Drawdown
charges and interest rates
Drawdown is available through the HL Self-Invested Personal Pension (SIPP)
It's free to set up drawdown with us through the HL SIPP. And you can start, stop or change your drawdown income withdrawals whenever you want, without charge.
Please note that the charges below will apply to the HL SIPP and drawdown account separately if you hold both accounts.
You can see the interest rates paid on any cash held in an HL SIPP Drawdown account here.
Annual HL account charge
Our annual charge for holding investments in an HL SIPP and drawdown account is never more than 0.45%. There’s no charge for inactivity or for holding cash.
Funds
| Value of funds | Charge |
|---|---|
| On the first £250,000 | 0.45% |
| On the value between £250,000 -£1mn | 0.25% |
| On the value between £1mn - £2mn | 0.1% |
| On the value over £2mn | No charge |
Shares
Including UK and overseas shares, investment trusts, exchange-traded funds, VCTs, gilts and bonds.
Example of account charge
Based on the 0.45% account charge, if you invest £40,000 in funds and £20,000 in shares, your account charge would be £22.50 per month*.
| Monthly charge | |
|---|---|
| £40,000 in funds | £15 |
| £20,000 in shares | £7.50 |
| £22.50 total (funds + shares) |
Important note about charges
The investments you choose may have their own charges, such as charges from a fund manager. These are in addition to our account charges. You can find these in each investment’s key investor information. A bid/offer spread may also apply to funds - see our Guide to Fund Prices for details.
These charges apply to the HL SIPP and drawdown separately if you hold both accounts.
Dealing charges
Fund dealing
Includes unit trusts and open-ended investment companies (OEICs). There’s no dealing charge for buying or selling funds.
Share dealing – online and mobile app
Including UK and overseas shares**, investment trusts, exchange-traded funds, gilts and bonds.
| Number of deals in previous month | Charge per deal |
|---|---|
| 0-9 | £11.95 |
| 10-19 | £8.95 |
| 20+ | £5.95 |
**There’s an added foreign exchange charge for overseas share deals, depending on deal size. See our overseas share dealing page for details.
Automatic reinvestment
If you’d like any share income automatically reinvested, we’ll reinvest your income when it reaches £10 per holding or the amount you choose. There’s no charge for this.
Financial advice
The charges above don’t include the cost of any personal advice you might need. If you need financial advice, our adviser would agree this cost with you separately.
Other charges
Other charges may apply in specific circumstances - see the terms and conditions for details.
How to pay charges
There’s no need to remember to make any payments – we’ll automatically take our charges each month. You’ll need to keep cash in your account to pay any charges – there is a suggested minimum cash balance based on the size of your SIPP, but you can hold as much cash as you like.