Zurich has announced a platform price cut from January, reducing the platform fee by more than half for assets above £500,000 from 0.22% to 0.10%.

The company says that consumers with more than £300,000 on its platform will benefit from lower fees. It added that the price reduction is aimed at ‘driving greater value’ for consumers at or near retirement.

At present, assets within an investor’s portfolio above £1m are charged at 0.22% but Zurich is cutting the Assets under Advice (AuA) threshold for its highest tier from £1m to £500,000 and more than halving the charge for this tier from 0.22% to 0.10%. 



Zurich is also trimming its charge for assets between £250,000 and the new £500,000 threshold. Investors will pay a lower charge of 0.25%, instead of 0.27%.

The new pricing, taking effect from 1 January and means that clients holding more than £300,000 on the platform will see the cost of investing fall.

Alistair Wilson, Zurich’s head of retail platform strategy, said:  “We are using our growing scale to cut prices for customers and ensure our platform remains sustainable and competitive for the long-term.

“With annuities in decline, consumers are increasingly consolidating their defined contribution pots as they look for a single and more easily manageable income. This trend is likely to continue as more affluent baby boomers move into retirement.

"We are significantly lowering our platform fees for higher investments to ensure we are well-placed to meet this demand and drive greater value for consumers.”