Multiple advisers continue to believe a product levy is the fairest way to calculate the FSCS levy, despite the FCA effectively ruling out the option back in December.
Responding to the Financial Services Compensation Scheme's (FSCS) confirmation of this year's levy published on Wednesday, advisers argued the problem of "ridiculously high" levies could only be solved by basing fees on the products sold. The FSCS will levy firms £363m this year, representing a £15m reduction on its January forecast, but amounting to £26m more than it levied for 2016/17. Pension advisers will contribute £100m to the levy, while investment advisers will pay £88m. Although the Financial Conduct Authority (FCA) effectively ruled out the introduction of a product-based le...
To continue reading this article...
Join Professional Adviser for free
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes