Commission consults on Fees for 2018 (2017-07-28)

Summary

This consultation paper sets out the Guernsey Financial Services Commission's proposed fee changes for 2018, covering application and annual fees across all regulated sectors. It invites industry comment before the new fees are finalised with the States of Guernsey and take effect on 1 January 2018.

• Overall increase: A blended average fee increase of 3 percent is proposed across all sectors for 2018, driven by new pensions regulation responsibilities, Brexit-related work, and inflation.
• Change of Controller fee: A new flat fee of 2,000 pounds is proposed for change of controller applications, initially under the Insurance Managers and Insurance Intermediaries Law and the Protection of Investors Law, with other sectors to follow.
• Retail banks: Supplementary fee payable by retail banks proposed to rise from 25 percent to 50 percent of their base annual fee.
• Bank trading names: A new supplementary fee of 50 percent of the base fee proposed for banks operating a distinct additional trading name requiring separate supervisory resourcing (expected to affect one licensee), with Commission discretion to waive it in some cases.
• Pensions regulation fee: Licensees engaged in pension business would pay a new annual fee comprising a fixed 400 pounds plus 1 pound per scheme member, which may be revised after the first annual returns are received.
• Sector fee tables: Detailed proposed 2018 application and annual fee rates are set out for banking, insurance, fiduciary, investment (fund) sector, non-regulated financial services businesses, and prescribed businesses.

Comments on the proposals were invited until 8 September 2017, addressed to the Commission's Chief Operating Officer. As a consultation, the document does not itself impose binding requirements; any changes take effect only once agreed between the Commission and the States of Guernsey.

Applies to

licensees, collective investment schemes, registered businesses, registered individuals, applicants for licences or registration, banks, insurance managers, insurers/reinsurers, insurance intermediaries, fiduciary licensees, pension business licensees, non-regulated financial services businesses, prescribed businesses

Deadlines

• 28 July 2017 to 8 September 2017: Consultation period during which comments on the fee proposals must be submitted to the Commission
• 8th of September 2017: Deadline for comments on the consultation document to reach the Commission
• first of January 2018: Date on which any agreed new fees will come into force