1
Application and Definitions
1.1
- 30/11/2022
1.2
In this Part, the following definitions shall apply:
means a levy imposed by the FSCS on a firm or, where applicable, the Society, to meet relevant expenses incurred by the FSCS in connection with acting on behalf of the manager of the relevant scheme in accordance with Part 15A of FSMA.
manager of the relevant scheme
has the meaning given in section 224B(3) of FSMA.
means management expenses as defined in section 224F(7) of FSMA.
means a scheme or arrangement (other than the Financial Services Compensation Scheme) for the payment of compensation (in certain cases) to customers (including customers outside the United Kingdom) in respect of deposits or under contracts of insurance or in respect of similar financial services.
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2
Management Expenses in Respect of Relevant Schemes Levy
2.1
This Chapter applies only to the FSCS.
- 03/07/2015
2.2
The FSCS may at any time impose a MERS levy on a firm or, where applicable, the Society provided that the FSCS has reasonable grounds for believing that the funds available to it to meet relevant expenses are, or will be insufficient, taking into account relevant expenses already incurred or expected to be incurred in the 12 months immediately following the date of the levy.
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2.3
The FSCS can impose a MERS levy only if the FSCS has tried its best and has failed to obtain reimbursement of those expenses from the manager of the relevant scheme.
- 03/07/2015
3
Obligation to Pay
4
Payments
- 30/11/2022
4.2
A share of a MERS levy is due on, and payable within, 30 days of the date when the invoice is issued.
- 12/10/2016
4.3
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4.4
The FSCS may reduce, remit or refund any overpaid amounts paid in respect of a MERS levy in respect of a particular period, due to a mistake of law or fact by a firm or, where applicable, the Society, provided that the claim is made by the firm or, where applicable, the Society not more than two years after the beginning of the period to which the overpayment relates.
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4.5
If a firm (and, where applicable, the Society), does not pay the total amount of its share of a MERS levy, before the end of the date on which it is due, it must pay an additional amount as follows:
- (1) if the MERS levy was not paid in full before the end of the due date, an administrative fee of £250; and
- (2) interest on any unpaid part of the MERS levy or administrative fee at the rate of 5% per annum above the Official Bank Rate from time to time in force, accruing on a daily basis from the date on which the amount concerned became due.
- 30/11/2022