BaFin's Administrative Council approved a budget of €262.8 million for 2016 (previous year: €242.1 million). Personnel expenses accounted for around 72.3% of the projected expenditure (€189.9 million; previous year: €168.3 million) and non-staff costs for around 21.3% (€55.9 million; previous year: €60.6 million). Capital expenditure represented 4.2% of the budget (previous year: 3.3%). Cost reimbursements and grants were unchanged at 2.2% of the budget as in the previous year (see Figure 21 "2016 budget expenditure").

Figure 21 2016 budget expenditure

2016 budget expenditure

Source: BaFin

Financing through cost allocations and fees

BaFin is independent of the federal budget and is fully self-financed from its own income. The largest proportion of this in the 2016 budget was attributable to cost allocations levied on the supervised undertakings, a special levy with a financing function (projected figure for 2016: €236.3 million; previous year: €220.6 million). BaFin also finances itself from administrative income such as fees and interest (projected figure for 2016: €26.5 million; previous year: €21.5 million; see Figure 22 "2016 budget income").
 
Figure 22 2016 budget income

2016 budget income

Source: BaFin

The final cost allocation for 2015 was performed in 2016 (see Figure 23 "Cost allocations by supervisory area in 2015"). The banking industry contributed 46.9% or almost half of the total income from cost allocations. The insurance sector financed 28.8% and the securities trading sector 24.3%. The final cost allocation for 2016 will take place during 2017.

Figure 23
Cost allocations by supervisory area in 2015

Cost allocations by supervisory area in 2015

Source: BaFin

Actual expenditure and income

BaFin's actual expenditure in 2016 was approximately €248 million (previous year: €237 million) and therefore €14.8 million below the figure reported in the 2016 budget. This was set against income of around €261.5 million (previous year: €243.1 million). BaFin's Administrative Council had not yet approved the 2016 annual financial statements at the time of going to press.

Separate enforcement budget

BaFin drew up a separate enforcement budget of €8.2 million in 2016 (previous year: €8.2 million). This included an allocation to the German Financial Reporting Enforcement Panel (Deutsche Prüfstelle für Rechnungslegung) amounting to €6 million (previous year: €6 million). Actual expenditure on enforcement amounted to around €7.8 million (previous year: €7.7 million), while income – including advance cost allocation payments for 2017 – amounted in total to approximately €14.7 million (previous year: €14.7 million).