Mortgage brokers regarded by the Mortgage Code Compliance Board as 'members in good standing' can expect to see their applications for authorisation fast-tracked.
Firms from the General Insurance Standards Council and Institute of Insurance Brokers Regulatory Council will also benefit from the decision.
In a letter sent last week Sarah Wilson, director of the FSA's high street firms division, informed the bodies that members in good standing should be awarded due credit in the authorisation process.
Though the FSA insists the move does not equate to 'grandfathering', firms with sound compliance records will see their applications processed quicker than those not considered to be in good standing.
Wilson states: “Having reviewed the information that you provided to us regarding these matters, we have concluded that the MCCB requirements and compliance programme provide sufficient evidence for the FSA to be able to regard your members in good standing as posing a lower risk to our statutory objectives than other otherwise-similar applicants.”
“Applications from members in good standing will receive a level of scrutiny which reflects the standards set by the relevant organisation. This does not of course amount to grandfathering.”
MCCB spokesman Brad Baker says: “While the decision does not mean firms not in good standing will not be authorised, it does mean they will be subject to additional checks.”
The FSA decision came in the same week as the start of the registration process for intermediaries seeking direct authorisation.
Brokers can register for an application pack on the FSA website or phone 0845 60 555 25, with the packs being available from early December.