The BoE has finalised its fees for FMI supervision in 2025/26.
Respondents had expressed concerns over the increase in fees for central counterparties (CCPs) and central securities depositories (CSDs) because of policy work, considering the scale of the increase and the fact that there have been increases in previous years. BoE highlighted that its responsibilities changed with the introduction of FSMA 2023, which gave it rulemaking powers and responsibilities in relation to CCPs and CSDs. Under these responsibilities, it is undertaking one-off work to develop a rulebook for UK CCPs, which is reflected in the higher fees for this period.
The consultation had also proposed to introduce, in a future year, a new Category 3 ratio for UK payment systems to align with the other FMI types where this already exists. Respondents acknowledges that lower ratios of Category 3 firms would help encourage innovation by easing entry for new entrants if they are lower risk systems.
A key concern was that new entrants should not be subsidised by incumbent firms against whom some of them may seek to compete. BoE responded that its aim is to help support new entrants and support responsible innovation, with its categorisations reflecting the supervision firms receive and the risk they bring to the system, such that they are not automatically placed into a lower category on entry. The regulator will provide more details on the timing for applying the new fee ratios and introducing the new Category 3 for UK payment systems in the 2026/27 FMI fees consultation paper.