FSA charges for Solvency II work

Insurers are facing a regulatory fee of £500,000 to cover some of the costs of the Financial Services Authority’s (FSA) work on Solvency II, which is expected to step up a gear next year. The FSA says the special project fee will mainly be charged to larger insurers and relates in particular to the work it will have to do in order to approve internal models that firms propose to use to calculate their solvency requirements instead of the European standard model.