Consultation No. 4 2023: Recognized Auditor Fees

Summary

This is a JFSC consultation paper proposing a 20 percent increase to fees charged to recognized auditors under the Companies (Jersey) Law 1991. It explains the rationale, sets out the proposed new fee amounts via a draft fees notice, and invites industry comment before the fees are finalised.

• Application fee: Fee for applying for registration as a recognized auditor proposed to rise from £1,170 to £1,405.
• Annual fee: Annual fee paid by a recognized auditor each June proposed to rise from £880 to £1,055.
• Responsible individual notification fee: Fee for notifying designation of a responsible individual proposed to rise from £100 to £120 (not applicable where notified as part of a registration application).
• Late payment fee: Draft notice retains a late payment fee of 5 percent of unpaid amount per complete month unpaid.
• Late filing fee: Draft notice retains a £100 fee per complete month or part thereof for late filing or delivery of required documents, unless the JFSC agrees in writing to a later date.

The consultation is open for written comments until 11 September 2023, submitted either directly to the JFSC or via Jersey Finance Limited. If adopted, the draft fees notice states the new fees would take effect from 1 January 2024, though the JFSC will first issue a feedback paper confirming the final rates and effective date.

Key obligations

• Interested parties wishing to comment must submit written responses to the JFSC or Jersey Finance Limited by 11 September 2023.
• Industry bodies or associations responding should provide a summary of the individuals or institutions they represent.
• Under the draft notice, a recognized auditor must pay the annual fee (proposed £1,055) on each 1 June.
• Under the draft notice, an applicant for registration as a recognized auditor must pay the application fee (proposed £1,405) with the application.
• Under the draft notice, a recognized auditor must pay a fee (proposed £120) to accompany notification of the designation of a responsible individual, except where notified as part of a registration application.
• Under the draft notice, a recognized auditor who fails to pay a fee by its due date is liable for an additional late payment fee of 5 percent of the unpaid amount per complete month unpaid.
• Under the draft notice, a recognized auditor who fails to file or deliver a required document by its due date is liable for a £100 fee per complete month or part thereof it remains outstanding, unless the JFSC has agreed in writing to a later date.

Applies to

recognized auditors, persons applying for registration as a recognized auditor

Deadlines

• 11 September 2023: Deadline for interested parties to submit written comments on the consultation to the JFSC or to Jersey Finance Limited.
• 1 January 2024: Proposed effective date in the draft fees notice from which the revised recognized auditor fees would apply, pending finalisation.
• each 1 June: Recurring date on which a recognized auditor must pay the annual fee under the draft fees notice.