Hargreaves Lansdown launches low-cost drawdown service

Hargreaves Lansdown has unveiled a low-cost drawdown plan, charging no set-up or income withdrawal fees, ahead of the 6 April pensions reforms.

It said the plan will offer online and telephone-based support with the option of full regulated advice if required. The firm suggested demand has been strong, with 175,000 requests for information already received. Currently Hargreaves charges £75 + VAT to conduct the Government Actuary’s Department income limit check on new capped drawdown plans and a £295 + VAT set-up fee for new flexible drawdown plans. These charges will be scrapped for new plans from 6 April. Clients who withdraw their entire pension within a year will face a £295 + VAT fee. Head of pensions research Tom McPh...