View more on these topics

Wrap providers face £60m cost of compliance fees

The industry will be hit with £127m of one-off compliance costs as a result of the FSA’s latest platform proposals.

The regulator says platform operators can expect to be charged £60.2m in one-off costs to meet the new proposals and other intermediate unitholders will have to pay the same amount. Fund managers will be hit with a £6.6m charge.

Platform operators can also expect to pay £25.3m in ongoing costs, intermediate unitholders can expect to pay £21.2m and fund managers £1.1m.

The FSA says around £70m of the one-off costs and £34m of the ongoing costs are attributable to the proposals on the provision of information to fund managers and underlying investors.

One-off costs of £26m and £9m ongoing are due to the ban on cash rebates to consumers.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com