activity remains subdued in a high-rate environment. However, growing industry discussion around housing wealth as part of retirement planning provides grounds for cautious optimism over the longer term.
The record annuity activity demonstrates the impact that market conditions can have on retirement advice, with advisers responding to favourable rates and helping clients consider guaranteed income solutions.
What are the main trends in the UK advice market in Q2?
The key takeaway from Q2 is not necessarily the volume of activity, but the quality of it.
Across mortgages, protection and retirement, Iress sourcing data shows advisers having more focused conversations with clients and helping them make decisions with greater confidence.
In mortgages, greater market stability has allowed advisers to concentrate on supporting the ongoing refinancing wave. In protection, resilient application levels suggest advisers are spending more time on committed client outcomes rather than broad product searches. Meanwhile, continued demand for annuities reflects advisers responding to favourable market conditions and helping clients lock in certainty where it matters most.
Taken together, the data indicates that advice firms are becoming increasingly efficient, using technology and market insight to spend more time with clients and less time on administration. As the market continues to evolve, the ability to combine efficiency with high-quality advice will become an increasingly important differentiator.
Where can I find the full Q2 UK sourcing data insights?
The full, in-depth Sourcing Data Insights Reports are shared exclusively with Iress clients each quarter, providing a unique view of trends across the UK mortgage, protection and retirement markets.
If you’d like to explore the latest insights, discuss our data or make a data enquiry, please speak to your Iress Account Manager or email sourcing@iress.com.
