The PRA and FCA have published a joint consultation paper on the management expenses levy limit (MELL) for the Financial Services Compensation Scheme (FSCS) for 2018/19. The MELL consulted on for 2018/19 is £77.7 million consisting of:
- £72.7 million for the management expenses budget; and
- £5 for the unlevied contingency reserve.
The proposed MELL limit of £77.7 million would apply from 1 April 2018 (the start of the FSCS’s financial year) to 31 March 2019.
The deadline for comments on the joint consultation paper is 16 February 2018. Following the consultation, the PRA and the FCA will issue respective policy statements or equivalent Handbook notices (as appropriate) so that the final rules can be in place for the start of the FSCS’ financial year on 1 April 2018.
View FSCS management expenses levy limit for 2018/19, 18 January 2018