How we are funded
The FSCS is funded by the financial services industry. Every firm authorised by the UK regulators is obliged to pay an annual levy, which goes towards our running costs and the compensation payments we make.
This levy is split into six broad classes covering each type of firm:
- life and pensions
- general insurance
- home finance
- debt management.
Each class has its own tariff to help calculate the levy amount, which means that each firm contributes proportionately, with larger firms paying more than small ones.
For more details on the levy and how it is calculated, visit our Levy Information section.