Four in 10 intermediaries say they will be responsible for their own compliance in 2004.
Cardiff-based network networkone's 'State of Trade' survey of 900 intermediaries also suggests almost three in 10 intermediaries will have an inhouse compliance officer by October 31 next year. Two in 10 say they will rely on a third-party consultant while just over one in 10 have not thought about compliance yet.
Half of those surveyed say they have spent between £1,000 and £10,000 on regulation – four in 10 spending over £1,000 and one in 10 over £10,000.
Nearly half say they have been contacted by lender, packager or network partners with offers to assist with their plans for regulation. But over a third say they have received no assistance at all as yet.
Respondents were evenly split over the impact FSA regulation will have on the mortgage industry with over four in 10 believing it will have a positive effect but an equal number saying it could prove detrimental.
Six in 10 of the respondents say they intend to pursue principal status while nearly four in 10 say they are to seek appointed representative status.
Mark Osland, director of Croydon-based Fidelius, says: “A lot of mortgage advisers are already regulated by the FSA through other channels so it's not surprising that so many will handle their own compliance. But it is shocking that so many have spent so much on preparing for the new regime. As an IFA firm we have spent virtually nothing as we already have the relevant systems in place.
“Ultimately it is up to individual firms to prepare themselves for regulation rather than the lender, packager or networks.”