Advisers face increased Financial Services Compensation Scheme (FSCS) bills as the body is set to raise its overall levy to £635m for 2020/21 with intermediaries stumping up £213m.
The total levy is up £87m on the previous year. The FSCS blamed increased self-invested personal pension (SIPP) operator failures for the rise. Collectively, advisers will be billed £213m for the 2020/21 financial year. The body also confirmed a supplementary levy for 2019/20 of £50m from the life distribution, pensions and investment intermediation class. It said this was necessary due to increased claims volumes and new defaults. SIPP operator failures are the biggest growth area and the reason for the increase in the overall levy, the body said. It's annual plan and budget repo...
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