FOS consultation "Our 2021/22 plans and budget"

The BSA welcomes to the opportunity to response to the FOS's annual consultation on its plans and budget.  While we remain supportive of its stated strategic priorities, we also remain concerned at the continued path to a fundamental change in how the service is funded.


The BSA remains supportive of the FCA's key strategic objectives of service enhancement, preventing complaints and unfairness arising and building an organisation with the capabilities it needs for the future.  That said, we also remain very concerned at the continued trajectory towards a 50:50 funding split between fees and levy, without that being undertaken alongside a fundamental reassessment and restructure of the FCA's compulsory jurisdiction levy for FOS.  The current industry block arrangement grouping deposit acceptors, mortgage lenders and mortgage administrators into one block is not designed to achieve any risk-based differentiation and disincentivise behaviour resulting in poor customer outcomes.

Read the full response here.