Old Mutual Wealth scraps drawdown fee and minimum investment charge

Old Mutual Wealth is removing the annual pension drawdown fee and scrapping the current minimum charge on its platform in order to simplify its charging structure.

Currently the drawdown fee is set at £58.20 per annum. The platform said the cut will benefit around 8,000 of its customers currently in drawdown. The current minimum charge on investments, £8.33 per month for investments below £20,000, will also be scrapped as part of the overhaul. The changes will come into effect on 1 January 2015, as the group responds to pension changes announced in the latest Budget, set to come into effect next April. Tom Hawkins, head of financial solutions, said: "By removing our drawdown fee and the current minimum charge on the platform our customers wi...