The Commission has confirmed that it will apply a blended rate increase of 2% to the fees charged to licensees effective from 1st January 2016. The proposed restructuring of fees for the Fiduciary sector, as well as the other changes set out in the Commission’s consultation paper, will also be implemented.
The Commission received sixteen responses to its consultation paper which were broadly supportive of the proposed blended rate increase of 2% as well as the strategy for future fee setting.
Several consultees did, however, suggest that the Commission should not proceed with the proposal to rebate to industry the surpluses that arise from enforcement cases as it was felt that this could lead to some volatility in future fees. Director General of the Commission, William Mason, said “We have carefully considered the points which have been put to us and as a consequence the Commission has decided not to implement this proposed new policy. We will, however, continue to record all surpluses that may arise from individual enforcement cases and ensure these are taken into account by the Commission in determining the fees payable in the future.”
The Commission has also agreed to work with representatives of the Guernsey International Insurance Association during the early part of 2016 to determine whether an alternative approach could be taken to the allocation of fees across the insurance sector while continuing to deliver proportionate and credible regulation.