The Financial Services Compensation Scheme (FSCS) has more than doubled the annual levy for financial advisers for 2012/13, largely as a result of known claims relating to Arch Cru and MF Global.
The levy for the investments intermediation sub-class has been increased from the £33m originally indicated in Febuary to £78m.
Meanwhile, the life and pensions intermediation sub-class will be charged £46m, up from the indicated £18m, while the total levy for all classes has increased from £221m to £265m.
As a result of recoveries made following the failure of Keydata and other firms, the FSCS confirmed it would rebate £35.3m to the investment fund management sub-class, while a £1.9m surplus for the investment intermediation sub-class has already been used against the 2011/12 interim levy.
However, FSCS chief executive Mark Neale said it was "more likely than not" that additional interim levies will have to be raised this year as the full extent of MF Global and Arch Cru costs is not clear yet.
"We know that the levy will be unwelcome news for firms during tough times," he added.
"I do recognise that many in the industry continue to have concerns about the fairness and unpredictability of FSCS's levies.
"That is why we have strongly supported the FSA's review of FSCS's future funding arrangements which will result in a consultation later in the year.
"We want to place FSCS's funding on a sustainable basis which commands wider support across the industry."
Chris Hannant, policy director at AIFA, said the latest levy was further proof that the system was "unfit for purpose".
He added: "The FSA has made clear statements that the compensation scheme should be fair, affordable, durable, not volatile and based on affinity of activity.
"I think that recent events have shown the scheme to have failed to meet these goals from an adviser perspective. The current review needs to correct this imbalance."
