FSCS postpones £30m interim levy on investment advisers

The Financial Services Compensation Scheme (FSCS) has said it no longer expects to raise an interim levy on investment advisers for the 2013/14 period.

The move follows a review of the number of claims coming in to the service and the timing of compensation payments, the FSCS said. In November the FSCS had said that the advice community was likely to be billed a £30m interim levy early this year, mainly covering the cost of the Catalyst Investment group failure, which was declared in default in October. At that time the FSCS said it faced a shortfall of £29.5m on investment intermediation, a deficit largely caused by compensation payments due to clients of Catalyst, which were sold bonds worth more than £50m backed by the collapsed A...