Apfa has written to the major political parties to urge a rethink of what it terms an “unjustifiable” 10 per cent increase in advisers’ FCA fees.
In a paper on proposed fees published in March, the FCA said A13 advisers will pay £74.9m in 2015/16, up by 10 per cent from £68m in 2014/15.
The A13 fee block relates to advisers who do not hold client money.
The regulator is also increasing its minimum fee from £1,000 to £1,084, the first rise since 2010.
In a joint letter with the Association of Mortgage Intermediaries, Apfa has written to HM Treasury, the Treasury select committee and the finance spokesperson at each of the main political parties.
The letter says the rise in fees will “disproportionately increase the regulatory burden on financial intermediaries”.
It says: “Our two bodies support the need for a regulatory framework which protects consumers and creates a transparent and healthy finance sector.
“However, this must be done in a cost effective manner and we are concerned about the standards of cost restraint and efficiency at the FCA.
“It is not unreasonable to expect the FCA to abide by some basic standards of financial management and it brings into question the competence of an organisation that cannot live within a level budget as is necessary in business and across government.”
The letter says the increase will further restrict the availability of advice.
It adds: “We urge you to ask HM Treasury and the FCA to re-examine the case for the unjustifiable and disproportionate fee increase which will hit both consumers and the industry at a critical period.”