Targeted support: Failures 'can still create FSCS exposure'

In its targeted support consultation paper released today (30 June), the watchdog said that "given the nature of targeted support, and the firms likely to carry it out, we believe that placing it in the LDII class will ensure coherent alignment with the existing FSCS funding arrangements and minimise the risk of cross-subsidisation concerns across unrelated funding classes". The FCA confirmed the classification and treatment of targeted support for the purposes of the FSCS and the wider fees framework – including the relevant fee blocks and how income should be reported for levy purposes...