Advisers’ hourly fee rates have fallen by 14 per cent in the past year, research by Unbiased.co.uk reveals.
The research shows the median hourly rate charged by an adviser has fallen from £175 in 2013 to £150 this year.
However, fees for specific pieces of work have remained largely static over the past two years.
For instance, the median fee for an initial financial review and report is £500 in 2014, unchanged on the previous year and up slightly from £492 in 2012.
Advice for an investment strategy for a £50,000 inheritance for a 50-year-old seeking medium-term growth has remained unchanged for two years at a median cost of £1,500.
Unbiased.co.uk chief executive Karen Barrett says: “Consumers can have the preconception that professional advice is not applicable to their financial situation and that the cost of advice will be unaffordable for them.
“It can also be difficult to find relevant information on typical costs for common advice scenarios. This research enables consumers to have a clear idea of the cost of advice, and will help them find the right adviser for their needs at the right cost.
“We would urge consumers to not only understand costs but also the level of service they will receive, so as to make a judgment on which adviser delivers best value for money overall.”