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Mortgage intermediaries and the industry must work together in the best interests of consumers, Chris Cummings, director general for Ami and Aifa has said.

Speaking at the trade body's annual dinner, Mr Cummings said borrowers have increasingly turned to mortgage intermediaries for support demostrating the degree to which consumers value advice.

On this basis he, along with Ami's chairman John Gummer MP, called for the mortgage industry to work together and put the interests of consumers first.

Mr Cummings told the dinner: "In the first quarter of this year, consumers have increasingly turned to our members to seek out professional mortgage advice.

"More than 80 per cent of first time buyers used an intermediary, representing a 10 per cent increase on the previous year. The re-mortgage markets also saw intermediary business up by 10 per cent."

Phil Perry, IFA for Manchester based Ark, said he has seen the number of mortgage completions increase, even though it was not his core business.

He said: "I heard that a local bank branch has had one mortgage completion over the last month. Since April we have had seven and we usually do 14 in a year, which shows clients do not know where to turn.

"The banks and building societies are closing ranks, pushing up fees and shutting out the intermediary out of the market. Things will change and they would want more business from us again.

"Are IFAs being treated fairly in this market? Clients are willing to pay fees because they want the right products. Everyone should work together in this instance and not close ranks."