Levying Process 

How the annual Industry Funding Levy is calculated

The method of calculating a financial service provider’s annual levy varies depending on the industry funding category within which the financial service provider falls.

There are currently 12 categories contained in the Regulations. A financial service provider may fall into more than one industry category. In such a case, the financial services provider must pay the levy for each category.

For example: a credit union (Category F) may also hold a multi-agency intermediary authorisation (Category C) and is therefore obliged to pay the levy for both categories.

2014 Industry Funding Levy Categories

Full details of the varying bases of individual levy calculations can be accessed through each of the category links below, and in the   2014 Guide to Industry Funding Regulations.

Category Name Industry Sector

 Category A  

 Credit Institutions

Credit Institutions

Category B
Insurance Undertakings

Life Insurance Companies

Non-Life Insurance Companies

Reinsurance Companies

Category C
Intermediaries

Insurance/Reinsurance Intermediaries

Investment Intermediaries

Mortgage Intermediaries

Debt Management Companies

Category D

Securities and Investment Firms

IIA Non-Retail Firms

MiFID Firms
Category E Investment Funds, Alternative Investment Fund Managers and other Investment Fund Service Providers

Authorised UCITS

Authorised Unit Trusts

Authorised Investment Companies (Designated and non-Designated)

Authorised Investment Limited Partnerships

Authorised Common Contractual Funds

UCITS Self-Managed Investment Companies (SMICs)

Authorised Designated Investment Companies (Internally Managed Alternative Investment Funds)

Administrators

Alternative Investment Fund Management Companies (Delegating)

UCIT Managers (Non Delegating)

Alternative Investment Fund Management Companies (Non Delegating)

Depositories

Alternative Investment Fund Managers

UCIT Managers (Delegating)

Category F

Credit Unions

Credit Unions

 Category G

Moneylenders

Moneylenders

 Category H

 Approved Professional Bodies

Approved Professional Bodies

Category J

Bureaux de Change

Bureaux de Change 

Category L

 

Default Assessment

Category M

 Home Reversion Firms/Retail Credit Firms

Retail Credit Firms

Home Reversion Firms

 Category N

H       

Payment Institutions / E-Money Institutions

Payment Institutions 

E-Money Institutions 

Levy Notices

The Central Bank of Ireland sends almost all financial service providers a levy notice after the regulations are made. The levy must be paid no later than 35 days from the date on the levy notice. If a financial services provider fails to pay the levy by the required date, the Central Bank of Ireland may take steps to recover the amount of the levy.  Recovery action may include court proceedings.

However, financial service providers who do not receive a levy notice are still legally obliged to pay the levy calculated in accordance with the appropriate industry category as set out in the Regulations.

In such a case, the financial service provider should request a copy of the levy notice by sending an email to funding@centralbank.ie

Pro-Rata Levies

Each financial service provider will be liable to a levy for the portion of the year in respect of which it holds an authorisation from the Bank.  It follows that financial service providers authorised in 2014 will be liable to a levy covering the period from the date of authorisation to 31 December 2014.  Similarly, financial service providers whose authorisation is revoked during the course of 2014 will be liable to a levy covering the period 1 January 2014 to the date on which the relevant authorisation is revoked.

Payment Methods

The preferred methods of payment are by Direct Debit or Electronic Funds Transfer (EFT).

 Download a SEPA Direct Debit form here.

Paying by EFT: to ensure payments are dealt with efficiently, a payment reference must be included in the Text Field (Field 72) and must include at least one of the following details: account number and/or levy notice. Failure to include the required details may result in the payment being returned at the remitter's expense and the levy remaining due.

Other payment methods

Payment by cheque will also be accepted on or before 19 September 2014. Cheques should be made payable to the Central Bank - Industry Funding Levy.

 Download this document for full details of the payment options available.

Appeals

A financial service provider may appeal the levy amount to the Deputy Governor (Financial Regulation) to change the amount of the levy where it considers that the amount has been incorrectly assessed but must do so no later than 21 days following the due date of the levy notice.  A financial services provider may only dispute the amount of assessment.  A financial services provider cannot dispute an amount correctly calculated from the Schedule to the Regulations.

Any such appeals must be in writing and must:

  • dispute the calculation of the levy because of either (a) an incorrect figure, or (b) an incorrect category or categories;                 
  • set out the grounds of the appeal in detail;
  • be accompanied by the amount of required levy contribution that is not in dispute; and
  • include any supporting documentation or representations, where relevant.

Once an appeal has been considered and the financial services provider has been notified of the decision, it must pay the balance of the levy owing (if any) within 10 days of the date of notification. If a financial services provider fails to pay the levy by the required date the Bank may take steps to recover the amount of the levy. Recovery action may include court proceedings.