The Commission has confirmed that it will apply a blended rate increase of 2%, including anomalies, to the fees charged to licensees effective from 1st January 2017.
There will also be a change to the fee structure for the insurance sector.
Last year, the Commission agreed to work with representatives of the Guernsey International Insurance Association (GIIA) 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.
With the support of its membership, GIIA proposed a restructuring of fees which would see international commercial general insurers and reinsurers bearing a greater proportion of the fees relative to other types of insurer who may take up less regulatory resources. In particular, it was proposed that Insurance Linked Securities (ILS) business, which is fully collateralised and therefore presents a lower regulatory risk, should bear a lower proportion of the fees to reflect that reduced risk. An appropriate regulatory fee is seen as important for the development of this area of the market. The Commission consulted on the proposal and although not all consultees supported it, the Commission has decided to implement the changes given that they were developed and promoted by the industry body representing a majority of insurers.
With regard to the changes, Commission Chairman, Cees Schrauwers, said "This is the fifth year in succession in which the Commission has limited fee increases to 2% or less and it is our intention to continue focusing on strong cost control to ensure that future fee increases are set at modest levels with a view to helping our firms remain competitive."