The FCA’s annual funding requirement for the year will rise to £519.3 million, a hike of 7.8% on the previous year. 

Officials released the details this morning and said the increase was due to the inclusion of consumer credit in operating costs for the first time.  Excluding consumer credit, the FCA budget has reduced by £7.6 million.

The annual business plan outlines seven priority themes to guide the FCA next year. These are: pensions, financial crime and anti-money laundering, wholesale financial markets, advice, innovation and technology, firms’ culture and governance, and the treatment of existing customers.

The plan sets out various projects the FCA intends to undertake in the next 12 months, including launching a market study looking at retirement outcomes, implementing the recommendations of the Financial Advice Market Review, and developing a policy to extend the Senior Managers and Certification Regime to all FSMA firms.

Launching the ‘regulatory sandbox’ is also included in order to give firms a “safe space to test innovative products and services”.

To see more on the levy and fees for advisers click here.

Tracey McDermott, acting chief executive of the FCA, said: “It is our job to make markets work well.  Ensuring effective and proportionate regulation which tackles the problems of the past without inhibiting developments of the future is at the heart of what we do.  Over the next year we will continue to embed this sustainable approach to regulation in everything we do.

“The majority of our resources remain devoted to our core business and today we have set out the outcomes we want our work to achieve.  Transparency is important to us, and this plan will give all stakeholders an understanding of our focus for the year ahead.” 

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