The resurgence of independent servicer reviews reflects a broader shift from cost-driven servicing partnerships to outcome-driven, resilient operating models. For CROs, this is not merely about SLA compliance—it’s about embedding robust, evidence-based oversight into the fabric of risk frameworks.
Key areas demanding CRO attention include:
• Consumer Duty & Reputational Risk – The FCA has fundamentally altered the risk landscape. Servicers must now demonstrate that they deliver good customer outcomes, not just efficient processes. Risk remains firmly with the lender, making servicer oversight a board-level accountability issue
• Important Business Services & Operational Resilience – With regulators enforcing impact tolerance thresholds across the product lifecycle, servicer performance directly affects a firm’s ability to remain within its operational boundaries. Oversight is now a mandated control to ensure continuity and compliance
• Rising Repossessions & Asset Management Risks – Although still below historical peaks, the steady increase in property repossessions requires reactivated and strengthened asset manager SLAs. This signals a need for sharper data, clearer metrics, and more dynamic monitoring to mitigate credit and operational risks
Moving beyond Price-Based Selection
Forward-thinking institutions are now evaluating servicers through a dual lens; cost efficiency and independently verified customer outcomes. This shift enables lenders to select partners who not only provide cost efficient services, but also enhance customer satisfaction and regulatory standing—directly supporting a firm’s ‘Duty’ obligations.
How We Support CROs
Since 2008, we have specialised in helping risk functions transform servicer oversight from a compliance exercise into a strategic advantage. Over that time, we have also developed good relationships with all the major servicers in the UK, so completely understand their own business models and the challenges they face. Our support includes:
• Risk Model Refinement – Work with all parties to integrate servicer performance data into existing risk frameworks
• Data Quality & Analytics Enhancement – Enabling real-time oversight and predictive insights
• Independent Validation – Providing objective, evidence-based assessments of servicer outcomes
For CROs, the goal is clear: build a servicing ecosystem that is resilient, transparent, and aligned with regulatory expectations—turning oversight into an opportunity for strengthened governance and sustained trust. Let’s discuss how we can help you refine your oversight approach, enhance resilience and meet your obligations with confidence.
