The FCA is consulting on its proposed regulatory fees and levies for the next financial year (1 April 2020 to 31 March 2021). The FCA is also consulting on the Financial Ombudsman Service general levy, Money and Pensions Service, Devolved Authorities and illegal money-lending levies for the next financial year.
Given the impact of Covid-19, the FCA aims to ensure that it protects the smallest firms by proposing a freezing of minimum fees. This means that the 71% of firms that are small enough to only pay minimum fees will see no change in the fees they pay.
To help medium and smaller firms the FCA is proposing to extend the period for paying their fees by two months to 90 days.
This means that 89% of firms will have until the end of 2020 to pay their fees and levies. Larger firms will be expected to pay their fees under the usual payment terms.
The FCA is consulting on:
- FCA 2020/21 periodic fee rates, revised application fees and further FCA fees, further FCA policy proposals and consumer harm campaign.
- Financial Ombudsman Service, Money and Pensions Service, Devolved Authorities and illegal money lending levies.
The consultation closes on 19 May 2020.
Next steps will be to consider comments on the proposals and, subject to FCA Board approval in June 2020, publish a Policy Statement in July, setting out the final rules and including FCA feedback on comments.
