Most mortgage advisers are set to fall foul of new rules around data protection, according to recent research from Mortgage Brain.
The technology firm says 81 per cent of brokers surveyed at its recent events had not started to tackle upcoming General Data Protection Regulation.
The GDPR rules are European Union rules coming into force in seven months and designed to give one standard for data protection across Europe.
The rules lay out how customer’s data should be collected and used, and firms can be fined for non-compliance.
The GDPR will build on the current UK Data Protection Act.
Mortgage Brain chief executive Mark Lofthouse says: “May 2018 might seem like a long way off but with GDPR affecting everything from the way customer data is collected, the way consent for use is given and the way data is stored and used, some firms could find they have a lot of work to do to ensure their business is compliant.
“With just seven months to go it’s imperative that advisers have a full and clear understanding of the new rules and regulations and are well aware of their responsibilities and what support they should expect from their system providers.”
Mortgage Brain says there is strong regional variation regarding broker knowledge of the new regulations.
In London, 50 per cent of brokers were unaware of the rules. This compares to 34 per cent in Birmingham, 30 per cent in Winchester and just 25 per cent in Manchester.