Annual fees: consumer credit

A firm must pay an annual fee – which we also call a periodic fee – each year it is authorised.

We will invoice a firm for its first annual fee shortly after it becomes authorised to carry out consumer credit regulated activities.

Our annual fee cycle runs from April to March. Your first annual fee will be a pro-rata fee from the date the firm becomes authorised.

We set the fees payable at the end of June and issue invoices from July each year. See our annual fee cycle for more information.

If you are not registered for online invoicing, you should email [email protected] for a unique validation code which you will need to use the service.

Your annual fee invoice will include fees and levies on behalf of other regulatory bodies, such as the Financial Services Compensation Scheme, Financial Ombudsman Service, Money and Pensions Service (Financial Guidance Levy) and the Illegal Money Lending Team on behalf of HM Treasury.

You should pay your annual fee within 30 days of the invoice date, otherwise you may incur a late payment charge. We prefer firms to pay by direct debit as this helps reduce the cost of fee collection, but other payment methods are available.

Credit unions and community finance organisations with an annual income under £250,000, and all not-for-profit debt advice bodies, are exempt from annual fees for consumer credit activities.

Find out more about annual fees for all regulated firms.

Consumer credit income

A consumer credit firm’s annual fee depends on whether it has limited permission or full permission (which determines the ‘fee block’) and its annual income from ‘consumer credit activities’. See how we define consumer credit income.

It is therefore important you work out your annual income correctly as this will affect the amount of fees and levies you will pay.

2019/20 annual fees

You can see the 2019/20 annual fees for firms offering consumer credit in the table below or estimate yours using our fee calculator – you will need to know your permission type or fee block, annual income and the date you became authorised.

All authorised firms are required to pay a levy to fund the costs of operating the UK Financial Services Compensation Scheme (FSCS). The levy for consumer credit firms is based on the amount of their FCA fee.

Limited permission

 

Fee-block

Annual income £'000

FCA annual fee £

Financial Guidance levy (FGL) £

FOS annual levy £

IML annual levy £

FSCS base levy

CC1 (FCA, FSCS, FGL & IML) I19 (FOS)

0-10

106

10

35

5

0.19

 

>10-50

266

10

35

5

0.48

 

>50-100

424

10

35

5

0.77

 

>100-250

530

10

35

5

0.96

 

>250

530 plus 0.40 per £1,000 / part £1,000 of income

10 plus 0.101 per £1,000 / part £1,000

35

5

0.96 plus 1.8088 per £1,000/part £1,000 of FCA CC1 fee

Full permission

 

Fee-block

Annual income £'000

FCA annual fee £

Financial Guidance levy (FGL) £

FOS annual levy £

IML annual levy £

FSCS base levy

CC2 (FCA, FSCS, FGL & IML) I20 (FOS)

0-50

318

10

35

10

10.81 credit

 

>50-100

530

10

35

10

18.01 credit

 

>100-250

1,061

10

35

10

36.06 credit

 

>250

1,061 plus 1.30 per £1,000 / part £1,000 of income

10 plus 0.101 per £1,000 / part £1,000 of income

35 plus 0.30 per £1,000 / part £1,000 of income

10 plus 0.195 per £1,000 / part £1,000 of income

36.06 credit plus 33.99 credit per £1,000/part £1,000 of FCA CC2 fee

Firms with a with consumer credit lending permission will also pay a debt advice levy in fee-block CC3. This is calculated using a firm’s value of lending.

Full permission

 

Fee-block

Annual income £'000

FCA annual fee £

Financial Guidance Levy (FGL) £

FOS annual levy £

IML annual levy £

FSCS base levy

CC3

Value of lending

 -

0.11825 per £1,000/part £1,000 of lending

 -

 -

 -

Annual fees and levies example

This is how fees and levies would be set for a firm with limited permission that earns £300,000 of its annual income from consumer credit regulated activities and is authorised on 5 November 2019.

Org

Fee-block

 

 

FCA

CC1

Flat fee

£530.00

 

 

Plus (£300,000-£250,000) £50,000 x 0.4 ÷ 1,000

£20.00

 

 

 

£550.00

 

 

Amount payable 5/12 (November-March)

£229.17

FSCS

CC1

Amount of FCA CC1 fee (£550-£320.83) £229.17 x 0.001809                                                                                     

£0.41

FGL CC1 Flat fee £10.00

 

 

Plus (£300,000-£250,000) £50,000 x 0.101 ÷ 1,000

£5.05

      £15.05
    Amount payable 5/12 (November-March) £6.27

IML

CC1

Flat levy

£5.00

 

 

Amount payable 5/12 (November-March)

£2.08

FOS

I19

Flat levy

£35.00

    Amount payable 5/12 (November-March) £14.58
    Total fees and levies payable for fee year 2019-2020 £252.51