Abbey has slammed other wrap providers, claiming that their charging structures are too difficult for consumers to understand.
Abbey, which is cutting the minimum annual charge on its Sipp-only wrap from £600 to £300, says providers are deviating a long way from the Datamonitor report definition of a wrap which was published last December.
The firm says a wrap should incorporate all product wrappers, open architecture, a full suite of financial tools, online availability and a single transparent price. It is the last requirement which Abbey claims rivals are neglecting, with seemingly lower-priced offerings which it says have hidden margins on transactions, funds and cash.
Director Ambrose McGinn says: “I would like to see more providers follow our lead, being open and up front in terms of costs for their wrap service.”