FEES 5 Financial Ombudsman Service Funding

Rules and guidance made by the FCA in this chapter apply to every firm which is subject to the Compulsory Jurisdiction.

A reference to firm in this chapter includes a reference to a fee-paying payment service provider, fee-paying electronic money issuer, a CBTL firm, a designated finance platform and a designated credit reference agency.

FEES 5.1.1AR does not apply to FEES 5.5B , FEES 5.5C, FEES 5.5D, FEES 5.5E or FEES 5 Annex 2R, FEES 5 Annex 3R or FEES 5 Annex 5R, unless otherwise stated in rules made by the FOS Ltd .

This chapter applies to a TP firm. This rule demonstrates the contrary intention under GEN 2.2.26R.

A firm which is exempt under DISP 1.1.12 R is also exempt from FEES 5.1, 5.2, 5.3, 5.4 and 5.6.

A firm will only be exempt from FEES 5.7 for any given financial year if it met the conditions inDISP 1.1.12 R on 31 March of the immediately preceding financial year.

A firm which ceases to be exempt under FEES 5.1.4 R is to be treated, for the purposes of its contribution to the general levy, as a firm to which FEES 5.8 applies.

In accordance with GEN 2.3 (General saving of the Handbook for Gibraltar), provisions in FEES 5 that immediately before IP completion day applied in relation to or in connection with Gibraltar will continue to apply after IP completion day. The exceptions to this provision are the amount of annual and case fees payable that are set out in FEES 5 Annex 1R, 5 Annex 2R and 5 Annex 3R, which may change each fee year.

A firm must pay to the FCA a general levy towards the costs of operating the Compulsory Jurisdiction of the Financial Ombudsman Service.

The FCA will calculate a firm's general levy under the Compulsory Jurisdiction as follows:

1. (1)

   identify each of the tariff bases set out in FEES 5 Annex 1R which apply to the firm for the relevant year;

2. (2)

   for each of those tariff bases, calculate the sum payable in relation to the relevant business of the firm for that year (except industry blocks 2 and 4, in which case calculate the sum payable for that year) in accordance with FEES 5 Annex 1R;

3. (3)

   add together the amounts calculated under (2).

A VJ participant which becomes subject to the Financial Ombudsman Service part way through a financial year must pay a proportion of the annual levy required by FEES 5.3 and FEES 5 Annex 2R, to be calculated as follows:

1. (1)

   a VJ participant joining during the first quarter of the financial year will pay 100% of the annual levy;

2. (2)

   a VJ participant joining during the second quarter of the financial year will pay 75% of the annual levy;

3. (3)

   a VJ participant joining during the third quarter of the financial year will pay 50% of the annual levy; and

4. (4)

   a VJ participant joining during the fourth quarter of the financial year will pay 25% of the annual levy.

For the purpose of FEES 5.3.6 R and FEES 5.3.8 R, a member of the Society of Lloyd's or a managing agent at Lloyd's will not in that capacity be treated as a firm. But the Society of Lloyd's will pay a general levy in respect of Lloyd's insurance business conducted with eligible complainants.

For the purpose of FEES 5.3, references to relevant business for a firm which falls in industry block 16 or 17 and which so elects under FEES 5 Annex 1R, are references to the firm's total amount of annual income reported in accordance with FEES 4 Annex 1AR Part 3.

1. (1)

   A firm must provide the FCA by the end of February each year (or, if the firm has become subject to the Financial Ombudsman Service part way through the financial year, by the date requested by the FCA) with a statement of:

   1. (a)

      the total amount of relevant business (measured in accordance with the appropriate tariff base(s)) which it conducted; or

   2. (b)

      in the case of firms in industry blocks 2 and 4, the gross written premium for fees purposes as defined in FEES 4 Annex 1AR (unless the condition in FEES 5.4.1R(1A) is satisfied),

   as at or in the year to 31 December of the previous year as appropriate, including only business undertaken from a branch or establishment in the UK in relation to the tariff base for each of the relevant industry blocks set out in FEES 5 Annex 1R. Firms that do not carry out their business from a branch or establishment in the UK will pay the minimum levy for each tariff base.

2. (1A)
   1. (a)

      The condition is that a firm in industry blocks 2 and 4 elects to notify the FCA of the amount of gross written premium for fees purposes, as defined in FEES 4 Annex 1AR, that relates to relevant business.

   2. (b)

      The notification must be made by 8 April each year. If 8 April is not a business day, the firm must make the notification by the business day immediately following 8 April.

3. (2)

   Paragraph (1) does not apply if the firm pays a general levy on a flat fee basis only or if it is the Bank of England.

4. (3)

   If a firm cannot provide a statement of the total amount of relevant business as required by FEES 5.4.1 R, it must provide the best estimate of the amount of relevant business that it conducted.

5. (4)

   For the purpose of FEES 5.4.1R, references to relevant business for a firm which falls in industry block 16 or 17 and which so elects under FEES 5 Annex 1R, are references to the firm's total amount of annual income reported in accordance with Part 3 of FEES 4 Annex 1AR.

6. (5)

   If a firm does not submit a complete statement by the date on which it is due in accordance with this rule and any prescribed submission procedures:

   1. (a)

      the firm must pay an administrative fee of £250 (but not if it is already subject to an administrative fee under FEES 4 Annex 2A, Part 1, Part 1 or FEES 6.5.16 R for the same financial year); and

   2. (b)

      the general levy will be calculated using (where relevant) the valuation or valuations of business applicable to the previous period, multiplied by the factor of 1.10 (or, if a firm has become subject to the Financial Ombudsman Service part way through the financial year, on the basis of the information provided to the FCA for the purposes of FEES 4.4.2 R) or on any other reasonable basis, making such adjustments as seem appropriate in subsequent levies once the true figures are known.

7. (6)

   Where the FCA grants a person’s application for annulment of a cancellation or variation of Part 4A permission under Schedule 6A to the Act and on the date the annulment takes effect the time for providing information in this rule has passed, then that time for compliance does not apply, but a person must comply with this rule on the date on which the person’s annulment takes effect.

1. (1)

   In the case of firms in industry blocks 2 and 4 the requirements under FEES 5.4.1R apply in relation to the tariff bases(s) and tariff data in FEES 5 Annex 1R.

2. (2)

   If a firm is a UK Solvency II firm in industry blocks 2 and 4 in FEES 5 Annex 1R, the FCA may use tariff data from the previous reporting period for the periodic fees calculation if the PRA or the FCA has either:

   1. (a)

      not received the necessary tariff data in a timely basis in line with Part 3 and 5 of FEES 4 Annex 1AR; or

   2. (b)

      deemed the tariff data received to be incomplete or insufficiently reliable, by reference to a specific firm or across all or part of the industry block.

For firms in industry blocks 2 and 4, if the data source specified in the applicable tariff base in Part 3 of FEES 4 Annex 1AR is not available to the PRA or FCA for any reason and the same data is available to the PRA or FCA from an alternative source, the FCA may use that alternative source to calculate the tariff rates under FEES 5 Annex 1R.

1. (1) A firm should not provide a statement of relevant business if it deals only with eligible complainants who are not consumers.

2. (2) FEES 5.4.1R does not apply in relation to business done with eligible complainants described in DISP 2.7.3R(2) to (7) who are not consumers.

    

FEES 5.5B applies to respondents in relation to financial years ending before 1 April 2026 where the chargeable case was closed before 1 April 2026.

Any firm falling into either industry block 13 or industry block 15 in FEES 5 Annex 1 R is not required to pay any case fee in respect of chargeable cases relating to those industry blocks.

A credit union or a community finance organisation which is subject to the minimum levy in an industry block is not required to pay any case fee in respect of chargeable cases relating to that industry block.

1. (1)

   Any of the following persons which is exempt under DISP 1.1.12R is also exempt from FEES 5.5B:

   1. (a)

      a firm;

   2. (b)

      a payment service provider;

   3. (c)

      an electronic money issuer;

   4. (d)

      a designated credit reference agency; and

   5. (e)

      a designated finance platform.

2. (2)

   However, a person will only be exempt from FEES 5.5B in any financial year if it met the conditions in DISP 1.1.12R on 31 March of the immediately preceding financial year.

The purpose of FEES 5.5B is to set out the requirements on respondents to pay fees in relation to cases referred to the Financial Ombudsman Service.

These fees are towards funding the Financial Ombudsman Service, and are invoiced and collected directly by the FOS Ltd.

Subject to FEES 5.5B.12AR, a respondent must pay to the FOS Ltd the standard case fee specified in FEES 5 Annex 3R Part 1 in respect of each chargeable case relating to that respondent which is closed by the Financial Ombudsman Service during a financial year (regardless of when the chargeable case was referred to the Financial Ombudsman Service), unless the respondent is identified as part of a charging group as defined in FEES 5 Annex 3R Part 3.

Where a chargeable case is closed by the Financial Ombudsman Service during a financial year in circumstances:

1. (1)

   where the complaint was referred to the Financial Ombudsman Service on or after 1 April 2025;

2. (2)

   where a complainant representative was representing the complainant in relation to that complaint; and

3. (3)

   other than having been closed as a change in outcome in favour of the complainant,

the respondent to which that chargeable case relates must instead pay to the FOS Ltd the reduced standard case fee specified in FEES 5 Annex 3R Part 1 in respect of each such chargeable case, unless the respondent is identified as part of a charging group as defined in FEES 5 Annex 3R Part 3.

But a respondent will only be liable for, and the FOS Ltd will only invoice for, the standard case fee in respect of the 4th and subsequent chargeable cases which are closed by the Financial Ombudsman Service in any financial year.

A respondent must pay to the FOS Ltd any standard case fee which it is liable to pay under FEES 5.5B and which is invoiced by the FOS Ltd within 30 calendar days of the date when the invoice is issued by the FOS Ltd.

If the respondent is identified as part of a charging group as defined in FEES 5 Annex 3R Part 3, the charging group must pay the special case fee calculated under FEES 5 Annex 3R Part 4 (from 1 April 2013) instead of the respondent paying the standard case fee. or the supplementary case fee.

The FOS Ltd:

1. (1)

   will invoice the special case fee as described in FEES 5 Annex 3R Part 4; and

2. (2)

   may invoice the relevant charging group through any of the individual respondents in the relevant charging group.

A charging group must pay to the FOS Ltd any special case fee (including any year-end adjustment) as described in FEES 5 Annex 3R Part 4 within 30 calendar days of the date when the invoice is issued by the FOS Ltd.

In respect of the special case fee, individual respondents are jointly and individually liable for the obligations of the charging group of which they are identified as forming part in FEES 5 Annex 3R Part 3.

Where a respondent ceases to be a firm, payment service provider, electronic money issuer, CBTL firm, a designated credit reference agency, a designated finance platform, VJ participant or claims management company (as the case may be) part way through a financial year it will remain liable to pay case fees under FEES 5.5B in respect of cases within the jurisdiction of the Financial Ombudsman Service.

If a respondent does not pay a case fee payable under FEES 5.5B in full to the FOS Ltd before the end of the date on which it is due, that respondent must pay to the FOS Ltd in addition:

1. (1)

   [deleted]

2. (2)

   interest on any unpaid amount at the rate of 5% per annum above the Official Bank Rate from time to time, accruing on a daily basis from the date on which the amount concerned became due; and

3. (3)

   an administrative fee of up to 25% of the amount outstanding at that time, in the event the FOS Ltd needs to take steps to recover any amounts payable to it under FEES 5.5B.

In relation to any case fee which was invoiced by FOS Ltd under FEES 5.5B on or after 1 April 2023, no claim for the remission or repayment of all or part of the case fee (or any interest or administrative fee due under FEES 5.5B.25R in relation to it) may be made to FOS Ltd more than 1 year after the date on which the case fee was invoiced (irrespective of when or whether the amounts in question were paid to FOS Ltd).

In relation to a case fee which was invoiced by FOS Ltd under FEES 5.5B before 1 April 2023, and subject to any rule of law prescribing a shorter time period for making such a claim, no claim for the remission or repayment of all or part of the case fee (or any interest or administrative fee due under FEES 5.5B.25R in relation to it) may be made to FOS Ltd on or after 31 March 2024 (irrespective of when or whether the amounts in question were paid to FOS Ltd).

The FOS Ltd may allow a claim to be made outside the time limits prescribed in FEES 5.5B.27R and FEES 5.5B.28R if it is satisfied that the failure to make a claim within the time limits prescribed was as a result of exceptional circumstances.

If it appears to the FOS Ltd that in the exceptional circumstances of a particular case the payment of any case fee under FEES 5.5B would be inequitable, the FOS Ltd may reduce or remit all or part of the case fee in question which would otherwise be payable.

FEES 5.5C applies to a complainant representative in relation to a complaint referred to the Financial Ombudsman Service which was closed before 1 April 2026 (except for FEES 5.5C.11AR, which applies to a complaint which was not closed before 1 April 2026).

1. (1)

   Subject to FEES 5.5C.6R , a complainant representative must pay to the FOS Ltd a representative case fee of £250 in respect of a complaint which is referred to the Financial Ombudsman Service on or after 1 April 2025.

2. (2)

   A representative case fee payable pursuant to paragraph (1) must be paid:

   1. (a)

      at the time a complaint is referred to the Financial Ombudsman Service if the complainant representative is representing the complainant at the time the complaint is referred; or

   2. (b)

      subject to paragraph (3) below, at the time a complainant representative begins to represent the complainant in respect of a complaint that has already been referred to the Financial Ombudsman Service .

3. (3)

   A complainant representative will not be liable for the representative case fee under paragraph (1) above if:

   1. (a)

      the representative case fee in relation to the complaint has been paid by a complainant representative who was previously representing the complainant in respect of the same complaint ; or

   2. (b)

      the complainant representative is acting entirely pro bono in relation to the complaint .

A complainant representative will, in any financial year , only be liable for, and the FOS Ltd will only invoice for, the representative case fee under FEES 5.5C.5R in respect of the 11th and subsequent complaints that are referred to the Financial Ombudsman Service .

In relation to any complaint which is closed by the Financial Ombudsman Service as a change in outcome in favour of the complainant, the FOS Ltd will credit the amount of £175 to the complainant representative.

A complainant representative must pay to the FOS Ltd any representative case fee which it is liable to pay under FEES 5.5C and which is invoiced by the FOS Ltd within 30 calendar days of the date when the invoice is issued by the FOS Ltd .

If, at the end of the financial year , the amount standing in credit to the complainant representative under FEES 5.5C.8R exceeds the amounts invoiced under FEES 5.5C.10R which remain unpaid (including any interest or administrative fee due under FEES 5.5C.12R ), the FOS Ltd will repay the difference between the 2 amounts to the complainant representative by credit transfer within 30 calendar days of the complainant representative notifying the FOS Ltd of its account details.

If a complainant representative does not pay a representative case fee payable under FEES 5.5C in full to the FOS Ltd before the end of the date on which it is due, that complainant representative must pay to the FOS Ltd in addition:

1. (1)

   interest on any unpaid amount at the rate of 5% per annum above the Official Bank Rate from time to time, accruing on a daily basis from the date on which the amount concerned became due; and

2. (2)

   an administrative fee of up to 25% of the amount outstanding at that time, in the event the FOS Ltd needs to take steps to recover any amounts payable to it under FEES 5.5C .

No claim for the remission or repayment of all or part of the representative case fee payable under FEES 5.5C (or any interest or administrative fee due under FEES 5.5C.12R in relation to it) may be made to FOS Ltd more than 1 year after the date on which the complaint was closed (irrespective of when or whether the amounts in question were paid to FOS Ltd ).

The FOS Ltd may allow a claim to be made outside the time limits prescribed in FEES 5.5C.14R if it is satisfied that the failure to make a claim within the time limits prescribed was as a result of exceptional circumstances.

If it appears to the FOS Ltd that in the exceptional circumstances of a particular case the payment of any representative case fee under FEES 5.5C would be inequitable, the FOS Ltd may reduce or remit all or part of the representative case fee in question which would otherwise be payable.

1. (1) Any of the following persons which are exempt under DISP 1.1.12R are also exempt from FEES 5.5D.
   1. (a) a firm;
   2. (b) a payment services provider;
   3. (c) an electronic money issuer;
   4. (d) a designated credit reference agency; and
   5. (e) a designated finance platform.

2. (2) However, a person will only be exempt from FEES 5.5D in any financial year if it met the conditions in DISP 1.1.12R on 31 March of the immediately preceding financial year.

    

1. (1) FOS Ltd must notify all those respondents; and

2. (2) those respondents shall, for the purposes of FEES 5.5D, be treated as group respondents forming part of a relevant charging group in relation to the relevant financial year.

    

1. (1) where the complaint was referred to the Financial Ombudsman Service on or after 1 April 2025;
2. (2) where a complainant representative was representing the complainant in relation to that complaint; and
3. (3) other than having been closed as a change in outcome in favour of the complainant,
   the category B respondent or category B group respondent to which that chargeable case relates must instead pay to the FOS Ltd the reduced standard case fee specified in FEES 5 Annex 5R Part 1 in respect of each such chargeable case.

1. (1) aggregate the amounts that each category B group respondent in the relevant category B charging group is liable to pay as calculated under FEES 5.5D.11R to FEES 5.5D.14R; and
2. (2) issue 1 invoice for that aggregate amount to any of the category B group respondents in the relevant category B charging group, which shall be payable as set out in that invoice.

1. (1) an individual category B group respondent is jointly and severally liable for the liabilities of all category B group respondents in the relevant category B charging group under FEES 5.5D; and

2. (2) the FOS Ltd may issue an invoice to any category B group respondent for the liabilities of all category B group respondents in the relevant category B charging group under FEES 5.5D.

    

1. (1) the FOS Ltd must notify all of those respondents; and
2. (2) those respondents shall, for the purposes of FEES 5.5D, be treated as category A group respondents forming part of a relevant category A charging group in relation to the relevant financial year.

1. (1) a category A respondent; and

2. (2) (subject to FEES 5.5D.23R), a category A group respondent,
   must pay to the FOS Ltd the quarterly provisional charges calculated under FEES 5.5D.21R to FEES 5.5D.22R.

    

1. (1) In respect of the first and second quarters of a relevant financial year, the value of the provisional charges that a category A respondent and (subject to FEES 5.5D.23R) a category A group respondent is liable to pay is calculated according to the following formula:
                                                                                ((((A+B) / (C+D)) x E x £680 – £2,000) / 2) x 0.8,
   where:
   1. A = the number of chargeable cases relating to that respondent that were referred to the Financial Ombudsman Service before 1 January in the immediately preceding financial year which had not been closed before 1 January in the immediately preceding financial year.
   2. B = the number of chargeable cases relating to that respondent that were referred to the Financial Ombudsman Service from 1 July to 31 December (both dates inclusive) in the immediately preceding financial year.
   3. C = the number of chargeable cases referred to the Financial Ombudsman Service in respect of all respondents before 1 January in the immediately preceding financial year which had not been closed before 1 January in the immediately preceding financial year.
   4. D = the number of chargeable cases referred to the Financial Ombudsman Service in respect of all respondents from 1 July to 31 December (both dates inclusive) in the immediately preceding financial year.
   5. E = the number of chargeable cases in respect of all respondents which the Financial Ombudsman Service forecasts it will close from 1 April to 30 September (both dates inclusive) in the relevant financial year.
2. (2) For the purposes of the calculation in (1), the FOS Ltd may, if it considers it appropriate, modify inputs A, B, C and D to take into account the impact of any events which, if not taken into account, would, as regards a category A respondent or category A group respondent, result in the calculation of their estimated case fee liability for the first and second quarters of the financial year being materially inaccurate.

3. (3) In respect of the first and second quarters of a relevant financial year, the FOS Ltd will invoice a category A respondent and (subject to FEES 5.5D.23R) a category A group respondent for the amount calculated under (1) in 2 equal instalments in April and July of the relevant financial year (or on such later dates as FOS Ltd may specify).

    

1. (1) In respect of the third and fourth quarters of a relevant financial year, the value of the provisional charges that a category A respondent and (subject to FEES 5.5D.23R) a category A group respondent is liable to pay is calculated according to the following formula:
   1. (((T – U – £2,000) + (((V+W) / (X+Y)) x Z x £680)) / 2) x 0.8,
2. where:
   1. T = the total amount of standard case fees which that respondent would have been charged from 1 April to 30 September (both dates inclusive) of the relevant financial year had it been a category B respondent or category B group respondent and liable to monthly standard case fees under FEES 5.5D.11R to FEES 5.5D.14R.
   2. U = the aggregate of the amounts invoiced to that respondent under FEES 5.5D.21R(3).
   3. V = the number of chargeable cases relating to that respondent that were referred to the Financial Ombudsman Service before 1 October in the relevant financial year which had not been closed before 1 October in the relevant financial year.
   4. W = the number of chargeable cases relating to that respondent that were referred to the Financial Ombudsman Service from 1 April to 30 September (both dates inclusive) in the relevant financial year.
   5. X = the number of chargeable cases referred to the Financial Ombudsman Service in respect of all respondents before 1 October in the relevant financial year which had not been closed before 1 October in the relevant financial year.
   6. Y = the number of chargeable cases referred to the Financial Ombudsman Service in respect of all respondents from 1 April to 30 September (both dates inclusive) in the relevant financial year.
   7. Z = the number of chargeable cases in respect of all respondents which the Financial Ombudsman Service forecasts it will close from 1 October to 31 December (both dates inclusive) in the relevant financial year.
3. (2) For the purposes of the calculation in (1), the FOS Ltd may, if it considers it appropriate, modify inputs V, W, X and Y to take into account the impact of any events which, if not taken into account, would, as regards a category A respondent or category A group respondent, result in the calculation of their estimated case fee liability for the third and fourth quarters of the financial year being materially inaccurate.

4. (3) In respect of the third and fourth quarters of a relevant financial year, the FOS Ltd will invoice a category A respondent and (subject to FEES 5.5D.23R) a category A group respondent for the amount calculated under (1) in 2 equal instalments in October and January of the relevant financial year (or on such later dates as FOS Ltd may specify).

    

1. (1) aggregate the amounts which each category A group respondent in that category A charging group is liable to pay as calculated under FEES 5.5D.21R(3) and FEES 5.5D.22R(3); and

2. (2) issue 1 invoice for that aggregate amount to any of the category A group respondents in the relevant category A charging group, which shall be payable as set out in that invoice.

    

1. (1) an individual category A group respondent is jointly and severally liable for the liabilities of all category A group respondents in the relevant category A charging group under FEES 5.5D; and

2. (2) the FOS Ltd may issue an invoice to any category A group respondent for the liabilities of all category A group respondents in the relevant category A charging group under FEES 5.5D.

    

1. (1) the FOS Ltd shall invoice the category A respondent for the amount of that difference; and

2. (2) the category A respondent must pay the amount invoiced to the FOS Ltd within 30 calendar days of the date of the invoice.

    

1. (1) the FOS Ltd shall invoice the amount of that difference to any of the category A group respondents in the relevant category A charging group; and
2. (2) that category A group respondent must pay the amount invoiced to the FOS Ltd within 30 calendar days of the date of the invoice. 

1. (1) interest on any unpaid amount of the invoice at the rate of 5% per annum above the Official Bank Rate from time to time, accruing on a daily basis from the date on which the amount concerned became due; and

2. (2) an administrative fee of up to 25% of the amount of the invoice outstanding at the time, in the event the FOS Ltd needs to take steps to recover any amounts payable to it under FEES 5.5D.

    

1. (1) In respect of a category B respondent or category B group respondent, no claim for the remission or repayment of all or part of any case fee (or any administrative fee due under FEES 5.5D.31R in relation to it)  may be made to FOS Ltd more than 6 months after the end of the calendar month in which the chargeable case to which the case fee relates was closed (irrespective of when or whether the amounts in question were paid to the FOS Ltd).

2. (2) In respect of a category A respondent or category A group respondent, no claim for the remission or repayment of all or part of any amount which was invoiced by the FOS Ltd under FEES 5.5D (or any administrative fee due under FEES 5.5D.31R in relation to it) may be made to FOS Ltd more than 6 months after the end of the calendar month in which the chargeable case to which that claim relates was closed (irrespective of when or whether the amounts in question were paid to the FOS Ltd). 

    

1. (1) the complaint was referred to the Financial Ombudsman Service on or after 1 April 2025; and
2. (2) a category B complainant representative was (at any time) representing the complainant in relation to that complaint, 
   the category B complainant representative which was first representing the complainant (even if it is no longer doing so at the time the complaint is closed) must pay to the FOS Ltd:
3. (3) the reduced representative case fee specified in FEES 5 Annex 5R Part 2, if the complaint was closed as a change in outcome in favour of the complainant; or
4. (4) the standard representative case fee specified in FEES 5 Annex 5R Part 2, if the complaint was closed other than as a change in outcome in favour of the complainant.

1. (1) In respect of a financial year, the FOS Ltd shall credit the amount of £2,000 to the category B complainant representative which is to be applied against the representative case fees which that category B complainant representative is liable to pay during the relevant financial year.

2. (2) The credit provided for pursuant to (1) shall not be carried forward to any future financial years and, to the extent the amount of the credit exceeds the amount of representative case fees which are payable, the excess shall not be paid in cash to the category B complainant representative.

    

1. (1) In respect of the first and second quarters of a relevant financial year, the value of the provisional charges that a category A complainant representative is liable to pay is calculated according to the following formula:
                 ((((A+B) / (C+D)) x E x £260 – £2,000) / 2) x 0.8,
   where:
   1. A = the number of complaints referred by that complainant representative to the Financial Ombudsman Service before 1 January in the immediately preceding financial year which had not been closed before 1 January in the immediately preceding financial year.
   2. B = the number of complaints referred by that complainant representative to the Financial Ombudsman Service from 1 July to 31 December (both dates inclusive) in the immediately preceding financial year.
   3. C = the number of complaints referred to the Financial Ombudsman Service by all complainant representatives before 1 January in the immediately preceding financial year which had not been closed before 1 January in the immediately preceding financial year.
   4. D = the number of complaints referred to the Financial Ombudsman Service by all complainant representatives from 1 July to 31 December (both dates inclusive) in the immediately preceding financial year.
   5. E = the number of complaints in respect of all complainant representatives which the Financial Ombudsman Service forecasts it will close from 1 April to 30 September (both dates inclusive).
2. (2) For the purposes of the calculation in (1), the FOS Ltd may, if it considers it appropriate, modify inputs A, B, C and D to take into account the impact of any events which, if not taken into account, would, as regards a category A complainant representative, result in the calculation of their estimated case fee liability for the first and second quarters of the financial year being materially inaccurate.

3. (3) In respect of the first and second quarters of a relevant financial year, the FOS Ltd will invoice a category A complainant representative for the amount calculated under (1) in 2 equal instalments in April and July of the relevant financial year (or on such later dates as FOS Ltd may specify).

    

1. (1) In respect of the third and fourth quarters of a relevant financial year, the value of the provisional charges that a category A complainant representative is liable to pay is calculated according to the following formula:
   1. (((T – U – £2,000) + (((V+W) / (X+Y)) x Z x £260)) / 2) x 0.8,
2. where:
   1. T = the total amount of representative case fees which that complainant representative would have been charged from 1 April to 30 September (both dates inclusive) of the relevant financial year had it been a category B respondent and liable to representative case fees under FEES 5.5E.6R to FEES 5.5E.8R.
   2. U = the aggregate of the amounts invoiced to that complainant representative under FEES 5.5E.11R(3).
   3. V = the number of complaints referred by the complainant representative to the Financial Ombudsman Service before 1 October in the relevant financial year which had not been closed before 1 October in the relevant financial year.
   4. W = the number of complaints referred by the complainant representative to the Financial Ombudsman Service from 1 April to 30 September (both dates inclusive) in the relevant financial year.
   5. X = the number of complaints referred to the Financial Ombudsman Service in respect of all complainant representatives before 1 October in the relevant financial year which had not been closed before 1 October in the relevant financial year.
   6. Y = the number of complaints referred to the Financial Ombudsman Service in respect of all complainant representatives from 1 April to 30 September (both dates inclusive) in the relevant financial year.
   7. Z = the number of complaints referred by the complaint representative to the Financial Ombudsman Service which the Financial Ombudsman Service forecasts it will close from 1 October to 31 December (both dates inclusive) in the relevant financial year.
3. (2) For the purposes of the calculation in (1) above, the FOS Ltd may, if it considers it appropriate, modify inputs V, W, X and Y to take into account the impact of any events which, if not taken into account, would, as regards a category A complainant representative, result in the calculation of their estimated case fee liability for the third and fourth quarters of the financial year being materially inaccurate.

4. (3) In respect of the third and fourth quarters of a relevant financial year, the FOS Ltd will invoice a category A complainant representative for the amount calculated under (1) in 2 equal instalments in October and January of the relevant financial year (or on such later dates as FOS Ltd may specify).

    

1. (1) the FOS Ltd shall invoice the category A complainant representative for the amount of that difference; and

2. (2) the category A complainant representative must pay the amount invoiced to the FOS Ltd within 30 calendar days of the date of the invoice.

    

1. (1) the FOS Ltd shall credit the amount of that difference to the category A complainant representative; and

2. (2) the credit provided for pursuant to (1) shall be set off against the quarterly case fees which the category A complainant representative is liable to pay under FEES 5.5E in respect of the following financial year.

    

1. (1) interest on any unpaid amount of the invoice at the rate of 5% per annum above the Official Bank Rate from time to time, accruing on a daily basis from the date on which the amount concerned became due; and

2. (2) an administrative fee of up to 25% of the amount of the invoice outstanding at that time, in the event the FOS Ltd needs to take steps to recover any amounts payable to it under FEES 5.5E.

    

1. (1) In relation to a category B complainant representative, no claim for the remission or repayment of all or part of the representative case fee (or any administrative fee due under FEES 5.5E.16R in relation to it) may be made to FOS Ltd more than 6 months after the end of the calendar month in which the complaint to which the representative case fee relates was closed (irrespective of when or whether the amounts in question were paid to the FOS Ltd).

2. (2) In relation to a category A complainant representative, no claim for the remission or repayment of all or part of any amount which was invoiced by the FOS Ltd (or any administrative fee due under FEES 5.5E.16R in relation to it) may be made to FOS Ltd more than 6 months after the end of the calendar month in which the complaint to which that claim relates was closed (irrespective of when or whether the amounts in question were paid to the FOS Ltd).

    

A firm must pay annually to the FCA the general levy on or before the later of 1 April and 30 calendar days after the date when the invoice is issued by the FCA.

Where the FCA grants a person’s application for annulment of a cancellation or variation of Part 4A permission under Schedule 6A to the Act and on the date the annulment takes effect the time for payment in FEES 5.7.1R has passed, then that time for payment in that rule does not apply, but a person must pay to the FCA the general levy on the date on which the person’s annulment takes effect.

A firm liable to pay fees or levies under FEES 5.7.1R must do so using one of the methods set out in FEES 2.1.12R (unless FEES 2.1.13R applies).

A firm does not need to pay the general levy on the date it is due under the relevant provision in FEES 5.7.1R, if that date falls during a period in which the type of circumstances set out in GEN 1.3.2R (Emergency) exists, and that firm has reasonable grounds to believe that those circumstances impair its ability to pay the levy, in which case it must be paid on or before the fifth business day after the end of that period.

A firm which becomes subject to the Financial Ombudsman Service part way through a financial year must pay a rateable proportion of the general levy in accordance with the provisions of FEES 4.2.7ER to FEES 4.2.7KR.

1. (1)

   When a firm obtains permission , or is authorised under the Payment Services Regulations or the Electronic Money Regulations or has its permission or payment services activities extended (‘permission event’), this rule governs the calculation of the firm’s general levy for:

   1. (a)

      the fee year in which the permission event takes place (‘year 1’); and and

   2. (b)

      the following fee year (‘year 2’).

2. (2)

   Notwithstanding paragraphs (3)-(6), if the tariff base is calculated using data from a point in time or period beginning on or after the date of the permission event to which that tariff base relates, the firm must use that data.

3. (3)

   The tariff base for year 1 is calculated using the projected valuation for the firm’s first year of the business to which the tariff base relates..

4. (4)

   There are 2 methods of calculating the tariff base for year 2. These are:

   1. (a)

      annualised actual data (‘method 1’); or

   2. (b)

      the projected valuation for the first year of business to which the tariff relates (‘method 2’).

5. (5)

   The appropriate method for year 2 will depend on the date of the permission event. A firm must use method 1 if the permission event took place between 1 April and 31 December of year 1 inclusive, and method 2 in all other cases.

6. (6)

   A firm using method 1 must:

   1. (a)

      use actual data in relation to the business to which the tariff relates rather than projected valuations;

   2. (b)

      calculate the tariff by reference to the period beginning on the date of the permission event and ending on the 31 December before the start of year 2;

   3. (c)

      annualise the figures by increasing them by the same proportion as the period of 12 months bears to the period from the permission event to 31 December; and

   4. (d)

      notify the FCA of its use of method 1 by the date specified in FEES 5.4 (Information requirement).