Lloyds research indicates that Londoners are among the UK’s most frequent users of AI for personal-finance help, yet they report the lowest confidence in using digital financial tools. This creates a useful signal for mortgage and protection advisers: consumers may use AI for initial research, but still need reassurance, explanation and accountable recommendations when decisions become complex.
The distinction matters in areas such as affordability, later-life lending, protection and unusual income. AI can organise information and help clients prepare questions, but it may not reliably capture personal circumstances, vulnerability or the trade-offs behind a recommendation. Advisers should position digital tools as part of a human-led, regulated advice journey, not as a substitute for it.
- Ask clients what digital research they have already undertaken.
- Correct assumptions created by generic AI outputs.
- Explain clearly where advice, lender criteria and underwriting discretion go beyond an automated answer.