Solvency II is set to be delayed by 12 months, pushing the deadline back from January 1, 2013 to early 2014, according to newspaper reports.

Concerns over the preparedness of some countries, as well as domestic regulators across Europe, means the deadline is likely to be pushed back, says the Financial Times.

Under a French proposal to the European Commission, revised rules would be introduced in 2013, but insurers would not have to stick to the new capital requirements until 2014.

However, there is concern the markets could get spooked by insurers which are still short of their capital requirements in 2013.

Lloyd’s general counsel Sean McGovern said Lloyd’s, which is widely seen to be ahead of the curve in implementing Solvency II, did not want a delay.