Application fees for FCA authorisation under review
The FCA has set out proposals to ‘revalorise’ and simplify all FCA authorisation application fees and introduce some new transaction fees as part of a Consultation Paper on regulatory fees. The current application fee for insurance intermediaries in fee band A19, at £1,500, has not changed since 2004. To account for inflation this would increase to £2,320, a 67% increase.
The FCA currently identifies 83 different charges for applications and believes such a large number of different charges is confusing and may complicate communication with prospective applicants. So, as well as revalorising the current fees, the FCA proposes to condense them into a simple table of ten pricing categories. The fees under each of the pricing categories would then be reviewed annually in line with the FCA budget for ongoing regulatory activities.