{"id":"F2025L00052","name":"Financial Services Compensation Scheme of Last Resort Levy (Collection) (Cost Estimates for 2025-26 Levy Period) Determination 2025","slug":"financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev","collection":"legislative_instrument","jurisdiction":"commonwealth","status":"in_force","isInForce":true,"actNumber":null,"makingDate":null,"administeringDepartment":null,"currentVersion":{"id":442716,"registerId":"F2025L00052-fast-fetch-1775957669271","compilationNumber":null,"startDate":"2026-04-12","status":"InForce","reasons":null,"registeredAt":null},"sections":[{"sectionNumber":"1","sectionType":"section","heading":"Financial Services Compensation Scheme of Last Resort Levy (Collection) (Cost Estimates for 2025-26 Levy Period) Determination 2025","content":"---\nmeta-content-style-type: text/css\nmeta-content-type: application/xhtml+xml; charset=utf-8\ntitle: 250125-LI-TSY_47_0881-CSLR cost estimates-3rd levy period.master\n---\n\n![Commonwealth coat of arms of Australia](image.001.jpeg)\n\n \n\nFinancial Services Compensation Scheme of Last Resort Levy (Collection) (Cost Estimates for 2025-26 Levy Period) Determination 2025\n\nThe Compensation Scheme of Last Resort Limited, operator of the financial services compensation scheme of last resort, makes the following determination.\n\nDated   24 January 2025\n\n \n\nCompensation Scheme of Last Resort Limited\n\nOperator of the Financial Services Compensation Scheme of Last Resort\n\n \n\n \n\n \n\n \n\nContents\n\nPart 1—Preliminary\n\n1  Name \n\n2  Commencement\n\n3  Authority\n\n4  Definitions\n\nPart 2—Estimates of claims, fees and costs for 2025-26 levy period\n\n5  Credit intermediaries sub-sector\n\n6  Excess amount—credit intermediaries sub-sector\n\n7  Credit providers sub-sector\n\n8  Excess amount—credit providers sub-sector\n\n9  Licensed personal advice sub-sector\n\n10  Excess amount—licensed personal advice sub-sector\n\n11  Securities dealers sub-sector\n\n12  Excess amount—securities dealers sub-sector\n\n \n\nPart 1—Preliminary\n\n \n\n1  Name\n\n  This instrument is the Financial Services Compensation Scheme of Last Resort Levy (Collection) (Cost Estimates for 2025-26 Levy Period) Determination 2025.\n\n2  Commencement\n\n (1) Each provision of this instrument specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.\n\n \n\n- Commencement information\n- Column 1 Column 2 Column 3\n- Provisions Commencement Date/Details\n- 1. The whole of this instrument The day after this instrument is registered.\n\n\nNote: This table relates only to the provisions of this instrument as originally made. It will not be amended to deal with any later amendments of this instrument.\n\n (2) Any information in column 3 of the table is not part of this instrument. Information may be inserted in this column, or information in it may be edited, in any published version of this instrument.\n\n3  Authority\n\n  This instrument is made under the Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023.\n\n4  Definitions\n\nNote:  Expressions have the same meaning in this instrument as in the Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023 as in force from time to time—see paragraph 13(1)(b) of the Legislation Act 2003.\n\n  In this instrument:\n\n2025-26 levy period means the 12-month period starting from 1 July 2025.\n\ncredit intermediaries sub-sector has the same meaning as in the Financial Services Compensation Scheme of Last Resort Levy Regulations 2023.\n\ncredit providers sub-sector has the same meaning as in the Financial Services Compensation Scheme of Last Resort Levy Regulations 2023.\n\nfinancial services compensation scheme of last resort has the same meaning as in the Corporations Act 2001.\n\nlicensed personal advice sub-sector has the same meaning as in the Financial Services Compensation Scheme of Last Resort Levy Regulations 2023.\n\nsecurities dealers sub-sector has the same meaning as in the Financial Services Compensation Scheme of Last Resort Levy Regulations 2023.\n\nthe Act means the Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023.\n\nPart 2—Estimates of claims, fees and costs for 2025-26 levy period\n\nNote 1: The 2025-26 levy period is the third levy period.\n\nNote 2: No amounts have been included in relation to subparagraph 9(1)(b)(v) and paragraph 9(2)(c) of the Act as those provisions do not apply until the fourth or later levy periods.\n\n5  Credit intermediaries sub-sector\n\n  Under subsection 9(1) of the Act, for the 2025-26 levy period and the credit intermediaries sub-sector, the determined estimate is $2,723,315.13, being the sum of the following specified amounts:\n\n (a) for the purposes of paragraph 9(1)(a) of the Act, the amount of $1,029,650.51;\n\n (b) for the purposes of paragraph 9(1)(b) of the Act, the amount of $1,915,786.62, comprising the following:\n\n (i) $210,145.75 (see subparagraph 9(1)(b)(i) of the Act);\n\n (ii) $1,063,974.20 (see subparagraph 9(1)(b)(ii) of the Act);\n\n (iii) $225,000.00 (see subparagraph 9(1)(b)(iii) of the Act);\n\n (iv) $416,666.67 (see subparagraph 9(1)(b)(iv) of the Act);\n\n (c) for the purposes of paragraph 9(1)(c) of the Act, the amount of $0.00;\n\n (d) for the purposes of paragraph 9(1)(e) of the Act, the amount of $0.00;\n\nless the excess amounts referred to in subsections 6(1) and (2) of this instrument.\n\n6  Excess amount—credit intermediaries sub-sector\n\n (1) For the purposes of subsection 9(1) and paragraph 9(2)(a) of the Act, the excess amount for an earlier levy period and the credit intermediaries sub-sector is $0.00.\n\n (2) For the purposes of subsection 9(1) and paragraph 9(2)(b) of the Act, the excess amount for the first levy period and the credit intermediaries sub-sector is $222,122.00.\n\n7  Credit providers sub-sector\n\n  Under subsection 9(1) of the Act, for the 2025-26 levy period and the credit providers sub-sector, the determined estimate is $2,798,530.77, being the sum of the following specified amounts:\n\n (a) for the purposes of paragraph 9(1)(a) of the Act, the amount of $214,812.54;\n\n (b) for the purposes of paragraph 9(1)(b) of the Act, the amount of $2,710,773.23, comprising the following:\n\n (i) $976,059.21 (see subparagraph 9(1)(b)(i) of the Act);\n\n (ii) $1,093,047.35 (see subparagraph 9(1)(b)(ii) of the Act);\n\n (iii) $225,000.00 (see subparagraph 9(1)(b)(iii) of the Act);\n\n (iv) $416,666.67 (see subparagraph 9(1)(b)(iv) of the Act);\n\n (c) for the purposes of paragraph 9(1)(c) of the Act, the amount of $0.00;\n\n (d) for the purposes of paragraph 9(1)(e) of the Act, the amount of $0.00;\n\nless the excess amounts referred to in subsections 8(1) and 8(2) of this instrument.\n\n8  Excess amount—credit providers sub-sector\n\n (1) For the purposes of subsection 9(1) and paragraph 9(2)(a) of the Act, the excess amount for an earlier levy period and credit providers sub-sector is $0.00.\n\n (2) For the purposes of subsection 9(1) and paragraph 9(2)(b) of the Act, the excess amount for the first levy period and the credit providers sub-sector is $127,055.00.\n\n9  Licensed personal advice sub-sector\n\n  Under subsection 9(1) of the Act, for the 2025-26 levy period and the licensed personal advice sub-sector, the determined estimate is $70,109,666.88, being the sum of the following specified amounts:\n\n (a) for the purposes of paragraph 9(1)(a) of the Act, the amount of $59,528,821.67;\n\n (b) for the purposes of paragraph 9(1)(b) of the Act, the amount of $11,883,095.21, comprising the following:\n\n (i) $8,001,097.57 (see subparagraph 9(1)(b)(i) of the Act);\n\n (ii) $2,840,330.97 (see subparagraph 9(1)(b)(ii) of the Act);\n\n (iii) $625,000.00 (see subparagraph 9(1)(b)(iii) of the Act);\n\n (iv) $416,666.67 (see subparagraph 9(1)(b)(iv) of the Act);\n\n (c) for the purposes of paragraph 9(1)(c) of the Act, the amount of $0.00;\n\n (d) for the purposes of paragraph 9(1)(e) of the Act, the amount of $0.00;\n\nless the excess amounts referred to in subsections 10(1) and (2) of this instrument.\n\n10  Excess amount—licensed personal advice sub-sector\n\n (1) For the purposes of subsection 9(1) and paragraph 9(2)(a) of the Act, the excess amount for an earlier levy period and the licensed personal advice sub-sector is $0.00.\n\n (2) For the purposes of subsection 9(1) and paragraph 9(2)(b) of the Act, the excess amount for the first levy period and the licensed personal advice sub-sector is $1,302,250.00.\n\n11  Securities dealers sub-sector\n\n  Under subsection 9(1) of the Act, for the 2025-26 levy period and the securities dealers sub-sector, the determined estimate is $2,343,026.86, being the sum of the following specified amounts:\n\n (a) for the purposes of paragraph 9(1)(a) of the Act, the amount of $760,242.04;\n\n (b) for the purposes of paragraph 9(1)(b) of the Act, the amount of $1,927,462.82, comprising the following:\n\n (i) $222,146.81 (see subparagraph 9(1)(b)(i) of the Act);\n\n (ii) $1,063,649.34 (see subparagraph 9(1)(b)(ii) of the Act);\n\n (iii) $225,000.00 (see subparagraph 9(1)(b)(iii) of the Act);\n\n (iv) $416,666.67 (see subparagraph 9(1)(b)(iv) of the Act);\n\n (c) for the purposes of paragraph 9(1)(c) of the Act, the amount of $0.00;\n\n (d) for the purposes of paragraph 9(1)(e) of the Act, the amount of $0.00;\n\nless the excess amounts referred to in subsections 12(1) and (2) of this instrument.\n\n12  Excess amount—securities dealers sub-sector\n\n (1) For the purposes of subsection 9(1) and paragraph 9(2)(a) of the Act, the excess amount for an earlier levy period and the securities dealers sub-sector is $0.00.\n\n (2) For the purposes of subsection 9(1) and paragraph 9(2)(b) of the Act, the excess amount for the first levy period and the securities dealers sub-sector is $344,678.00.\n","sortOrder":0}],"analysis":{"kimi_summary":{"content_quality":"ok","complexity_score":4,"scope_assessment":{"changed":false,"description":"This instrument performs exactly the function intended by its enabling Act: setting annual cost estimates for the CSLR levy. It does not expand beyond the statutory framework established in 2023. The structure mirrors what would be expected for a third-year levy determination, including appropriate exclusions for provisions that don't apply until the fourth levy period (as noted in Note 2)."},"complexity_factors":["Extensive cross-referencing to parent Act (Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023) and Regulations for definitions and substantive provisions","Nested calculation structure: each sector's levy is built from multiple statutory components (paragraphs 9(1)(a)-(e)) with sub-components (subparagraphs 9(1)(b)(i)-(iv))","Deduction mechanics: each final amount requires subtraction of 'excess amounts' defined in separate subsections with dual conditions (subsections 9(1) and paragraphs 9(2)(a) or 9(2)(b))","Temporal complexity: references to 'first levy period', 'earlier levy period', and 'fourth or later levy periods' create inter-temporal dependencies","7 defined terms in interpretation section, all by reference to external instruments rather than standalone definitions","Precise dollar amounts to 2 decimal places ($2,723,315.13, etc.) suggesting actuarial calculations that aren't explained in the instrument itself"],"plain_english_summary":"This determination sets the 2025–26 levy that Australia’s financial services industry must pay into the Compensation Scheme of Last Resort, the government-backed pool that pays consumers when firms collapse or fail to compensate for misconduct. It allocates total levies across four industry groups, with licensed personal advice bearing the bulk ($70.1m) and credit providers, intermediaries and securities dealers covering much smaller shares.\n\nIt matters because it funds the consumer safety net for failed advisers, lenders and brokers and reflects where historical compensation risk is concentrated."},"flash_summary_failed":{"failed":true,"reason":"A positive credit balance is required for all requests, including BYOK, so fallback providers remain available. Add credits at https://vercel.com/d?to=%2F%5Bteam%5D%2F%7E%2Fai%3Fmodal%3Dtop-up to continue.","source":"analysis-cron"},"flash_summary":{"complexity_score":3,"scope_assessment":{"changed":false,"description":"This determination does not change who is subject to the levy or the statutory collection powers. It implements the Act by setting the numerical cost estimates and specifying excess amounts for the 2025–26 levy period (third levy period). It notes that some statutory subparagraphs do not apply until later levy periods, but does not alter legal scope or levy methodology."},"complexity_factors":["Purely numeric allocations across four distinct sub‑sectors with multiple line items","Cross‑reference dependence on the Financial Services Compensation Scheme of Last Resort Levy (Collection) Act 2023 and Levy Regulations 2023","Treatment of carryover/excess amounts from earlier and first levy periods","Precision/rounding of monetary figures (many amounts to cents)","Exclusion of certain Act provisions until the fourth levy period (temporal conditionality)","Administrative formalities (commencement clause and statutory authority) rather than substantive policy change"],"plain_english_summary":"This instrument fixes the Compensation Scheme of Last Resort’s estimated costs for the 2025–26 (third) levy period and allocates those costs across four regulated sub‑sectors: credit intermediaries, credit providers, licensed personal advice and securities dealers. Firms in those sub‑sectors will fund the scheme through levies calculated from these figures. The determination also nets prior‑period excess amounts against those estimates; it sets numeric inputs for levy collection but does not change the underlying levy rules."}},"importantCases":[],"_links":{"self":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev","history":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev/history","analysis":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev/analysis","conflicts":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev/conflicts","importantCases":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev/important-cases","documents":"/api/acts/financial-services-compensation-scheme-of-last-resort-levy-collection-cost-estimates-for-2025-26-lev/documents"}}