UK markets watchdog offers to nearly double fees


The logo of the new Financial Conduct Authority (FCA) can be seen at the agency’s headquarters in the Canary Wharf business district in London on April 1, 2013. REUTERS / Chris Helgren

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LONDON, Nov. 30 (Reuters) – The UK market watchdog on Tuesday proposed a near doubling of the fees it charges licensed companies to pay for technology that can detect and tackle companies faster. problems.

The Financial Conduct Authority has proposed that its minimum fee, which has remained largely unchanged over the past decade, be increased from 1,151 pounds ($ 1,536.93) to 2,200 pounds ($ 2,937.66) for the year starting in April 2022, an increase of 91%.

“As part of its transformation into a more innovative and assertive regulator, the FCA has pledged to invest £ 120million over the next three years to strengthen its ability to identify businesses and individuals of concern,” said FCA said in a statement.

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It’s part of an internal reshuffle to speed enforcement decision-making after the watchdog came under fire for its botched handling of collapsed investment fund London Capital & Finance. The increasing rates of financial scams are also consuming more resources.

Deeper scrutiny of businesses through better data will reduce the possibility that inappropriate businesses will be cleared in the first place, the FCA said.

Other proposed changes include the use of market risk and trading volumes, rather than the number of traders, to calculate total fees for large banks and investment firms.

There would also be a £ 25,000 increase in the application fee for overseas investment scholarships that intend to use new or untested technology.

The fee concessions for credit unions, nonprofit debt counselors, mutuals and community finance organizations will be maintained because of their “social purpose,” the watchdog said.

A public consultation on the proposals ends on January 31.

($ 1 = 0.7489 pounds)

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Reporting by Huw Jones; edited by Carolyn Cohn and Bernadette Baum

Our standards: Thomson Reuters Trust Principles.

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