Whopity, I'm confused.
According to EASA's recent Comments Response Document for FCL, the following is required:
(b) additionally, for the FI(A):
(1) hold at least a CPL(A);or
(2) hold at least a PPL(A) and have:
(i) met the requirements for CPL theoretical knowledge; and
(ii) completed at least 200 hours of flight time in aeroplanes or TMG, of which 150 hours as pilot-in-command;
Going by the above, an FI (note: not LAFI) will have to acquire a CPL before being allowed to instruct, or at least have passed the CPL theoretical knowledge exams.
As I understand it, EASA have binned their original plan to do away with the CPL requirement for PPL instructors, due to objection from NAAs who want to toe the ICAO line.
If I'm interpreting this correctly, then this means BCPL holders will need to pass the CPL TK in order to continue to be paid for their work.