By that date all mortgage brokers must be either AFA or RFA accredited, and Pratley said it was important brokers' acted now to achieve accreditation, taking measures including signing up to a disputes resolution service, undertaking the required training courses and registering with the Companies Office.

Pratley warned brokers that once the new regime goes live government regulators "are going to be looking for some headlines" and may seek to make a publicity-grabbing move to prove regulation is working.

He said when estate agents faced similar regulatory changes there was a spike in complaints as consumers were made more aware of avenues for redress.

The Securities Commission may adopt tactics such as examining Yellow Pages adverts to look for unregistered companies, then targeting those companies.

"Those giving advice outside their area will be a fair target," said Pratley.

The limited resources available for training and assessment of advisers' was one of the factors cited by Pratley for the need for prompt action.

Pratley said the issue of whether to opt for AFA or RFA accreditation was "the biggest dilemma I'm seeing in the industry" and outlined why the NZMBA favoured AFA registration.

He said the government would begin an advertising campaign on December 1 to publicise the new regulatory regime with an emphasis on AFA. He warned that while accreditation was voluntary if that were to change it would likely involve more cost and work to join the scheme at a later date.

Also with the likelihood of the AFA code, with its higher level of compliance, becoming a benchmark he said issues of client perception could come into play for RFA-compliant advisers.