Financial Conduct Authority  

FCA's Bailey earns £11k a week after 30% payrise

FCA's Bailey earns £11k a week after 30% payrise

Andrew Bailey, chief executive of the Financial Conduct Authority (FCA), was paid total renumeration of more than £11,000 a week in the year to the end of March 2018, the regulator's annual accounts show.

Mr Bailey’s basic salary rose to £440,000 in the year from the previous year’s £330,000, he received a pension contribution of £40,000, up from £30,000 the previous year, and a bonus of £75,000.

This combined amounted to an annual pay package of £555,000, equating to £10,700 a week.

Mr Bailey donated the portion of the bonus he has already received to charity.

The total pay bill at the regulator was £321m in the year, accounting for 59 per cent of all expenditure at the regulator.

There was an average staff number of 3,739, compared with the previous year’s 3,635. Of this, 1,342 worked in the regulator’s supervisory department.

FTAdviser understands there has not been a higher than average number of staff departures from the FCA in recent months, with the move to a new office not prompting an exodus of staff.

The regulator received £508m in fees, and also gets income from application fees, training courses and recovery fees.

The regulator also spent £2.5m in the financial period preparing for Brexit.

The report and accounts covered the period to the end of March 2018. Since then, the regulator has moved office to Stratford in East London, from its previous location in Canary Wharf.

The regulator officially moved into the East London location on Monday (2 July), though FTAdviser understands the relocation of staff is happening in stages.

Mr Bailey had previously said the FCA received a rent free period, which FTAdviser understands to be of more than three years in length, to move to Stratford.

FTAdviser understands the cost of the new office is approximately 25 per cent less than would be the case if a building of the same size and standard were leased in Canary Wharf.

The cost of fitting out the building is believed to be in the middle of the range of such costs for London commercial property.

Mr Bailey had also previously said he expected the new building to save money, with lower energy and maintenance costs.

As FTAdviser previously reported, the slab of the income the FCA receives from the levy it charges financial services firms increased this year to £80.3m from the previous £77.1m.

The regulator's budget for this year includes £30m set aside to prepare for the cost of Brexit, with £14m of that coming from the FCA not engaging in other activities.

The £30m budget was prepared on the basis that the UK leaves the EU in March 2019, and that there would be no transition period.