In September 2021, we proposed changes to our employment offer and began consulting with colleagues. This is part of the transformation work already underway to help ensure the FCA can perform to a consistently high standard – to make sure we are an adaptive, innovative and assertive regulator, as set out in our 2021/22 Business Plan.
Given the need for transparency and external interest in the consultation, we are now publishing our proposals.
The proposals include new pay ranges, which have been rigorously benchmarked to ensure they are fair and competitive. These simplified pay ranges will be reviewed annually so they remain aligned with the market.
To reflect geographically diverse labour markets we also propose London and National pay ranges. This is vital as we expand our presence across the UK to better reflect being a national regulator.
We want to give colleagues certainty on pay, so propose a 2% increase in base pay from April 2022 for colleagues clearly meeting or exceeding their objectives. A similar 2% base salary increase is also proposed to be available from April 2023.
We are proposing that the discretionary bonus, which has been paid as a one-off, annual, cash payment, won’t be available from the next financial year.
We are consulting on introducing Performance Related Pay. This will provide incremental increases in base pay for those who consistently perform strongly.
We are also consulting on changes to ensure our benefits package continues to be sustainable.
The proposals are designed to ensure the FCA can operate effectively for the long term. They are not primarily driven by the need to save money. But, together, the package must of course be financially viable.
To meet our objectives into the future, we need to attract and retain skills we know are in high demand. Our colleagues have a choice of employer. We therefore need an employment offer that measures up to what is available elsewhere, balanced by the need to demonstrate value for money and commitment to our public purpose.
The consultation period runs 21 September – 20 December 2021. It is just open to FCA staff.
If the proposals go ahead, we intend grading and pay changes to be introduced from 1 April 2022 and benefits changes from 1 June 2022.