FEES 4.3 Periodic fee payable by firms (other than ICVCs and UCITS qualifiers)

The periodic fee payable by a firm (except an ICVC or a UCITS qualifier) is:

1. (1)

   each periodic fee applicable to it calculated in accordance with FEES 4.3.3 R, using information obtained in accordance with FEES 4.4; less

2. (2)

   any deductions from the periodic fee specified in Part 2 of FEES 4 Annex 2.

The periodic fee referred to in FEES 4.3.1 R is (except in relation to the Society) calculated as follows:

1. (1)

   identify each of the tariffs set out in Part 1 of FEES 4 Annex 2 which apply to the business of the firm for the period specified in that annex;

2. (2)

   for each of thosetariffs, calculate the sum payable in relation to the business of the firm for that period, applying any minimum fee discount as may be applicable (see FEES 4.3.16 R)9;

3. (3)

   add together the amounts calculated under (2); and9

4. (4)

   apply any applicable payment charge or discount specified in FEES 4.2.4 R, provided that:9

   1. (a)

      for payment by direct debit, successful collection of the amount due is made at the first attempt by the FSA; or

   2. (b)

      for payment by credit transfer, the amount due is received by the FSA on or before the due date.9

The periodic fee referred to in FEES 4.3.1 R in relation to the Society is specified against its name in FEES 4 Annex 2.

1. (1)

   If the firm's,periodic fee for the previous financial year was at least £50,000, the firm must pay:

   1. (a)

      an amount equal to 50% of the periodic fee payable for the previous year, by 30 April in the financial yearto which the sum due under FEES 4.2.1 R relates; and

   2. (b)

      the balance of the periodic fee due for the current financial year by 1 September in the financial yearto which that sum relates.

2. (2)

   If the firm's,periodic fee for the previous financial year was less than £50,000, the firm must pay the periodic fee due in full by 1 August or, if later, within 30 days of the date of the invoice in the financial year to which that sum relates.

3. (3)

   If a firm has applied to cancel its Part IV permission in the way set out in SUP 6.4.5 D (Cancellation of permission), then (1) and (2) do not apply but it must pay the total amount due when the application is made.

4. (4)

   If the FSA has exercised its own-initiative powers to cancel a firm's Part IV permission in the way set out in EG 8 (Variation and cancellation of permission on the FSA's own initiative and intervention against incoming firms)2, then (1) and (2) do not apply but the firm must pay the total amount due immediately before the cancellation becomes effective.

   2
5. (5)

   4Paragraphs (1) and (2) do not apply to any Solvency 2 fee (as defined in Part 1 of FEES 4 Annex 2) and such fee is not taken into account for the purposes of the split in (1). Instead any Solvency 2 fee is payable on the date specified in (1)(a) or (2) (depending on which applies to the rest of its periodic fee) or any earlier date required by (3) or (4).

6. (6)

   5Paragraphs (1) and (2) do not apply to any periodic fee in relation to a firm's permission for operating a multilateral trading facility and such a fee is not taken into account for the purposes of the split in (1). Instead any fee for this permission is

   payable on the date specified in FEES 4 Annex 10 (Periodic fees for MTF operators).

A firm which is a member of a group may pay all of the amounts due from other firms in the same group under FEES 4.2.1 R, if:

1. (1)

   it notifies the FSA in writing of the name of each other firm within the group for which it will pay; and

2. (2)

   it pays the fees, in accordance with this chapter, as a single amount as if that were the amount required from the firm under FEES 4.2.1 R.

For an incoming EEA firm, (excluding MTF operators), 5 or an incoming Treaty firm, the calculation required by FEES 4.3.3 R is modified as follows:

1. (1)

   the tariffs set out in Part 1 of FEES 4 Annex 2 are applied only to the regulated activities of the firm which are carried on in the United Kingdom; and

2. (2)

   those tariffs are modified in accordance with Part 3 of and, if applicable, Part 3 of FEES 4 Annex 2.

1. (1)

   If:

   1. (a)

      a firm makes an application to vary its permission (by reducing its scope), or cancel it, in the way set out in SUP 6.3.15 D (3) (Variation of permission) and SUP 6.4.5 D (Cancellation of permission); an issuer makes an application for de-listing; or a sponsor notifies FSA of its intention to be removed from the list of approved sponsors; 1and

   2. (b)

      the firm, issuer or sponsor1 makes the application or notification 1referred to in (a) before the start of the periodto which the fee relates;

   FEES 4.2.1 R applies to the firm as if the relevant variation or cancellation of the firm's permission, de-listing or removal from the list of approved sponsors,1 took effect immediately before the start of the periodto which the fee relates.

2. (2)

   But (1) does not apply if, due to the continuing nature of the business, the variation, cancellation, de-listing or removal1 is not to take effect within three months of the start of the period to which the fee relates.

   1

1. (1)

   This rule applies if:3

   1. (a)

      a firm (A) acquires all or a part of the business of another firm (B), whether by merger, acquisition of goodwill or otherwise, in relation to which a periodic fee would have been payable by B, unless no periodic fee was payable by A in the financial year that the business was acquired from B; or3

   2. (b)

      A became authorised as a result of B's simple change of legal status (as defined in FEES 3 Annex 1 Part 6).3

2. (2)

   If, before the date on which A acquires the business, B had paid any periodic fee payable for the period in which the acquisition occurred, FEES 4.2.6 R to FEES 4.2.7 R do not apply to A in relation to the business acquired from B.

3. (3)

   If the acquisition occurs after the valuation date applicable to the business (as set out in FEES 4 Annex 1) which A acquired from B, for the period following that in which the acquisition occurred, FEES 4.2.1 R applies to A, in relation to that following period, as if the acquisition had occurred immediately before the relevant valuation date.

1. (1)

   A firm (other than a firm in (2) or a credit union) in more than one fee block must pay at least 50% of the total minimum fee payable in any fee block in which it is a minimum fee payer.[deleted]9

2. (2)

   A firm (other than a credit union) liable to pay only minimum fees in each fee block it is in must pay 100% of the highest total minimum fee payable within any one fee block and must pay at least 50% of the total minimum fee payable in any other fee blocks in which it is a minimum fee payer.[deleted]9

3. (3)

   A credit union in more than one fee block must pay at least 50% of the total minimum fee payable in any fee block, other than fee block A.1, in which they are a minimum fee payer.[deleted]9