The CBI has introduced a new approach to calculating the industry funding levy for financial services firms under Statutory Instrument 359 of 2013 (“SI 359”). The intention is to make the calculation process more balanced and to align the costs of supervision of a particular sector with the funding by that sector.

The new regime was the subject of a CBI consultation paper in 2012 (CP61).  Notably, not all of the controversial proposals in the CP61 were included in SI 359.

Highlights:

• No application fees for authorisations for the time being (though the Central Bank has indicated that this is likely to change in 2014).
• Calculation of levies is now based on a firm’s impact categorisation under PRISM. There will now be a single levy rate per impact category within each industry category.  A table setting out the fees is set out below.

Firm Categories and Levy Amounts: