FSCS to up levies ten-fold

Under the plans for the 2007/8 tax year, IFA firms will be asked to cover overall payments of £11.2m, a jump from £1.5m during the 2006/2007 tax year. But brokers who do not hold client money should see a cut in their annual payments from the current £1,440 as they are asked to collectively contribute £42m, down from the £47m for this year. Overall the FSCS is demanding a 40pc boost in its levy to £104.6m (from £74.8m) to cover an increasing flow of endowment claims, which are expected to number 26,500 next year, and pension review costs. If split capital trust firms Exeter Fund Managers...