Commission consults on Fees for 202320th July 2022
The Commission today launches a consultation paper on proposals for increasing the licence fees paid by firms. The consultation period will close on Wednesday 14 September. The consultation paper is available on the Commission’s Consultation Hub.
The Commission is consulting on an overall increase in fees of 9%. Other specific proposals to change fees are outlined in the consultation paper and include application and annual fees in respect of firms to be licensed under the Lending, Credit and Finance legislative framework.
In prior years, the Commission has sought to contain its fee increases and over the last eight years fee increases have averaged 2.25%. This has been despite evolving and increasing regulatory standards that led to many of our peer regulatory bodies levying significantly higher fee increases. We need to continue to retain and recruit staff in a competitive financial services sector considering market growth and demand for staff. We are also continuing to improve our internal systems to ensure we have the infrastructure necessary so that the Commission can continue to meet its international regulatory obligations and prepare appropriately for anticipated inspections of the Bailiwick by international standards organisations.
Speaking about the proposals, the Commission’s Chairman, Julian Winser, said: “We are reluctant to ask for this increase at a time when we are fully aware that industry too is susceptible to inflation. However, the Commission is playing catch-up particularly in respect of finance industry salaries combined with a shortage of suitable candidates to fill our significant number of vacancies. Our focus continues to be on enabling the best possible outcome for the Moneyval inspection in early 2024. I do ask industry to bear in mind our costs, and therefore demands on industry fees, remain both below inflation and lower than other comparable financial services regulators.”