A person shown in column (1) of the table in FEES 4.2.11 R as the relevant fee payer must pay each periodic fee applicable to it, calculated in accordance with the provisions referred to in column (2) of the applicable table, as adjusted by any relevant provision in this chapter:
in full and without deduction (unless permitted or required by a provision in FEES); and
on or before the date given in column (3) of that table, unless FEES 4.2.10 R applies.
A relevant fee payer will be required to pay a periodic fee for every year during which they have the status in column 1 of the table in FEES 4.2.11 R (or in relation to collective investment schemes, for every year during which it is a regulated collective investment scheme) subject to any reductions or exemptions applicable under this chapter. If a person is the relevant fee payer for more than one status listed in column 1 of the table in FEES 4.2.11 R (or in relation to collective investment schemes, the relevant fee payer for more than one regulated collective investment scheme) he will be required to pay a fee in relation to each.
A recognised body may also have obligations to pay fees to the FCA under other rules arising from legislation other than the Act.
The FCA will issue invoices online at least 30 days before the dates on which payments fall due under FEES 4.2.1 R.
If, in response to a request from a fee payer, the FCA issues a paper invoice, an administration charge of £50 per year will be added to the fee otherwise payable.
(a)
A firm (other than an ICVC or an issuer of regulated covered bonds) which becomes authorised or registered, or whose permission and/or activities is/are extended, during the course of the fee year must pay a fee based on its projected valuation for the first 12 months of its new business.
(b)
This is the valuation provided by the firm in the course of its application, registration or notification, or if not provided at that time, the valuation provided subsequently.
(2)
The calculation for the first year of authorisation or registration for:
(a)
an ICVC is in FEES 4 Annex 4R Part 1; and
(b)
an issuer of regulated covered bonds is in FEES 4 Annex 11R Part 4.
(a)
If a firm becomes a designated firm during the course of the fee year, it must pay a pro-rata share of the fees related to designated firm status.
(b)
For the purposes of (a), the pro-rata share of the fees related to designated firm status is calculated by applying the formula (A x B) ÷ 12, where:
A = the amount of fees related to designated firm status for a full year (as determined by identifying the tariff rates becoming relevant to the firm as a result of becoming a designated firm, and applying those to the tariff base); and
B = the number of calendar months (inclusive) between the calendar month during which the firm became a designated firm and the last calendar month of that fee year.
| (1) | Identify the tariff rate or rates which will be relevant to the firm as a result of its new or extended permission; and then |
| (2) | apply the formula (A+B+C) x D, where: |
| A = the amount arrived at by applying the tariff rates to the firm’s projected valuation for the first twelve months of its new business, as provided by it in accordance with FEES 4.2.7ER; | |
| B = the A.0 minimum fee, unless already paid; | |
| C = any fee that becomes due in AP.0 following the calculation of A; and | |
| D = the number of calendar months (inclusive) between the calendar month during which the firm received its new or extended permission and the last calendar month of that fee year ÷ 12. |
When a firm receives permission between 1 January and 31 March, its fee for the following fee year starting 1 April will be calculated from:
the projected valuation for the first twelve months of its new business that it provided in accordance with FEES 4.2.7ER; or
an annualised figure based on actual data provided by 30 April in the fee year following obtaining its new or extended permission.
If the annualised tariff base figure provided under (b) is a cumulative measure like income, covering the full year, it must apply the formula (A÷B) x 12, where:
A = the total income from the date the new or extended permission was obtained up to the firm’s financial year end or 31 March (whichever is sooner) of its first fee year, calculated according to the relevant rules; and
B = the number of months in the period referred to in A.
Where the measure is not cumulative (e.g. the number of traders for fee-block A10), the firm must use the figure as at the firm’s financial year end or 31 March (whichever is sooner) of its first fee year, calculated in accordance with the relevant rules. If trading has not commenced by the applicable date the figure is nil.
If it can, a firm must provide data from a complete period (as specified in FEES 4 Annex 1AR Part 5 or FEES 4 Annex 11R Part 4) that begins on or after the date that the firm obtained the relevant permissions to which the tariff base relates.
If a firm does not have sufficient tariff data to enable the periodic fees calculation to be made in respect of that fee year, it must calculate an annualised figure based on actual data where possible. If the tariff base is a cumulative measure like income, covering the full year, it must apply the formula (A÷B) x 12, where:
A = the total income from the date of authorisation up to the firm’s financial year end or 31 December (whichever is sooner), calculated according to the relevant rules; and
B = the number of months in the period referred to in A.
For example, suppose the tariff data for a particular permission is based on income for the financial year ending during the calendar year ending 31 December before the relevant fee year starting the following April. A firm is authorised in October and its financial year ends in June. By April, it will not have been able to report on the basis of its financial year. The value of A would therefore cover the period from October to December and the value of B would be two i.e. November and December.
If the firm was authorised in June and its financial year ended in October, then the value of A would cover June to October and the value of B would be four i.e. July to October.
Where the measure is not cumulative (e.g. the number of traders for fee-block A10), the firm must use the figure relating to the valuation date specified in FEES 4 Annex 1AR Part 5 (e.g. 31 December for A10). Table A sets out the reporting requirements for the key fee-blocks when full actual data is not available:
Table A: calculating tariff data for second and subsequent years of authorisation when full trading figures are not available
| Fee-block | Tariff base | Calculation where trading data are not available |
| A1. Deposit acceptors | Average MELS for October - December | Use data available at 31 December or, if trading has not commenced by 31 December, use nil. |
| A2. Home finance providers and administrators | Number of relevant contracts entered into or being administered in the twelve months up to 31 December | Apply the formula (A÷B) x 12 to arrive at an annualised figure. |
| A3. Insurers - general | Gross written premium for fees purposes (GWP) for the financial year ended in the calendar year ending 31 December and best estimate liabilities for fees purposes (BEL) valued at the end of the financial year | GWP – apply the formula (A÷B) x 12 to arrive at an annualised figure. BEL – use data at valuation date or, if trading has not commenced by then, use nil. |
| A4. Insurers - life | Gross written premium for fees purposes (GWP) for the financial year ended in the calendar year ending 31 December and best estimate liabilities for fees purposes (BEL) valued at the end of the financial year | |
| A5. Managing agents at Lloyd’s | Active capacity in respect of the underwriting year at the beginning of the period to which the fee relates | Not applicable. |
| A6. The Society of Lloyd’s | Bespoke fee | Not applicable. |
| A7. Portfolio managers | Funds under management valued at 31 December | Use data as at 31 December or, if trading has not commenced by 31 December, use nil. |
| A9. Managers and depositaries of investment funds, and operators of collective investment schemes or pension schemes | Annual gross income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at an annualised figure. |
| A10. Firms dealing as principal | Number of traders as at 31 December | Use data as at 31 December or, if trading has not commenced by 31 December, use nil. |
| A13. Advisors, arrangers, dealers or brokers | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure |
| A14. Corporate finance advisers | ||
| A18. Home finance providers, advisers and arrangers | ||
| A19. General insurance distribution | ||
| A21. Firms holding client money or assets, or both | The highest amount of client money and the highest amount of custody assets held over the 12 months ending 31 December | The highest amount of client money and/or custody assets over the period between the date of authorisation and 31 December or, if trading has not started, use nil. |
| A.23 | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure. |
| A.24 | See A.1 (Deposit acceptors) | |
| A.25 | Flat fee | Not applicable |
| B. Market operators, MTF operators and OTF operators | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure. |
| B. Service companies | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure. |
| B. Regulated benchmark administrators | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure. |
| B. Recognised investment exchanges | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at the annualised figure. |
| B. Recognised auction platforms | Flat fee | Not applicable |
| B. Recognised overseas investment exchanges | Flat fee | Not applicable. |
| CC1. Credit-related regulated activities with limited permission | Annual income for the financial year ended in the calendar year ending 31 December | Apply the formula (A÷B) x 12 to arrive at an annualised figure. |
| CC2. Credit related regulated activities | ||
| CC4. Motor vehicle lending with discretionary commission arrangements | As for CC2. Credit related regulated activities | |
| G.2 Payment services institutions – deposit acceptors | See A1 deposit acceptors | |
| G.3. Large payment services institutions | Relevant income | Apply the formula (A÷B) x 12 to arrive at an annualised figure. |
| G.4 Small payment institutions | Flat fee | Not applicable. |
| G.5 Other payment institutions | Relevant income | Apply the formula (A÷B) x 12 to arrive at an annualised figure. |
| G.10 Large electronic money institutions | Average outstanding e-money over 12 months ending 31 December | Average over the period from authorisation to 31 December. |
| G.11 Small electronic money institutions | Flat fee | Not applicable. |
| G.15 Issuer of regulated covered bonds | Value as at 31 December | Not applicable. |
| G.20 Consumer buy-to-let (CBTL) lender | Flat fee | Not applicable. |
| G.21 CBTL adviser and arranger | ||
For payment services and electronic money issuance, the adjustment only applies to the business to which the calculation made in FEES 4.3.12A R relates.
The FCA will not rebate or refund periodic fees if, after the start of the period to which they relate:
a fee payer ceases to have the status set out in column (1) of the table in FEES 4.2.11 R; or
a firm reduces its permission or payment services activities so that it then falls out of the fee-block previously applied to it;
(but see FEES 2.3 (Relieving Provisions) and FEES 4.3.13 R (Firms Applying to Cancel or Vary Permission Before Start of Period)).
A person does not need to pay a periodic fee on the date it is due under the relevant provision in FEES 4.2.1 R, if:
that date falls during a period in which the type of circumstances set out in GEN 1.3.2 R (Emergency) exists, and that person has reasonable grounds to believe that those circumstances impair its ability to pay the fee, in which case the person must pay it on or before the fifth business day after the end of that period; or
unless FEES 4.3.6R (3), FEES 4.3.6R (4) or FEES 4.3.6R (4A) (Time and method for payment) applies, that date would otherwise fall on or before the 30th day after the date on which the FCA (in its own capacity or in its capacity as collection agent for the PRA) has sent written notification to that person of the fee payable on that date, in which case the person must pay on or before the 30th day after the date on which the FCA sends the notification.
Table of periodic fees payable to the FCA
| 1 Fee payer | 2 Fee payable | 3 Due date | 4 Events occurring during the period leading to modified periodic fee |
|---|---|---|---|
| Any firm (except an ICVC) | As specified in FEES 4.3.1 R in relation to FEES 4 Annex 2AR and FEES 4 Annex 11 R | (1) Unless (2) applies, on or before the relevant dates specified in FEES 4.3.6 R. (2) If an event specified in column 4 occurs during the course of a fee year, 30 days after the occurrence of that event, or if later the dates specified in FEES 4.3.6 R. | Firm receives permission, or becomes authorised or registered under the Payment Services Regulations, article 8 of the MCD Order, the DRS Regulations or the Electronic Money Regulations; or firm extends permission or its payment service activities; or firm becomes a designated firm |
| Persons who hold a certificate issued by the FCA under article 54 of the Regulated Activities Order (Advice given in newspapers etc.) | £1,151 | (1) Unless (2) applies, on or before 1 August or, if later, within 30 days of the date of the invoice (2) If an event in column 4 occurs, during the course of a fee year, 30 days after the occurrence of that event. | Certificate issued to person by the FCA under article 54 of the Regulated Activities Order |
| Any manager of an AUT; | In relation to each unit trust the amount specified in part 1 of FEES 4 Annex 4 | Authorisation order is made in relation to the relevant scheme | |
| Any authorised fund manager of an authorised contractual scheme; | In relation to each authorised contractual scheme the amount specified in part 1 of FEES 4 Annex 4 | ||
| Any ACD of an ICVC; and | In relation to each ICVC, the amount specified in part 1 of FEES 4 Annex 4 | ||
| Persons who, under the constitution or founding arrangements of a recognised scheme, are responsible for the management of the property held for or within the scheme; | In relation to each recognised scheme the amount specified in part 1 of FEES 4 Annex 4 | The relevant scheme becomes a recognised scheme | |
| Not applicable | |||
| Designated professional body | FEES 4 Annex 5 | On or before the relevant dates specified in FEES 4.3.6 R | Not applicable |
| UK recognised body | FEES 4 Annex 6, part 1for a UK RIE; and FEES 4 Annex 6R, part 1A for a UK RIE that is also a RAP | (1) On or before the relevant dates specified in FEES 4.3.6 R (2) If the event in column 4 occurs during the course of a fee year, 30 days after the occurrence of that event | Recognition order is made. The modified periodic fee is specified in FEES 4 Annex 6 R, Part 1. |
| ROIE | FEES 4 Annex 6, part 2 | (1) On or before the relevant dates specified in FEES 4.3.6 R (2) If the event in column 4 occurs during the course of a fee year, 30 days after the occurrence of that event. | Recognition order is made. The modified periodic fee is specified in FEES 4 Annex 6, Part 2. |
| A listed issuer (in UKLR) of shares and certificates representing certain securities. | FEES 4 Annex 14R | Within 30 days of the date of the invoice | Listed issuer (in UKLR) becomes subject to listing rules |
| A sponsor | FEES 4 Annex 14R | Within 30 days of the date of the invoice | Approval of a sponsor |
| All non-listed issuers (in DTR) of shares and certificates representing certain securities. | FEES 4 Annex 14R | Within 30 days of the date of the invoice | Non-listed issuer (in DTR) becomes subject to disclosure requirements and transparency rules |
| Any primary information provider | FEES 4 Annex 14R | Within 30 days of the date of the invoice | A person is approved as a primary information provider |
| All firms reporting transactions in securities derivatives to the FCA in accordance with SUP 17, and market operators who provide facilities for trading in securities derivatives. | FEES 4 Annex 9 R | Within 30 days of the date of the invoice | Not applicable |
| Any issuer of a regulated covered bond. | FEES 4 Annex 11R | (1) Unless (2) applies, on or before the relevant dates specified in FEES 4.3.6 R (2) If an event specified in column 4 occurs during the course of a fee year, 30 days after the occurrence of that event or, if later, the dates specified in FEES 4.3.6 R | A person becomes registered as an issuer of a regulated covered bond |
(i) A non-UK AIFM which has notified the FCA of its intention to market an AIF in the UK under regulation 59 of the AIFMD UK regulation and which has not ceased to market that AIF in the UK as at 1 April of the current fee year. (ii) non-UK AIFM which has notified the FCA of its intention to market an AIF in the UK under regulation 58 or 59 of the AIFMD UK regulation and which has not ceased to market that AIF in the UK as at 1 April of the current fee year. | For each notification made by the AIFM of the kind specified in part 2 of FEES 4 Annex 4, the amount specified in part 2 of FEES 4 Annex 4 | (1) Unless (2) applies, on or before 1 August, or, if later, within 30 days of the date of the invoice (2) If an event in column 4 occurs during the course of a financial year, 30 days after the occurrence of that event | The FCA receives a notification to market in the UK |
| A small registered UK AIFM | The basic fee contained in part 3 of FEES 4 Annex 4 | The AIFM is registered by the FCA under regulation 10 of the AIFMD UK regulation. | |
| [deleted] | |||
| A third country legal representative | The tariff specified in FEES 4 Annex 15R | Payable in accordance with FEES 4.3.6R | Not applicable |
| A benchmark endorser | The tariff specified in FEES 4 Annex 15R | Payable in accordance with FEES 4.3.6R | Not applicable |
| Any UK-based firm registered as a credit rating agency; a trade repository; a securitisation repository or any third country firm certified as a credit rating agency or recognised as a trade repository. | The tariff specified in FEES 4 Annex 16R | Within 30 days of the date of the invoice | Not applicable |
| Proxy advisor | FEES 4 Annex 11R | Within 30 days of the date of the invoice | Not applicable |
Note: Sponsors on the list of approved sponsors as at 1 April each year will be liable for the full year's annual fee unless FEES 4.3.13 R applies.
