D-day for N2 when the regulator gets its full powers is widely expected to be autumn 2001 contrary to the summer deadline the FSA is working towards.
Last July, the Treasury announced that the implementation of the Financial Services and Markets Act N2 was being delayed until July this year due to the vast amount of secondary legislation but says it will be announcing the date in the spring.
But the industry doubts the July target for the FSA gaining full power is achievable, believing it will slip back to later in the year.
Aifa director of policy and technical services Fay Goddard says changing regulator from the PIA to the FSA is unlikely to lead to fundamental disruptions and says Aifa is using its involvement in the consultation process to ensure an improved environment.
Goddard says: “Everyone is hoping for a smooth transition and would rather have the opportunity to get used to the new system than have it rushed through.”