AJ Bell has announced a reduction in the annual charge for its ready-made personal pension, lowering it from 0.45% to 0.35% for investors who prefer a hands-off approach. This change, effective today, 14 October 2026, positions AJ Bell as one of the most competitive options in the managed personal pension market.
The new 0.35% fee is comprehensive, covering both administration and investment charges, with no additional transaction fees for investors. The ready-made personal pension, launched in 2024, offers five growth funds tailored to different risk appetites.
According to Mahdi Shabir, lead insight analyst at Boring Money, AJ Bell's pricing adjustment reflects increased competition in the ready-made pension market, following earlier price reductions from Moneybox and Hargreaves Lansdown. For portfolios valued at £20,000 or less, AJ Bell's fees are considered the lowest among major providers offering similar products, including Aviva, Fidelity, and Hargreaves Lansdown, based on Boring Money's analysis.
However, the competitiveness of the fee structure varies with portfolio size. For a £50,000 portfolio, interactive investor's (ii) managed pension is reportedly cheaper annually. For larger portfolios, such as £300,000, AJ Bell's ready-made pension is more expensive than comparable products from Monzo and PensionBee.
The ready-made pension also includes a free pension-tracing service, allowing savers to consolidate multiple old pension pots into a single account. Shaun Yates, direct to consumer managing director at AJ Bell, noted that many individuals accumulate several pension pots over their careers and can lose track of them, making consolidation potentially beneficial for tracking investments and managing fees.