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; plus7

   7
2. (1A)

   any periodic fee applicable to it calculated in accordance with FEES 4.3.3A R using information relating to its UK business obtained in accordance with FEES 4.4 (or by other means in the case of the Bank of England); less7

3. (2)

   any deductions from the periodic fee specified in Part 2 of FEES 4 Annex 2AR, FEES 4 Annex 2BR or Part 7 of27 27FEES 4 Annex 11. 7

   2727

The periodic fee referred to in FEES 4.3.1 R is (except in relation to the Society,10 fee-paying payment service providers and fee-paying electronic money issuers)107 calculated as follows:

1. (1)

   identify each of the tariffs set out in Part 1 of FEES 4 Annex 2AR and Part 1 of FEES 4 Annex 2BR2727 which apply to the business of the firm for the period specified in that annex;

2. (2)

   for each of the applicable27 tariffs, calculate the sum payable in relation to the business of the firm for that period;

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3. (3)

   add together the amounts calculated under (2) in relation to fees payable to the FCA and, if applicable, separately add together the amounts calculated under (2) in relation to the fees payable to the PRA27;

   9
4. (4)

   work out whether an A.0 or a PA.0 minimum fee is payable under Part 2 of FEES 4 Annex 2AR and Part 2 of FEES 4 Annex 2BR and if so how much (except that that minimum fee is not payable again by a firm whose permission is extended if the fee was already payable before the extension)27;9

   927
5. (4A)

   27work out whether an AP.0 FCA prudential fee is payable under Part 2 of FEES 4 Annex 2AR and if so how much;

6. (4B)

   27work out whether a PT.1 PRA transitional fee is payable under Part 2 of FEES 4 Annex 2BR and if so how much;

7. (5)

   9add together the amounts calculated under (3), (4) and (4A) that relate to fees payable to the FCA and, if applicable, separately adding together the amounts calculated under (3), (4) and (4B) that relate to fees payable to the PRA27; and

8. (6)

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

   1. (a)

      for payment by direct debit, successful collection of the amount due is made at the first attempt by the FCA (in its own capacity and, if applicable, in its capacity as agent for the PRA)26; or

      26
   2. (b)

      for payment by credit transfer, the amount due is received by the FCA (in its own capacity and, if applicable, in its capacity as agent for the PRA)26 on or before the due date.

      26

7The periodic fee referred to in FEES 4.3.1 R in relation to fee-paying payment service providers and fee-paying electronic money issuers10 is calculated in accordance with FEES 4 Annex 11 R.

The periodic fee referred to in FEES 4.3.1 R in relation to the Society is specified against its name in 27 FEES 4 Annex 2AR and FEES 4 Annex 2BR27.

1. (1)

   Subject to FEES TP 8, if27 the firm's, designated professional body's, recognised investment exchange's, 12or regulated covered bond issuer's 11periodic fee for the previous fee year27 was at least £50,000, it11 must pay the FCA:27

   272711
   1. (a)

      an amount equal to 50% of the FCA27 periodic fee payable for the previous fee year, by 30 April or, if later, within 30 days of the date of the invoice, in the fee year27 to which the sum due under FEES 4.2.1 R relates; and

      27
   2. (b)

      the balance of the FCA27 periodic fee due for the current fee year by 1 September or, if later, within 30 days of the date of the invoice, in the fee year 27 to which that sum relates.

      27
2. (1A)

   27Subject to FEES TP 8, if the firm is also a PRA-authorised person and its periodic fee for the previous fee year was at least 50,000, it must pay the PRA (through the FCA acting as its collection agent):

   1. (a)

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

   2. (b)

      the balance of the PRA periodic fee due for the current fee year by 1 September or, if later, within 30 days of the date of the invoice, in the fee year to which that sum relates.

3. (1B)

   2727If the firm paid periodic fees to both the FCA and the PRA in the previous fee year, FEES 4.3.6R (1) and (1A) only apply if the firm's combined FCA and PRA periodic fees for that fee year were at least £50,000.

4. (2)

   If the firm's, designated professional body's, recognised investment exchange's, 12or regulated covered bond issuer's 11periodic fee for the previous fee year26 was less than £50,000, it11 must pay the periodic fee due in full by 1 August or, if later, within 30 days of the date of the invoice27 in the fee year26 to which that sum relates.

   261126
5. (3)

   If a firm has applied to cancel its Part 4A permission26 in the way set out in SUP 6.4.5 D (Cancellation of permission), or its status as a payment institution under regulation 10 of the Payment Services Regulations (Cancellation of authorisation) or as regulation 10 is applied by regulation 14 of the Payment Services Regulations (Supplementary provisions), or its status as an electronic money issuer under regulation 10 of the Electronic Money Regulations (Cancellation of authorisation) or as regulation 10 is applied by regulation 15 of the Electronic Money Regulations (Supplementary provisions), 10then (1) and (2) do not apply but it must pay the total amount due when the application is made.

   26
6. (4)

   If the appropriate regulator26 has exercised its own-initiative powers to cancel a firm's2 Part 4A permission26, then (1) and (2) do not apply but the firm must pay the total amount due immediately before the cancellation becomes effective.

   26226
7. (4A)

   If the FCA has cancelled a firm's authorisation or registration under regulation 10 of the Payment Services Regulations or regulation 10 of the Electronic Money Regulations 10 or its registration under regulation 10 as applied by regulation 14 of the Payment Services Regulations or its registration under regulation 10 as applied by regulation 15 of the Electronic Money Regulations, 10 then (1) and (2) do not apply but the firm must pay the total amount due immediately before the cancellation becomes effective.7

8. (5)

   [deleted]27

   627
9. (5A)

   (In relation to PRA-authorised persons only) paragraphs (1A) and (2) do not apply to any Solvency 2 Special Project fee or Solvency 2 Implementation fee (as defined in FEES 4 Annex 2B) and such fees are not taken into account for the purposes of the split in (1A). Instead any Solvency 2 Special Project fee or Solvency 2 Implementation fee is payable on the date specified in (1A)(b) or (2) (depending on which applies to the rest of its periodic fee) or any earlier date required by (3) or (4).14

10. (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 FCA (in its own capacity and, if applicable, in its capacity as agent for the PRA)26 in writing of the name of each other firm within the group for which it will pay; and

   26
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 27 Part 1 of FEES 4 Annex 2AR and, if applicable, Part 1 of FEES 4 Annex 2BR27 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 FEES 4 Annex 2AR and, if applicable, Part 3 of FEES 4 Annex 2BR2727.

10For:

1. (-1)
   1. (a)

      a full credit institution which is a fee-paying payment service provider and an EEA firm; or

   2. (b)

      a full credit institution which is a fee-paying electronic money issuer and an EEA firm; or

   3. (c)

      an EEA authorised payment institution; or

   4. (d)

      an EEA authorised electronic money institution;

   the calculation required by FEES 4.3.3A R is modified as follows:

2. (1)

   the tariffs set out in Part 5 of FEES 4 Annex 11 are only applied to the payment services or electronic money issuance10of the firm carried on from an establishment in the United Kingdom, including any payment services carried on10 through any of its agents established in the United Kingdom; and

   1010
3. (2)

   those tariffs are modified in accordance with Part 7 of FEES 4 Annex 11.

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), or applies to vary (by reducing its scope) or cancel its authorisation or registration (regulation 8 and 10(1) of the Payment Services Regulations including as applied by regulation 14 of the Payment Services Regulations) or applies to cancel its authorisation or registration (regulation 10 and 12 of the Electronic Money Regulations including as applied by regulation 15 of the Electronic Money Regulations) ; 107an issuer makes an application for de-listing; or a sponsor notifies the 7FCA 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 fee year27 to which the fee relates;

      27

   FEES 4.2.1 R applies to the firm as if the relevant variation or cancellation of the firm's permission or authorisation or registration under the Payment Services Regulations or the Electronic Money Regulations10, 7 de-listing or removal from the list of approved sponsors,1 took effect immediately before the start of the fee year27 to which the fee relates.

   27
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 on or before 30 June of the fee year to which the fee relates27.

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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 or registered 7as 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 1AR, FEES 4 Annex 1BR2727 and FEES 4 Annex 11) 7 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.