Pensions advice fees

Tompuss3

Hi there. I'm new to the forum, so finding my way around. If this question has been asked already, then please signpost me.
I am aged 72 and have a total pension pot of £285k, with Aviva and with Clerical Medical. They are currently in cash funds (don't ask). I understand I have to make a decision on what to do with these pots by age 75 as I can't just leave them where they are. I wish to re-invest them to hedge against inflation. I don't need to use these funds for day-to-day income as between us, my wife and I have sufficient income from National and Workplace pensions to cover our everyday essential costs and have a bit over for holidays etc in retirement. I also have around £100k in a stocks and shares ISA. My wife has her own savings also. The primary use of the money from my pension pots and other savings would be to cover health care in later life plus the occasional treat along the way.
I am looking for consolidation advice and fund recommendations, and then ongoing review on an annual basis. I have been quoted £5,000 for the initial advice and fund transfers/consolidation, then 0.8% annually of total funds invested/managed. This is from a nationally recognised fund manager with access to a range of different funds.
Do these fees sound around par for the advice I am seeking?
I intend obtaining a quote from a locally based IFA for comparison, although I am a bit wary of independents as two I have used previously left me in the lurch when their firms were absorbed/taken over by big fund managers.

Mark_d

If I was you I'd buy an escalating annuity which would give you some inflation protection without risk

Albermarle

If you go the main forum page ( where all the current threads are listed) at the top there is a search box.
Type 'IFA' into that and you will see it is a common topic.
Just be careful that you will see a mixture of threads from different years, some might be quite old but some will be for 2025.

LHW99

I am aged 72 and have a total pension pot of £285k, with Aviva and with Clerical Medical. They are currently in cash funds (don't ask). I understand I have to make a decision on what to do with these pots by age 75 as I can't just leave them where they are.

If that is correct, it sounds as if these are old policies.

If so, Aviva could probably offer a more modern version, with the same or similar funds that don't have a requirement to do anything at age 75 (although you may want to take the 25% tax free, as if it is not taken when you pass on, your spouse couldn't benefit from it).

If Clerical Medical couldn't offer something suitable, you might be able to get Aviva to transfer that one over into whatever new product you had.

Have you talked to Penionwise (free guidance though, not actual advice). May help to understand how best to get what you want - and can give you some background when talking to an IFA

https://www.moneyhelper.org.uk/en/pensions-and-retirement/pension-wise

dunstonh

 This is from a nationally recognised fund manager with access to a range of different funds.

That explains why the charges are higher than average.       Any reason you feel a sales rep is better for you than an IFA?

I intend obtaining a quote from a locally based IFA for comparison, although I am a bit wary of independents as two I have used previously left me in the lurch when their firms were absorbed/taken over by big fund managers.

Just like accountants and solicitors, there has been a lot of consolidation going on.    However, if an IFA is taken over, then products arranged by IFAs can be appointed to a new IFA of your choosing.

its also worth noting that a lot of the regional and national salesforces have also been consolidating too.

If Clerical Medical couldn't offer something suitable, you might be able to get Aviva to transfer that one over into whatever new product you had.

CM is closed for new business and if you go direct, they will offer the SW retirement account at a cost that is likely to be higher than an IFA.  Plus, the retirement account is a bit of an old fashioned product.