“We have recently received a letter from our Registrars, Capita, concerning the move by Euroclear (formerly CRESTCo) towards a single harmonised settlement system across Europe.
The upshot of this is that Capita have to undertake a system rebuild that will allow securities to continue to settle under this new regime and as a result they are seeking a contribution from all CREST clients towards their development costs.
The contribution is based on the number of CREST accounts held on our register. We currently have 1264 Crest accounts and our estimated charge for this year is £2400. Capita have also advised us that a similar cost will probably be charged next year.
Please can you let us know if other registrars are doing the same and if so what are their charges? What is the general view about having to pay this?”