Full details of the revised fees payable under the Banking Law (and other legislation administered by the Commission) appear in The Financial Services Commission (Fees) Regulations, 2022, but for ease of reference a summary is shown in the table below.
The fees are chargeable from 01/01/23 and payable by 31/01/23. The banded portion of fees are based on Assets Line E.9 as reported in the September 2022 quarterly BSL/2 return.
Fees Due 2023
| TOTAL ASSETS AS AT SEPTEMBER 2022 | |
|---|---|
| Up to £499,999,999 | £43,790 |
| £500,000,000 to £999,999,999 | Total assets multiplied by 0.000066435 with a minimum of £43,790 |
| Above £1,000,000,000 | £66,435 |
| SUBSIDIARIES | |
|---|---|
| Additional fee | 25% of the relevant annual fee |
| RETAIL OPERATIONS | |
|---|---|
| Additional fee | 50% of the relevant annual fee |
| MULTIPLE BANKING OPERATIONS UNDER A SINGLE LICENCE | |
|---|---|
| Additional fee | 50% of the relevant annual fee |
| BRANCHES OUTSIDE THE BAILIWICK | |
|---|---|
| Additional fee per branch outside the Bailiwick | £16,610 |
NEW BANKS APPLYING FOR A LICENCE
New Banks applying for a licence within the calendar year 2023 are required to pay an application fee of £43,790 and by the last day of the month in which the licence is granted, pay a further pro rata fee of one twelfth of the relevant annual fee multiplied by the number of complete months between the licensing date and the end of that calendar year. Existing licensees establishing a branch outside the Bailiwick shall by the last day of the month in which the branch is established pay a fee of £1,384.17 multiplied by the number of complete months between the date of establishment and the end of the calendar year.
CHANGE OF CONTROLLER
Notification of change of controller: £2,370
Administrative Financial Penalties
LATE FILING PENALTIES
Where a licensee files a relevant document (such as its annual return and accounts) after its specified deadline date, a late filing penalty may apply. This will be calculated using the table below. Each subsequent month (or part of a month) that the relevant fee has not been paid will result in a further incremental penalty accruing.
| Late Filing Penalty | Penalty Increments |
|---|---|
| First Month | £125 |
| Second Month | £250 |
| Third Month | £375 |
| Each Subsequent Month | £375 |
The Commission may grant deadline extensions under extenuating circumstances. Where the Commission has done this that date will be taken as the revised deadline date for the purposes of calculating any late filing penalty.
LATE PAYMENT PENALTIES
Where a licensee pays its annual fee subsequent to its due date, a penalty may apply. For the annual fee levied each calendar year, the due date is 31 January. For pro-rated annual fees, this would be 30 days after the fee became payable. In both cases, the due date will be included on the invoice.
This will be calculated using the table below. Each subsequent month (or part of a month) that the relevant fee has not been paid will result in a further incremental penalty accruing.
| Late Payment Penalty | Penalty Increments |
|---|---|
| First Month | £125 |
| Second Month | £250 |
| Third Month | £375 |
| Each Subsequent Month | £375 |
INACCURATE FILING PENALTIES
As consulted on in 2022, where a licensee has submitted a relevant document that is materially inaccurate a penalty will be calculated as per the table below.
|
Inaccurate Filing Penalty |
Error Identified by Firm | Error Identified by the Commission |
|---|---|---|
| On identification of the error and return of the submission for correction by the firm | £125 | £500 |
| Each subsequent month taken to correct the error | £125 | £500 |
Inaccurate filing penalties only apply to data within returns considered necessary for the Commission to carry out its statutory functions (such as data around capital or liquidity requirements, or attestation around whether a firm has received an emphasis of matter or qualified audit opinion).
To ensure the regime is proportionate, inaccurate filing penalties only apply where the Commission has determined the error to be material. This will be considered on a case-by-case basis, which looks to ensure such penalties are not issued for small discrepancies, single errors, or where guidance is unclear.
In considering whether an error was materially inaccurate, the Commission will consider:
- the quantum of the error and its implications for the licensee’s compliance with the minimum criteria for licensing,
- the length of time taken to detect the error and correct it on the part of the licensee, and
- the frequency with which a licensee submits incorrect information in returns.