Mortgage sales surge for Sesame

Sesame Bankhall Group saw a 27 per cent surge in mortgage business for PMS and Sesame in the first half of 2013.

The combined group advised on £14.9bn of mortgage applications in the first six months of 2013, a £3.2bn increase on the £11.7bn advised on in the same period last year.

SBG managing director John Cupis says: “With a buoyant mortgage market and record numbers of mortgage advisers joining us last year, and into 2013, we are confident these encouraging mortgage results will continue into the second half of this year.”

In the group’s 2012 results, published today, it reported pre-tax profits of £4.1m for 2012 despite its network arm reporting a £9.3m loss largely due to its £6m FCA fine.

The profit is almost double the £2.2m profit reported by SBG for the previous year. The network arm reported a £2.4m loss for 2011.

The network made a complaints provision of £12m for the year whilst paying out £10.6m in claims.

The highest paid director at the business received £539,000 for the year.

Turnover increased 6 per cent to £180.2m, up from £170.3m in 2011.

Sesame announced in June it had been fined £6m for failing to ensure investment advice was suitable and for failings in the systems and controls that governed the oversight of its appointed representatives.

Sesame had a total of 2,252 registered individuals at the end of 2012, up 1 per cent from 2,222 in 2011.

The firm had a financial surplus of £14.9m, down from £21.9m the previous year, SBG attributes the majority of the drop to the FCA fine.

Sesame chief executive George Higginson says: “In challenging market conditions we have continued to see healthy increases in revenue, adviser productivity and new advisers. Through our multi-million pound investment in technology and a new broader range of services for advisers, we are positioning the group strongly for the future.”