Consultation No. 13 2022 on GIMB and MSB Fees

Summary

This is a JFSC consultation paper proposing a 15.4 percent increase in fees for General Insurance Mediation Business (GIMB) and Money Service Business (MSB) registrants, comprising 10.4 percent tied to Jersey RPI and a further 5 percent contribution to the JFSC's financial resilience objectives. It includes draft fees notices (Appendix B for GIMB, Appendix C for MSB) that would take effect from 1 January 2023, and invites comments before the fees are finalised.

• Who is affected: All persons registered under the Financial Services (Jersey) Law 1998 to conduct GIMB and/or MSB, and any new registrants from 1 January 2023 onward.
• Fee increase rationale: Combined 15.4 percent increase (10.4 percent RPI plus 5 percent financial resilience contribution) is proposed to raise approximately 195,000 pounds from GIMB and 32,000 pounds from MSB.
• Draft GIMB fees notice: Sets application fees (140 to 8,300 pounds by class P, Q, R, S) and annual fees tiered by brokerage income, with the annual fee due date of 29 February.
• Draft MSB fees notice: Sets a flat application fee and annual fee of 3,590 pounds, due 29 February for existing registrants or on registration for new ones.
• Late payment and late filing fees: A 5 percent per month late payment surcharge applies after the due date; a 200 pound administration fee applies for GIMB firms failing to supply fee-calculation information; and a 100 pound per month fee applies for late filing of required documents under either notice.
• Consultation process: Comments were requested by 14 December 2022 via Jersey Finance Limited or directly to the JFSC Finance team; the JFSC will publish feedback and the final fees notice is intended to take effect on or before 1 January 2023.

As a consultation in draft status, this document does not itself impose binding obligations, but it signals the fee structure and deadlines GIMB and MSB registrants should expect once the final notices are adopted.

Key obligations

• Under the draft notices, GIMB and MSB registrants must pay their annual fee by the due date of 29 February each year or incur a 5 percent per month late payment surcharge.
• GIMB registrants who fail to supply information needed to calculate their fee by the due date must pay a 200 pound administration fee, charged monthly until the information is supplied.
• Registered persons who fail to file or deliver required documents (including supervisory risk data) by the due date must pay a 100 pound fee per month or part month until filed, unless the JFSC has agreed in writing to a later date.
• MSB applicants must pay an application fee of 3,590 pounds when registering, and registered MSBs must pay an annual fee of 3,590 pounds.
• GIMB applicants must pay the prescribed application fee for their class (140 to 8,300 pounds) and registered GIMBs must pay the applicable annual fee based on class and brokerage income.
• Interested parties wishing to comment on the proposed 15.4 percent fee increase must submit responses to Jersey Finance Limited or the JFSC by 14 December 2022.

Applies to

General Insurance Mediation Business (GIMB) registrants, Money Service Business (MSB) registrants

Deadlines

• 14 December 2022: Deadline for interested parties to submit comments on the consultation to Jersey Finance Limited or the JFSC.
• 1 January 2023: Proposed effective date (on or before) for the final GIMB and MSB fees notices for the period 1 January to 31 December 2023.
• 29 February: Due date each year for the JFSC to receive the annual fee from GIMB registrants (and from MSBs already registered on 1 January).