Industry Stakeholder Letter for CP Proposed Fee Changes (2019-11-20)

Summary

This is a short industry stakeholder letter from the Bermuda Monetary Authority following up on its October 2019 Consultation Paper on Proposed Fee Changes. It summarises the limited feedback received and explains the Authority's reasoning, but does not itself impose new rules, fees, or requirements.

• Fee change categories in the CP: The original Consultation Paper covered four areas: a new fee structure for Corporate Service Provider (CSP) business, new or revised fees in certain regulated sectors due to legislative changes, new innovation hub related fees, and corrections to fees misstated or omitted in the Fourth Schedule of the Bermuda Monetary Authority Act 1969.
• Feedback received: Only one stakeholder submission was received, relating to the proposed graduated annual fee structure for CSPs based on number of clients serviced, which the respondent viewed as more equitable than a prior flat fee proposal but still too high for the smallest CSPs.
• Authority's response: The Authority explained it applied a proportional approach, basing CSP fees on client numbers while ensuring baseline supervisory costs are absorbed appropriately across the sector regardless of CSP size.

The letter is a courtesy communication thanking stakeholders and closing out the consultation feedback loop; it does not set out any new compliance obligations, deadlines, or effective dates for the fee changes themselves.

Applies to

Corporate Service Providers (CSPs), entities in regulated sectors subject to fees under the Bermuda Monetary Authority Act 1969