The Financial Services Authority (FSA) has set out proposed changes to the funding of the Financial Services Compensation Scheme (FSCS).
Sheila Nicoll, the FSA's director of conduct policy, said: "Compensation funding inevitably means that different sectors have competing interests.
"Our role has been to walk the middle ground and produce a workable solution that we believe the entire industry can afford and live with.
"We would urge all stakeholders engage with us in this funding review. Any changes that we make have to produce a system that is as fair as possible, but ultimately plays its part in underpinning confidence in the financial services sector."
The existing FSCS funding model has been in place since April 2008. The FSA's consultation will run until 25 October 2012.
More to follow...
