The Financial Services Authority (FSA) today published the final FSA fees and Financial Ombudsman Service (FOS) levies for 2006/07 for regulated firms.
The FSA has finalised the 2006/07 fee rates at the same levels (within 1%) as those that were consulted on in February 2006. These exclude the distribution of enforcement fines, which will have the effect of reducing fees in some fee blocks.
The FSA will also update its Online Fee Calculator from 1 June 2006, allowing firms to calculate their fees and levies using the final 2006/07 rates, prior to the receipt of their invoices from June onwards. The Online Calculator was introduced in February this year.
Graeme Ashley-Fenn, Director of Contact, Revenue and Information Management Division at the FSA, said:
"Regulatory fees are essential for the FSA to undertake its statutory obligations and promote efficient, orderly and fair markets. We are pleased to note that there are no substantial changes between the final fee rates we have published and those proposed in the consultation. We are committed to making it easier for firms to do business with us and we have introduced the Online Fee Calculator to enable firms to plan their finances ahead of receiving their invoices. We have again facilitated, through the industry working group, a payment by instalments plan for firms for the second consecutive year."
The FSA is also planning a further fees consultation in the quarterly Consultation Paper due for publication in July. This additional mid-year consultation is required for the topics listed below, either because they must be implemented before the next annual fees consultation in early 2007, or to give firms time to consider the full implications of the proposed regulation of personal pensions and home reversions:
- fees for implementing the Reinsurance Directive from December 2006; and
- fee and levy issues regarding personal pensions (including self invested personal pensions (SiPPs), home reversion, and home purchase plans.
Further information on fees is available from our website and the fees helpline on: 020 7066 1888.
Background
- The updated Fee Calculator will be available on the FSA website from 1 June 2006.
- The Consultation Paper (CP06/2) setting out the regulatory fee and levy proposals for 2006/07 was published on 1 February 2006.
- Feedback on CP06/2 and final FSA fees and FOS levies 2006/07 were published in Policy Statement (PS06/2) on 31 May 2006. FSCS management expenses levies for 2006/07 were finalised in March 2006, see Handbook Notice 53. The Consolidated Policy Statement on fee-raising arrangements (PS06/3) was also published on 31 May 2006 and provides a broad view of fee rules and fee-raising arrangements; firms are encouraged to read this in conjunction with PS06/2 and the Fees Manual.
- The FSA regulates the financial services industry and has four objectives under the Financial Services and Markets Act 2000: maintaining market confidence; promoting public understanding of the financial system; securing the appropriate degree of protection for consumers; and fighting financial crime.
- The FSA aims to promote efficient, orderly and fair markets, help retail consumers achieve a fair deal and improve its business capability and effectiveness.
