Hargreaves Lansdown vs Vanguard for drawdown: fees and features compared (2026)
A side-by-side comparison of what Hargreaves Lansdown and Vanguard charge for pension drawdown, and what you get for it. On published charges alone, Vanguard works out cheaper at all three pot sizes modelled below.
Platform charges only.
What each one charges
Provider
Published fee structure
What it covers
Fees checked
Hargreaves Lansdown
0.35% first £250k, 0.25% £250k-£1m, 0.10% £1m-£2m, 0% over £2m (£150 annual cap for shares)
Platform charge only; fund charges extra
23 Sept 2026
Vanguard
0.15% flat fee (capped at £375 annually; minimum £48 a year, £4 a month, below £32,000)
Platform charge only; fund charges extra
23 Sept 2026
Annual cost by pot size
Pot size
Hargreaves Lansdown
Vanguard
Cheaper
£100,000 pot
£350
£150
Vanguard is cheaper
£250,000 pot
£875
£375
Vanguard is cheaper
£500,000 pot
£1,500
£375
Vanguard is cheaper
Hargreaves Lansdown is cheaper only on the smallest pots (about £10k); above that, Vanguard is cheaper (modelled between £10k and £1m).
Fund charges, dealing and withdrawal fees are extra. Platform charges assume you hold funds. Some platforms cap charges on shares, ETFs and investment trusts, which can be much lower. See how we compare.
Features compared
Feature
Hargreaves Lansdown
Vanguard
What the charge covers
Platform charge only; fund charges extra
Platform charge only; fund charges extra
Investment range
14,000+
85+
Ready-made portfolios
Yes
Yes
Regular income payments
No extra charge
No extra charge
One-off withdrawals
No charge
No charge
UFPLS lump sums
No charge
No charge
Minimum pot to start drawdown
Not confirmed
Not confirmed
FSCS protected
Yes
Yes
Fees checked
23 Sept 2026
23 Sept 2026
“Not confirmed” means the provider does not publish the figure or we have not yet checked it; it does not mean the charge is zero.
Which suits you?
Choose Hargreaves Lansdown if you…
want a wider choice of investments (14,000+ against 85+)
Choose Vanguard if you…
want the lower platform charge at every pot size we model (£100,000 to £500,000)
This is comparison information, not advice.
Free, impartial guidance:Pension Wise offers free appointments to people aged 50 or over with a defined contribution pension, and MoneyHelper’s investment pathways comparison tool compares drawdown providers’ ready-made options. Both are backed by the government.
Pros and cons
Hargreaves Lansdown
Pro: Best-in-class research and analysis
Pro: Excellent mobile app experience
Pro: Market-leading customer service
Pro: Extensive fund research
Pro: Strong brand trusted by millions
Con: Higher fees than competitors
Con: Expensive for smaller pots
Con: Share dealing charges higher
Con: Can be overwhelming for beginners
Vanguard
Pro: Extremely low annual fee capped at £375
Pro: Simple, transparent pricing
Pro: Access to renowned Vanguard funds
Pro: No withdrawal fees
Pro: Strong brand reputation
Con: Limited to Vanguard products only
Con: No individual shares trading
Con: Basic platform features
Con: Minimum £48 annual fee (£4/month for pots under £32k)
Frequently asked questions
Which is cheaper for drawdown, Hargreaves Lansdown or Vanguard?
Vanguard is cheaper at all three pot sizes we model. Yearly platform charges for Hargreaves Lansdown and Vanguard are £350 and £150 on a £100,000 pot; £875 and £375 on £250,000; and £1,500 and £375 on £500,000. Hargreaves Lansdown is cheaper only on the smallest pots (about £10k); above that, Vanguard is cheaper (modelled between £10k and £1m). Fund charges, dealing and withdrawal fees are extra.
What does Hargreaves Lansdown charge for drawdown?
0.35% first £250k, 0.25% £250k-£1m, 0.10% £1m-£2m, 0% over £2m (£150 annual cap for shares). Platform charge only; fund charges extra. Regular income payments: no extra charge. One-off withdrawals: no charge. UFPLS lump sums: no charge. We last checked these fees on 23 September 2026.
What does Vanguard charge for drawdown?
0.15% flat fee (capped at £375 annually; minimum £48 a year, £4 a month, below £32,000). Platform charge only; fund charges extra. Regular income payments: no extra charge. One-off withdrawals: no charge. UFPLS lump sums: no charge. We last checked these fees on 23 September 2026.
What can I invest in with Hargreaves Lansdown and Vanguard?
Hargreaves Lansdown: 14,000+, including ready-made portfolios. Vanguard: 85+, including ready-made portfolios.
How do customers rate Hargreaves Lansdown and Vanguard?
Hargreaves Lansdown has a Trustpilot score of 4.4 out of 5 (checked 8 September 2026). Vanguard has a Trustpilot score of 4.7 out of 5 (checked 8 September 2026). Scores change over time, and they do not affect our cost comparison.
How do I choose between Hargreaves Lansdown and Vanguard?
Start with the yearly cost at your own pot size, then check what you want to hold, how you plan to take income and whether you want ready-made portfolios. This page is comparison information, not advice. Free, impartial guidance on your options is available from MoneyHelper's Pension Wise service.