Apfa research: Advisers charge average £156 an hour

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The average hourly rate charged by financial advisers is £156 as new Association of Professional Financial Advisers research shows most have kept the same level of pricing since the introduction of the RDR.

The figures, compiled by NMG Consulting and published today, show 82 per cent of advisers have left their hourly rate unchanged since January.

It shows just 12 per cent have increased their rate and 2 per cent have lowered it. 

The majority of advisers charge £150 or less per hour of service, with 49 per cent charging £101 to £150 and 15 per cent charging £51 to £100.

Just a third of advisers charge more than £150 per hour with 26 per cent charging £151 to £200 and only 8 per cent charging £201 to £250.

Apfa director-general Chris Hannant says: “Despite adviser numbers falling and firms initiating new RDR ready business models, the majority of advisers have stuck to their initial pricing models.

“Many may have adjusted charges last year in anticipation of RDR implementation, but it’s testament to advisers that customers have had widespread stability on pricing so far in 2013.

“The average rate of £156 per hour provides the industry with a valuable benchmark. We are pressing the FCA hard on disproportionately high regulatory fees and we will track this average rate figure to ensure other financial pressures, such as regulatory fees, aren’t resulting in increased charges for clients.”