A new retirement planning service has been launched by a firm which claims to fill an "advice gap" for people wanting to use the new pension freedoms.
Hargreaves Lansdown has launched the service, which can be used by investors who want a more in-depth session than the Government's free Pension Wise option, but who do not necessarily want to pay for a traditional advisory service.
The firm said that the cost of its new service is a flat fee of £395 plus VAT, whereas industry-wide advice fees for retirement income recommendations start at around £1,000.
It said that if an investor wishes to move onto a traditional advisory service, this fee will be deducted from the cost.
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Pension Wise was set up by the Government to help people aged 55 and over to make the most of the new retirement freedoms which started in April and mean that people with a defined contribution (DC) pension are no longer required to buy a retirement annuity with it - which gives them a set income. Instead, they can take their pot how they wish.
Hargreaves Lansdown said the new advisory service it is offering goes further than the Pension Wise information service - although unlike getting full advice, it will stop short of giving specific, personal recommendations.
After completing a short questionnaire, investors using the firm's new service will receive a report containing key issues to consider as well as a cash flow projection and an hour with a financial adviser.
During the consultation, the financial adviser will walk the investor through the various issues that they need to consider when making their retirement income decisions.