Investment platform fees compared UK

How UK investment platform fees work

Investment platforms in the United Kingdom charge investors in one of three broad ways: a percentage of assets under administration (often called a custody charge or platform fee), a fixed monthly or annual subscription, or a hybrid of both. Understanding which model applies to a given platform is the starting point for comparing true costs, because the cheapest option shifts depending on how much money is invested and how often trades are placed.

Percentage-based platforms deduct a fee calculated against the total value of holdings. This model tends to favour smaller investors because the absolute pound cost is low when balances are modest, but it scales upward as portfolios grow. Many providers impose a cap to limit total charges beyond a certain threshold. Flat-fee platforms charge the same amount each month regardless of portfolio size, which means the fee represents a smaller proportion of assets as the portfolio grows. Dealing charges - levied each time a buy or sell transaction is placed - apply on most platforms and can add meaningful cost for investors who trade frequently.

Platform charges are distinct from the ongoing charges figure (OCF) of the funds or exchange-traded funds (ETFs) held within an account. An investor pays both: the platform fee to the provider for administering the account, and the fund's own OCF to the fund manager. Both reduce overall returns and should be considered together when assessing total cost of investment.

Four of the most widely used FCA-authorised platforms in the UK are compared below: Vanguard Investor, Hargreaves Lansdown, AJ Bell, and interactive investor. Fee details are drawn from each provider's official published charges pages and are accurate as of June 2026 unless otherwise noted. Charges can change; always verify current rates directly with each provider before making a decision.

Published platform fee comparison table

Note: All figures are published list prices as of June 2026. Percentage fees are applied to the value of assets in the relevant account tier. Government charges such as stamp duty (0.5% on UK share purchases) are additional and apply across all platforms. Regular investing (monthly Direct Debit) typically attracts no dealing charge on percentage-based platforms.

Vanguard Investor: fees in detail

Vanguard Investor operates on a percentage model with an effective flat-fee floor. For self-managed accounts (Stocks and Shares ISA, Personal Pension, Junior ISA, and General Account) holding less than £32,000 in total across all accounts with Vanguard, the account fee is £4 per month, which equates to £48 per year. At total holdings of £32,000 or above, the fee switches to 0.15% per year, subject to a cap of £375 annually. This cap means investors with portfolios above approximately £250,000 pay the same absolute sum as those at exactly £250,000. The account fee covers access to Vanguard's own range of funds; no separate dealing charge applies when buying or selling Vanguard funds. An optional ETF quote-and-deal service costs £7.50 per transaction. Vanguard's managed accounts carry the same 0.15% account fee (capped at £375) plus an additional 0.20% per year management charge and fund costs averaging 0.17%. The minimum monthly fee of £4 was introduced for self-managed accounts from 31 January 2025.

Fund ongoing charges figures (OCFs) at Vanguard range from 0.06% to 0.79% depending on the fund chosen, according to the platform's published fees page. No charges apply for transferring money out, switching between funds, making withdrawals, closing an account, or holding cash within an account. These zero-cost activities reduce hidden friction costs that can affect total returns over time.

For an investor holding £50,000 across Vanguard accounts in a self-managed ISA, the annual account fee would be 0.15% of £50,000, equating to £75. If those funds carry an average OCF of 0.20%, the total platform-plus-fund cost would be approximately £175 per year, or 0.35% of the portfolio value. At £250,000 the account fee reaches its £375 cap, and OCFs apply on top of that fixed amount.

Hargreaves Lansdown: fees in detail

Hargreaves Lansdown revised its fee schedule with effect from 1 March 2026, reducing the headline account charge from 0.45% to 0.35% on its Stocks and Shares ISA, SIPP, and Fund and Share Account. The tiered structure for funds charges 0.35% on the portion of assets up to £250,000, 0.25% on the portion between £250,000 and £1 million, 0.10% between £1 million and £2 million, and nothing on assets exceeding £2 million. For shares, investment trusts, ETFs, and other equities, the charge is 0.35% but is capped at £12.50 per month per account (equivalent to £150 per year per account) for Stocks and Shares ISA and SIPP accounts. The Fund and Share Account applies the same tiered structure for funds and the same 0.35% share charge.

A new fund dealing charge of £1.95 per one-off online trade was also introduced from 1 March 2026; this charge does not apply to investments made via monthly Direct Debit. Share dealing online costs £6.95 per trade for investors placing fewer than 20 trades in the preceding month and reduces to £3.95 for those placing 20 or more trades. Phone and postal dealing costs £29 per trade. Regular investing and dividend reinvestment by Direct Debit attract no dealing charge. The HL platform gives access to a broad universe of funds, shares, ETFs, investment trusts, bonds, gilts, and VCTs. The platform's Stocks and Shares ISA, SIPP, and Junior ISA are covered by the Financial Services Compensation Scheme (FSCS).

For an investor with £50,000 in a Hargreaves Lansdown Stocks and Shares ISA holding funds, the annual account charge would be 0.35% of £50,000, equating to £175. Adding fund OCFs on top of that brings the total cost of investment higher than on Vanguard for investors who restrict themselves to low-cost passive funds. However, HL's platform supports a far wider investment universe, including actively managed funds, individual shares, and fixed income instruments not available via Vanguard.

AJ Bell: fees in detail

AJ Bell charges a custody fee on a tiered percentage basis for funds: 0.25% on the first £250,000, 0.10% on the next £250,000 (up to £500,000), and nothing on assets above £500,000. For shares, ETFs, investment trusts, and other equity-type instruments held in an ISA, the charge is 0.25% per year but is capped at £3.50 per month (£42 per year) in the Stocks and Shares ISA. Fund dealing costs £1.50 per one-off trade. Share dealing online costs £5.00 per trade, reducing to £3.50 for investors who placed 10 or more trades in the prior calendar month. Regular investing by monthly Direct Debit is free. AJ Bell's published charges state a maximum of 0.25% and present this as a cap on the overall custody charge across account types. The charges listed above were sourced from AJ Bell's official ISA charges page; specific SIPP charges may differ and should be checked at ajbell.co.uk/charges.

interactive investor: fees in detail

interactive investor operates a flat-fee subscription model, in contrast to the percentage-based approaches used by Vanguard, HL, and AJ Bell. From 1 February 2026, ii offers three plans. The Core plan costs £5.99 per month and is available for portfolios up to £100,000; fund dealing costs £3.99 per trade and share dealing (UK and US) also costs £3.99. The Plus plan at £14.99 per month supports unlimited portfolio size, includes one free monthly trade credit (worth £3.99), and reduces fund dealing to £1.49; share dealing remains £3.99. The Premium plan at £39.99 per month also supports unlimited portfolio size, includes two free monthly trade credits, offers free fund trading, and reduces share dealing to £2.99 for UK and US trades. International share dealing costs more: £9.99 (Core), £7.99 (Plus), or £5.99 (Premium). The flat-fee model benefits investors with larger portfolios because the monthly charge does not increase as assets grow. A portfolio of £200,000 on the Core plan would cost roughly £72 per year in subscription fees, representing 0.036% of assets, before dealing charges and fund OCFs.

Choosing between percentage and flat-fee models

The economic break-even point between a percentage platform and a flat-fee platform depends on portfolio size, asset mix, and dealing activity. As a general illustration using published figures: on the Core interactive investor plan at £5.99 per month (£71.88 per year), an investor holding funds would pay roughly the same annual platform charge as a Vanguard investor holding £47,920 worth of assets at 0.15% (which equals £71.88). Below that approximate threshold, Vanguard's percentage model would cost less; above it, the ii flat fee becomes proportionally cheaper. However, this comparison holds only for account fees and excludes dealing charges and fund OCFs, which differ between providers.

Investors who primarily hold passive index funds with low OCFs and rarely trade may find that minimising the account fee has the greatest impact on long-term outcomes. Investors who trade shares frequently benefit more from low dealing charges. Those who want access to a wide fund universe and direct equity holdings often find that larger platforms offering both options, despite higher percentage fees at smaller balances, provide value through breadth of choice and supplementary tools. For guidance on how these costs interact with account wrapper choices, see ISA vs LISA vs Pension UK and Index Funds UK.

What the fee table does not cover

The table above covers published account/platform fees and dealing charges only. It does not include: fund ongoing charges figures (OCFs), which are deducted from the fund's net asset value and do not appear on platform fee schedules; foreign exchange conversion fees (typically 0.5% to 0.75% on non-sterling transactions); government charges such as UK stamp duty at 0.5% on share purchases; or interest earned on cash balances held within accounts, which varies by provider and market conditions. For a fuller picture of total investment cost, investors should add the platform fee to the weighted average OCF of their fund holdings and any applicable dealing charges. The UK investment platform guide on this site explains how to calculate total annual cost of investment across these components.

Platforms covered in this article are authorised and regulated by the Financial Conduct Authority. FCA authorisation does not guarantee the performance of investments or protection against all losses. FSCS protection (up to £85,000 per person per firm for investment business) covers eligible claims in the event of an authorised firm's failure, not investment losses due to market movements. FSCS eligibility and limits should be confirmed with each platform directly.

Disclaimer

Frequently asked questions

What is an investment platform fee?

An investment platform fee (also called a custody charge or account charge) is the amount a platform deducts for administering your investment account. It is separate from the ongoing charges figure of any funds or ETFs you hold. Some platforms charge a percentage of your portfolio value each year; others charge a fixed monthly subscription. Both types of charge reduce your net investment return.

Which UK investment platform has the lowest fees?

There is no single platform with the lowest fees in all situations. Vanguard's 0.15% account fee (capped at £375) tends to be cost-effective for smaller portfolios holding Vanguard's own funds. Flat-fee platforms such as interactive investor become proportionally cheaper at higher portfolio values. AJ Bell's £42 annual share custody cap suits equity-focused investors with larger share portfolios. The answer depends on portfolio size, asset type, and trading frequency.

Do investment platform fees affect my returns?

Yes. Platform fees reduce the overall return on your investment, particularly over long periods due to compounding. A fee of 0.25% per year on a £100,000 portfolio costs £250 annually before fund charges. Selecting a platform with fees appropriate to your portfolio size and investment style can meaningfully improve outcomes over a decade or more.

Are investment platform fees tax-deductible?

In general, investment platform fees paid from outside an ISA or SIPP are not deductible against income tax in the UK. HMRC's rules on allowable deductions for investment expenses are complex; individuals should seek independent tax advice specific to their circumstances. Fees deducted from within an ISA or pension do not attract additional tax, but they still reduce the value of the wrapper.

What is an OCF and how does it differ from a platform fee?

An ongoing charges figure (OCF) is the annual cost of owning a fund or ETF, expressed as a percentage of the fund's net asset value. It is deducted from the fund's daily pricing rather than appearing as a separate line on your account. A platform fee is charged by the investment platform for administering your account. Both costs apply simultaneously and should be added together when assessing total annual investment cost.

Are ISA and SIPP accounts charged differently on these platforms?

On most UK investment platforms, the account fee structure applies consistently across account types (ISA, SIPP, and general investment account), though some platforms apply different caps or rates for pension accounts. Hargreaves Lansdown, for example, applies the same 0.35% tiered charge across its ISA and SIPP, with the £12.50 per month share cap applying to each account separately. Always check the specific schedule for each account type with the platform directly.