Apfa has failed to submit a request to the National Audit Office to review the costs of the Financial Services Compensation Scheme, despite publicly calling for it almost two months ago.
In February, Apfa published a press release calling on the NAO to conduct a value for money audit on the FSCS’s strategic projects.
The trade body said the increasing cost of the FSCS had reached a point where an independent audit was necessary. It said it was particularly concerned about the “unacceptable” amount being spent on an online claims processing system.
But Money Marketing can reveal Apfa has not yet contacted the NAO with the request.
The NAO scrutinises public spending by Government departments and bodies, and publishes around 60 value for money reports per year.
It takes suggestions for value for money reports and plans its own programme each year.
A spokeswoman for the NAO says it has not received a request for an FSCS audit from Apfa.
The FSCS’s plan and budget for 2015/16, published in January, revealed the cost of its online claims system has spiralled by two thirds from £12.2m to £20.4m.
The FSCS’s overall levy will rise from £276m in 2014/15 to £287m in 2015/16. In March it announced a £20m interim levy for life and pensions intermediaries, on top of a £57m annual levy.
Thameside Financial Planning director Tom Kean says: “The funding for the FSCS is a thorn in the industry’s side. Given Apfa’s public pronouncements about the cost of regulation, I would expect them to do more on the industry’s behalf. This makes me question their motivation.”
Apfa director general Chris Hannant says: “The FCA is consulting on all regulatory fees for 2015/16 until 18 May and we will consider all fees by that date. We have had upheaval in our policy team with two staff members leaving in February, and will submit the request to the NAO shortly.”
Update: Apfa says it has now submitted a request to the NAO.