The Insurance Council of Australia (ICA) has called for a more detailed consultation on financial services industry levies.

The levies cover the costs of the Australian Prudential Regulation Authority (APRA) and other agencies including the Australian Securities and Investments Commission (ASIC).

In its submission to Treasury on rates for 2014/15, ICA criticises the plan for pre-budget consultation to focus only on the amount to be raised, and not what it will be spent on.

It says the industry “cannot contribute meaningfully” if it is unaware of priorities and the need for any unusual spending.

“ICA submits the regulators should consult early with industry on the proposed activities for the year ahead that have led them to recommend to the Government a particular level of funding.

“This opportunity for debate on priorities would result in higher industry understanding and commitment to the regulators’ work programs; a worthwhile result given that industry funds its own regulation.”

ICA also wants consultations to be allocated more time.

“This year less than three working weeks have been allowed for responses to the consultation paper. This is insufficient for preparation of a response with wide industry input.”

The total required from the 2014/15 levies is $228.7 million – down 11.7% on the previous year. The APRA portion is $116.9 million, with ASIC taking $28.5 million.

The general insurance industry will pay $24.9 million, compared with $25.3 million the previous year.