Sesame offers members interest-free FSCS levy loan

Sesame is to offer members the option of paying their FSCS interim levies over two years via an interest-free loan.

Although the firm already has 12-month instalment options to help members with various fees and levies, the magnitude of the recent interim levy has put further pressure on many businesses.

A £35 charge exists for the plan and members are currently being sent letters with more details about it.

Nick Kelly, managing director of distribution at Sesame, says: "The substantial additional FSCS levy is a body blow to advisers, given the economic and regulatory pressure that firms are already under right now.

"The fact that the FSCS is demanding the levy is paid within 30 days is further compounding the issue. Sesame is responding by using its financial strength to alleviate the pressure on our members.

"However, what we also urgently need is a fairer long-term solution for how these FSCS fees are allocated across the financial services industry in the future, as the current trend of fewer advisers sharing the burden of higher fees is simply unsustainable."