Find out about our rules on how advisers can charge clients and how they must explain these charges.
Advisers need to provide their clients with a clear charging structure and clear information on their charges.
We do not set rules for what your charging structure should look like. Examples of charging methods include hourly rates, a fixed fee, percentage charges or a combination of these. Your shouldn't charge different rates for different providers that could both be suitable for the customer’s needs.
Disclosing your charges
Whatever the charge, it must be clear to the consumer. You must disclose your charging structure to a client upfront and in writing, so they have the information in good time before the advice process starts. You must also agree and disclose the total charges your client will pay as soon as you know this.
Ongoing charges
You can only take an ongoing charge if you are providing an ongoing service - for example regularly reviewing the performance of a client’s investments - or for regular payment products.
If there is an ongoing charge for an ongoing service, you must confirm the details of the service, its charges and how your client can cancel the service.
