Fees fall for ISA and pension advice
The cost of receiving advice from an independent financial adviser is on the up – albeit only marginally and not for common scenarios often asked about by contractors, such as pensions and ISAs.
According to Unbiased.co.uk, which promotes IFAs, the average hourly rate charged by reputable advisers on financial matters has notched up from £153 to £175 in the past year.
But fees for advice around some common scenarios, such as setting up an ISA or converting a pension fund into a lump sum, have fallen over the same period - the former by £100 and the latter by £150.
The research was commissioned in light of the Retail Distribution Review rules, which stipulate that an hourly fee should apply to financial advice whether it is provided by an IFA, a high street bank or a ‘restricted’ adviser.
“However, a focus on cost alone is not necessarily helpful for consumers looking for the best adviser for their needs,” reflected Unbiased’s chief executive Karen Barrett.
“As with any professional adviser, costs are only relevant in terms of the services provided and we urge consumers to bear that in mind when shopping around for an adviser.”