On-Line Invoicing (FCA Fees and Levies)

Relevance:                   All firms not registered for On-Line Invoicing.

 Action required:           Take up registration before annual charge introduced.

Since 2012, firms have been encouraged to use the FCA’s On-Line Invoicing facility.

 The FCA States that:

“The portal provides a ‘one-stop shop’ on fees. It gives firms the ability to view, download or print invoices, view statements, pay invoices online by card, set up/amend a direct debit instruction, query invoices online, submit bank details to receive refunds by bank transfer and submit fee tariff data online, as well as providing easy access to a variety of fees information.”

Since its introduction, the majority of firms use this portal but there are still a number that don’t.

In November, the FCA first raised the prospect of the possibility of introducing an annual charge of £50 to £100 for firms which required paper invoicing. At that time, 15% of fee-payers were using paper invoices. Currently, less than 8% receive paper invoices.

According to the FCA “As fewer fee-payers continue to opt for paper invoicing, any economies of scale are eroded and the costs per firm of printing and posting documents become more expensive. It is unreasonable for other fee-payers to continue to bear these additional costs.”

So, from April 2020, the FCA is proposing to introduce an administration charge of £50 for fee-payers that require them to issue paper invoices instead of taking advantage of the online invoicing portal.

If you are one of the 8% indicated, now might be the time to register to prevent you having to pay such a charge.

If you need any help in this matter, please contact us.