With the industry poised to enter the Financial Services Reform Act (FSRA) regime on Thursday, the Australian Securities and Investments Commission (ASIC) has processed only about 3600 of the 5000 Australian financial services licences (AFSLs) it originally anticipated.

A grand total of 709 insurance brokers have been granted AFSLs.

Pauline Vamos, ASIC’s Director FSR Licensing and Business Operations, told Sunrise Exchange News the regulator is working flat out to process about 300 applications in time for this week’s deadline.

She says reports in last week’s Australian Financial Review that ASIC had received 1000 applications for licensing relief were misleading. The figure related to the whole two-year transition period, not recently lodged applications.

“The figures for relief are changing constantly,” she said. “For example, last week we received about 20.”

Ms Vamos says it will depend on the individual circumstances of businesses as to whether they’re granted relief. “Some will be granted relief just because their applications are so complicated,” she said.

“We’ve told other businesses we won’t take any action and they can have an extended period to apply rather than relief as such.”