Mid-sized brokers face sell-or-upgrade dilemma
Mid-corporate brokers confront a critical juncture as escalating client expectations force them to choose between selling their businesses or committing substantial resources to technological upgrades.
John Batty, who leads technical services at Bridge Insurance Brokers, outlined the rationale behind the company’s sale to Gallagher earlier this year. During a session at the Broker Expo Roadshow, he highlighted how mid-corporate clients, those generating annual revenues of £50 million or more, were increasingly demanding services only larger brokers could deliver. Batty noted that the decision to sell was driven by the need to meet these growing client demands. The sale occurred after Bridge recorded a 4.8% rise in turnover for its last financial period, though higher operating costs had already squeezed profitability before the transaction.
This pattern extends across the sector. Specialized brokers such as Venture Risks Group, which focuses on technology-driven risk solutions, have become prime acquisition targets for bigger players. Meanwhile, firms like Well Dunn are pursuing aggressive growth strategies. Uwais Patel, a director at Well Dunn, has set an ambitious goal of doubling gross written premium to £100 million within five years, a plan that demands heavy investment in digital infrastructure and client-facing tools.
Technology has evolved from an optional enhancement to an essential component of broker survival. Firms now deploy digital platforms not only to optimize workflows but also to sustain regular client engagement. Brokers should use tech to ‘find an excuse’ to boost client touch points, but the frequency of touch points should mostly be dictated by the customer.
Not every broker is following the same trajectory. One Call Insurance Services, headquartered in Doncaster, reversed a prior decline in 2025, expanding its turnover by £6 million to reach £65.29 million. Despite this growth, operating profits again fell short, illustrating that even successful independent brokers face mounting pressure to modernize. The company’s ability to grow organically suggests some firms can avoid sale; but only if they rapidly adapt to client demands and competitive threats.
