Close menu

Application provision

42.1 This Chapter applies only to the FSCS.

42.1

03/07/2015

This Chapter applies only to the FSCS.

42.2

03/07/2015

The FSCS must allocate any DGS compensation costs levy to DGS members in accordance with the amount of DGS compensation costs arising from, or expected to arise from claims in respect of covered deposits up to the levy limit of class A under 33.3.

42.3

01/10/2016

The FSCS must calculate each DGS member’s share of a DGS compensation costs levy by:

  1. (1) identifying the DGS compensation costs allocated to class A;
  2. (2) calculating, in relation to class A, the DGS member’s tariff base as a proportion of the total tariff base of all DGS members in class A, using the statement of business most recently supplied;
  3. (3) applying the proportion calculated in (2) to the figure in (1); and
  4. (4) applying an adjustment for the degree of risk incurred by the DGS member to the product of the calculation in (3).

42.4

03/07/2015

When calculating a DGS member’s share of a DGS compensation costs levy or DGS specific costs levy allocated to class A, the FSCS must use the class A tariff base.

42.5

03/07/2015

A firm which becomes a DGS member part way through a financial year of the deposit guarantee scheme will not be liable to pay a share of a DGS compensation costs levy made in that year.

42.6

03/07/2015

41.5 applies to the calculation of a DGS member’s DGS compensation costs levy and its tariff base as it applies to the calculation of its specific costs levy.