National licensing of brokers will encourage building societies and credit unions to embrace the mortgage broking channel, according to CEO of ABACUS, Louise Petschler
 
Petschler said credit unions were unlikely to change their stance towards brokers until there was "a strong, consistent and clear consumer protection framework around the licensing and operations of brokers"

"Broker regulation will give a greater degree of comfort to our industry, which places very high value on consumer protection principles," she said.

According to the recently released House Economics Committee report on lending competition, from March 2000 to March 2007 the number of building societies has fallen from 19 to 13, while number of credit unions has shrunk from 218 to 137 over the same period.
 
Among the building societies that do use mortgage brokers, Toowoomba-based Heritage Building Society, Australia's largest, recently reported a loan book of more than $6bn for its 2007/2008 financial year.