FOS funding changes delayed

The FSA and FOS had hoped to introdcude a new system in time for the start of the next tax year, with proposals included in the ombudsman service’s budget consultation in the New Year. But an industry-wide discussion on the matter failed to produce a clear consensus over what framework a new system should operate under. The FOS said a ‘significant majority’ of respondents favoured a new system whereby a flat annual fee would be paid by all firms, regardless of type of business. Under these proposals firms would get a number of free cases each year, but cases above and beyond this limit ...