In September 2023, the FSCA proposed a 6% increase to FSP levies for 2024. Click here to read our previous article.
The final version of the 2024 levies was published as amendments to the Schedules of the Financial Sector and Deposit Insurance Levies Act which was gazetted by National Treasury on 23 August 2024. The final version confirmed a 6% increase from last year’s 2023 levies.
Levy calculations
Similar to last year, levy calculations will consist of two main levies for FSPs. These are the Financial Sector Levy and a Special Levy.
The financial sector levy is made up of different components, being the:
- FSCA levy
- Statutory Ombud Schemes
- Tribunal levy
- Ombud Council levy
The Special Levy is an amount equal to 7.5% of the amount of the financial sector levy, and only applies for two years from the date of commencement of the Financial Sector and Deposit Insurance Levies Act, i.e. 1 April 2023, to each entity to which an FSP pays a financial sector levy.
The Statutory Ombud Schemes levy (FAIS Ombud) did not increase its levy for 2024/25. While there has been a marginal increase in the Tribunal levy calculation from 2.5% of the FSCA levy in 2023, to 2.65% of the FSCA levy for 2024.
Although there was no increase to the Ombud Council levy calculation for 2024, the amount payable will increase as a consequence of the increase to the FSCA levy. The Ombud Council levy calculation remains at 2.5% of the FSCA levy, same as last year.
The Tables below set out the various levies which must be paid by the different categories of FSPs according to the Schedules of the Act as amended.
Financial Sector Levy
FSCA Levy
Statutory Ombud Schemes (FAIS Ombud Levies)
Tribunal Levy
Ombud Council Levy
Special Levy
The deadline for the payment of levies is 30 November 2024. This includes the payment of the Special levy. The FSCA will send an invoice which will set out the special levy and the financial sector levy amounts due by your FSP. Both levies must be paid together.
Proof of payment must be sent via email to FSCA.levies@FSCA.co.za with the subject line stating the FSP number.
Those FSPs that require an exemption from paying levies can submit an application to FSCA.leviesexemption@FSCA.co.za with motivation for the request and supporting documents.
FSPs are reminded to check that the FSCA has their correct contact details, to ensure that the invoice reaches the FSP and can be paid before the deadline date. If an FSP does not receive their invoice ahead of the deadline date, we suggest that you contact the FSCA to request that this be re-sent to you. Should the levy not be paid, the licence of the FSP may be withdrawn in terms of section 9 of the FAIS Act.
(1) The average total number of key individuals plus average total number of representatives, calculated over the period 1 September of the preceding levy year to 31 August of the levy year.
(2) The total value of investments managed or administered on behalf of clients in terms of the authorisation as a financial services provider on 31 August of the levy year: Provided that Investments under management or administration held in foreign currency must be included at the exchange rate published in the press at that date.