The forum also revealed frustration that networks without large parent companies were not receiving as much support from lenders as those who were owned by lenders or investment vehicles.
Janeczka Charnock, spokesperson for the PMP Network, said: “The forum felt that impending FSA and other associated industry fees, in conjunction with regulatory reporting, would lead to many directly authorised brokers seeking to become ARs.
“The feeling was that the full burden of regulation was yet to be felt by some firms.”
Commenting on the forum’s findings Linda Will, managing director of Yorkshire Building Society’s intermediary-only lender Accord, said she had observed a great deal of movement in the market.
“Lots of ARs are questioning the value they are receiving from their networks and may be looking to move. We have also come across directly authorised brokers who are finding that the weight of regulation is stopping them running their business.”
She added: “I think we will see a lot of musical chairs over the next few months with the same number of people just sat in different chairs. I think the DA/AR split will probably stay the same.”
Charnock said there were also concerns that lenders were not paying networks promptly and there was still confusion over whether lenders were paying brokers via the network or directly to the broker.
