Hargreaves Lansdown Unveils First Major Fee Overhaul in 12 Years

Hargreaves Lansdown (HL) has announced its first major fee restructuring in 12 years, with changes set to take effect on March 1. The new pricing will lower the platform fee from 0.45% to 0.35%, reduce share trading costs from £11.95 to £6.95 per trade, and introduce a £1.95 fund dealing fee for the first time.

Under the new structure, regular savers will be able to trade shares and funds for free. The company also said the account charge for its ready-made pension plan will drop from 0.45% to 0.15%, while the underlying fund charge remains at 0.30%.

HL expects around half of its clients to be better off under the new pricing. The introduction of the fund dealing fee, the company explained, reflects a shift in client behaviour over the past 12 years, with more investors now actively trading funds than when the previous fee schedule was set.

Interim CEO Richard Flint commented: “We believe that price is an important part of value alongside the trust our clients place in us, the breadth and quality of our investment options, and the support we provide in every single interaction.” He added that HL remains focused on helping clients achieve their goals and will continue investing in technology, people and services.

Industry reaction was broadly positive. Holly Mackay, CEO of Boring Money, called the changes “broadly pretty good news” for existing customers, noting that the main administration fee has fallen from a level she described as “too expensive” to a “more palatable” 0.35%. She suggested the move could pressure robo-advisers, who now look comparatively expensive.