As of 24 January 2022, a new structure for FCA Authorisation Application Fees has come into force. The new arrangements apply to all FCA fee-payers and to any business considering applying for FCA Authorisation or registration.
In most cases the application fee has increased. Alongside this, in a bid to make its authorisation fees (including for a Variation of Permission) more transparent, the regulator has introduced fewer pricing categories.
In its Policy Statement (PS22/1), the FCA explains: “Most of our application fees have not changed since our predecessor, the Financial Services Authority, introduced them nearly 20 years ago. Inflation has subsequently eroded their value, leaving authorised firms paying an increasing proportion of our processing costs for applications for authorisation through their periodic fees.” Additionally, the reduced number of pricing categories was implemented to make charges less “confusing” for applicants.
The original fee structure of 83 categories is now replaced with just 10 categories across which fees will range between £250 to £200,000.
| New Category | Fee (£) |
| 1 | 250 |
| 2 | 500 |
| 3 | 1,000 |
| 4 | 2,500 |
| 5 | 5,000 |
| 6 | 10,000 |
| 7 | 25,000 |
| 8 | 50,000 |
| 9 | 100,000 |
| 10 | 200,000 |
The question of which pricing category a firm falls into will depend on factors such as the business sector that the firm intends to operate in and the nature of the permission being sought from the FCA. For example:
Compliance assistance can be invaluable to a firm setting out on the road to regulation, especially against a dynamic backdrop of ever-updated expectations and requirements. (For example, at the time of writing the FCA has just implemented its revised fee structure for firms seeking authorisation.)
Additionally, achieving the goal of FCA authorisation is not the end of the story – if anything it instead marks the end of the beginning. Once authorised, firms must continue to meet the FCA’s standards and rules and achieve good outcomes.
Complyport is a market leader in FCA authorisations and have successfully assisting in over 1000 applications. Over the last 20 years, we have provided guidance and advice on permissions required, outlined the amount of regulatory capital the new firm will need and project managed the building of the application pack.
Once a firm is successfully authorised, Complyport’s expert consultants assist firms in remaining compliant with regulation as well as advise them on how to meet and adapt for upcoming regulatory change. We are currently providing regulatory support to over 600 regulated firms on an ongoing basis globally.
Click here to learn more about Complyport’s FCA authorisation support and to book a free consultation meeting.
Complyport is the City’s market leading consulting firm supporting the UK financial services industry for over 20 years. We specialise in providing Governance, Risk and Compliance services to support the regulated financial services industry to raise standards and thrive.
Complyport advises and assists firms to become authorised and to comply with the rules and requirements of regulators on an ongoing basis. Our vision is to be there for our clients every step of the way, helping them change, grow, and excel through expertise, insight, and innovation, and in so doing to become our clients’ most valued supplier and trusted advisor.
With presence in the UK and EU, as well as via our Associates Network, Complyport can assist firms across multiple jurisdictions.
Complyport’s multidisciplinary consultants possess deep expertise in their field, having acted in FCA skilled person reviews, as expert witnesses in legal cases and as expert investigators for firms or their legal advisers.
Day to day, we conduct audits and reviews of a firm’s products, processes, policies, and procedures to identify scope for business, to determine the impact of regulatory developments and to verify compliance with local regulations. Complyport can also assist firms by providing personnel to cover all the key compliance functions including resourcing individuals to be registered as your Compliance Oversight Function (SMF16) and/or Money-Laundering Reporting Officer (SMF17).
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