AIC 105/1998 (White 325) aligned the aeroplane instructor training course with JAR-FCL Part 1 with effect from 1 November 1998. You can no longer become an AFI, only an FI(R).
In theory an FI(R) can teach the PPL elements of the Integrated CPL or ATPL course under JAR-FCL1. If you could find an approved a school who would take the chance of employing an inexperienced FI(R) you would probably be ill advised to take the job since they wouldn't last very long.
There is, at present, only one JAA licence course running, the latest one to start at Oxford. Some other schools are running JAR compliant flying syllabi with CAA ground syllabi towards a CAA licence.
CAP 509 allows an AFI to gain a CPL/IR approval but few have ever managed to achieve the required standard. Since there will be no CAP509 courses starting after 1 July 1999 you might as well forget it.