The FSA is delaying its plans to extend its approved persons regime to mortgage brokers and bank staff who arrange mortgages until 2012/2013.
The regulator announced in June as part of the Mortgage Market Review that anyone who advises on or sells mortgages would have to be individually registered with the regulator, and demonstrate that they are “fit and proper.”
The changes were due to be introduced by the end of March 2011.
But a statement posted on the FSA’s website yesterday says this has now been postponed.
The FSA says: “We remain committed to making these changes to the approved persons’ regime, but as part of our ongoing reprioritisation of work; particularly around the regulatory reform agenda, we are deferring introduction of the changes to 2012/2013.
“Once the rules are finalised, we will give firms sufficient time to put changes in place to comply with the approved persons’ regime, as with any new rules.”
The FSA will publish a full economic analysis of its MMR proposals next year which will “inform” the final rules.
CML director general Michael Coogan says: “With improved professionalism and a range of mortgage issues out to consultation, it is sensible to make changes affecting individual sellers all at the same time. Bearing in mind the fact that firms would prefer to be able to budget and plan ahead for change, we are pleased to see the FSA taking a sensible and pragmatic approach on this issue for 2011.”