FEES 4 Annex 2 13Fee tariff rates, permitted deductions and EEA/Treaty firm modifications for the period from 1 April 2007 to 31 March 20083

4(1)

For each activity group specified in the table below, the fee is the total of the sums payable for each of the tariff bands applicable to the firm's business, calculated as follows:

(a)

the relevant minimum fee; plus

(b)

an additional fee calculated by multiplying the firm's tariff base by the appropriate rates applying to each tranche of the tariff base, as indicated.

(2)

A firm may apply the relevant tariff bases and rates to non-UK business, as well as to its UK business, if:

(a)

it has reasonable grounds for believing that the costs of identifying the firm's UK business separately from its non-UK business in the way described in Part 2 of FEES 4 Annex 1 are disproportionate to the difference in fees payable; and

(b)

it notifies the FSA in writing at the same time as it provides the information concerned under FEES 4.4 (Information on which fees are calculated), or, if earlier, at the time it pays the fees concerned.

(3)

For a firm which has not complied with FEES 4.4.2 R (Information on which fees are calculated) for this period:

(a)

the fee is calculated using (where relevant) the valuation or valuations of business applicable to the previous period, multiplied by the factor of 1.10;

(b)

an additional administrative fee of £250 is payable; and

(c)

the minimum total fee (including the administrative fee in (b)) is £400.

Activity group

Fee payable

A.1

Minimum fee (£)

£155

million of Modified Eligible Liabilities (MELs)

Fee (/m or part m of MELS)

0 - 0.5

0

>0.5 - 2

additional flat fee of 370

>2 -10

additional flat fee of 520

>10 - 200

26.78

>200 - 2,000

26.75

>2,000 - 10,000

26.67

>10,000 - 20,000

26.48

>20,000

26.29

For a firm in A.1 which has a limitation on its permission to the effect that it may accept deposits from wholesale depositors only, the fee is calculated as above less 30%.

A.2

Minimum fee ()

460

No. of mortgages

Fee (/mortgage)

0 - 50

0

51 - 500

4.41

501 - 1,000

1.77

1,001 - 50,000

1.33

50,001 - 500,000

0.46

>500,000

0.10

A.3

Gross premium income (GPI)

Minimum fee ()

420

million of GPI

Fee (/m or part m of GPI)

0 - 0.5

0

>0.5 - 2

1,954.24

>2 - 5

1,815.84

>5 - 20

1,703.33

>20 - 75

542.24

>75 - 150

475.35

>150

67.00

PLUS

Gross technical liabilities (GTL)

Minimum fee ()

0

million of GTL

Fee (/m or part m of GTL)

0 - 1

0

>1 - 5

48.17

>5 - 50

44.64

>50 - 100

41.43

>100 - 1,000

13.05

>1,000

5.23

For UK ISPV's the tariff rates are not relevant and a flat fee of 420is payable in respect of the period 1 April 2007 to 31 March 2008.

A.4

Adjusted annual gross premium income (AGPI)

Minimum fee ()

210

million of AGPI

Fee (/m or part m of AGPI)

0 - 1

0

>1 - 50

655.12

>50 - 1,000

610.75

>1,000 - 2,000

419.24

>2,000

287.84

PLUS

Mathematical reserves (MR)

Minimum fee ()

210

million of MR

Fee (/m or part m of MR)

0 - 1

0

>1 - 10

38.13

>10 - 100

34.90

>100 - 1,000

23.63

>1,000 - 5,000

16.62

>5,000 - 15,000

12.92

>15,000

10.04

For UK ISPV's the tariff rates are not relevant and a flat fee of 420is payable in respect of the period 1 January 2007to 31 March 2007 to be invoiced with the fee for the financial period 2007/8.

A.5

Minimum fee ()

565

million of Active Capacity (AC)

Fee (/m or part m of AC)

0 - 50

0

>50 - 150

105.16

>150 - 250

88.50

>250

25.96

A.6

1,183,123

A.7

For class 1(C), (2) and (3) firms:

Minimum fee ()

1,180

million of Funds under Management (FuM)

Fee (/m or part m of FuM)

0 - 10

0

>10 - 100

51.44

>100 - 2,500

16.54

>2,500 - 10,000

9.21

>10,000

1.04

For class 1(B) firms: the fee calculated as for class 1(C) firms above, less 15%.

For class 1(A) firms: the fee calculated as for class 1(C) firms above, less 50%.

A.8

This activity group does not apply for this period.

A.9

Minimum fee ()

1,845

million of Gross Income (GI)

Fee (/m or part m of GI)

0 - 1

0

>1 - 5

977.18

>5 - 15

960.65

>15 - 40

951.13

>40

938.17

A.10

Minimum fee ()

2,255

No. of traders

Fee (/trader)

0 - 2

0

3 - 5

2,520.00

6 - 10

1,821.00

11 - 50

1,683.00

51 - 200

1,457.00

>200

1,176.00

A.11

This activity group does not apply for this period.

A.12

Minimum fee ()

1,760

No. of persons

Fee (/person)

0 - 1

0

2 - 4

1,092.00

5 - 10

553.00

11 - 25

406.00

26 - 150

221.00

151 - 1,500

167.00

>1,500

112.00

For a professional firm in A.12 the fee is calculated as above less 10%.

A.13

For class (2) firms:

Minimum fee ()

1,650

No. of persons

Fee (/person)

0 - 1

0

2 - 4

967.00

5 - 10

944.00

11 - 25

906.00

26 - 500

835.00

501 - 4,000

767.00

>4000

724.00

For class (1) firms: 1650

For a professional firm in A.13 the fee is calculated as above less 10%.

A.14

Minimum fee ()

1,300.00

No. of persons

Fee (/person)

0 - 1

0

2

1,280.00

3 - 4

1,215.00

5 - 10

1,117.00

11 - 100

1,060.00

101 - 200

742.00

>200

446.00

A.15

This activity group does not apply for this period.

A.16

0

A.17

This activity group does not apply for this period.

A.18

Minimum fee ()

650

thousands of Annual Income (AI)

Fee (/ thousand or part thousand of AI)

0 - 100

0

>100 - 1,000

4.58

>1,000 - 5,000

3.83

>5,000 - 10,000

3.06

>10,000 - 20,000

2.30

>20,000

1.93

A.19

Minimum fee ()

410

thousands of Annual Income (AI)

Fee (/ thousand or part thousand of AI)

0 - 100

0

>100 - 1,000

3.88

>1,000 - 5,000

3.39

>5,000 - 15,000

2.45

>15,000 - 100,000

0.98

>100,000

0.40

B. Market operators

20,000

B. Service companies

Bloomberg LP

35,000

EMX Co Ltd

25,000

LIFFE Services Ltd

25,000

Plus Markets plc

90,000

OMGEO Ltd

25,000

Reuters Ltd

35,000

Swapswire Ltd

25,000

Thomson Financial Ltd

25,000

A.1

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.2

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.3

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.4

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.5

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.6

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.7

Financial penalties received

5.6% of the fee payable by the firm for the activity group (see Part 1)

A.9

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.10

Financial penalties received

8.7% of the fee payable by the firm for the activity group (see Part 1)

A.12

Financial penalties received

4.9% of the fee payable by the firm for then activity group (see Part 1)

A.13

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.14

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.18

Financial penalties received

4.9% of the fee payable by the firm for the activity group (see Part 1)

A.19

Financial penalties received

5.4% of the fee payable by the firm for the activity group (see Part 1)

Part 33

This table shows the modifications to fee tariffs that apply to incoming EEA firms and incoming Treaty firmswhich have established branches in the UK5.

Activity group

Percentage deducted from the tariff payable under Part 1 applicable to the firm

Minimum amount payable

A.1

80%

100

A.3

100%

nil

A.4

25%

100

A.7

5%

100

A.9

5%

100

A.10

10%

100

A.12

10%

100

A.13

10%

100

A.19

10%

100

The modifications to fee tariffs payable by an incoming EEA firm or an incoming Treaty firm which has established a branch in the UK 5apply only in relation to the relevant regulated activities of the firm which are passported activities or Treaty activities and which are carried on in the UK.