With immediate effect, the annual administration fee on the TD Waterhouse Self Invested Personal Pensions (SIPPs) has been reduced, giving investors the potential to save up to £300 a year in fees.

The new fee will be charged bi-annually each June and December at 0.25 per cent of the value of the TD Waterhouse SIPP, subject to a minimum of £40 (reduced from £50) and maximum of £100 (reduced from £250) during each charging period.

This equates to a total annual fee of 0.5 per cent of the fund (minimum £80 and maximum £200).

TD Waterhouse is also waiving the initial set-up fee of £80 on new SIPPs until further notice and, because they use Capita as the SIPP trustee, all fees are exempt from VAT, ensuring more of an investor’s money goes towards funding retirement than paying for the fund itself.

Angus Rigby, chief executive officer at TD Waterhouse UK, explains, ‘SIPPs provide all the tax advantages of a traditional pension scheme and put the investor in control of where, how and when their savings for retirement are invested. Investment options can include UK and International Equities, Gilts and Bonds, Investment Trusts, Unit Trusts and REITs.

‘Although funds cannot be drawdown until the investor is 55, the freedom of choice and reduced administration costs available certainly make SIPPs a worthwhile investment choice to both novices and seasoned investors. This is reflected in our new pricing structure which is available indefinitely, not just as a one-off offer.”