What does fee-only financial adviser mean in the UK?
Fee-only is not the main UK regulatory label for financial advisers. The more useful question is exactly how the adviser is paid for the type of advice you need.
Fee-only is not a standard UK adviser category
UK consumers often encounter the term online because it is widely used in other markets. In the UK, adviser charging depends on the advice area and the firm's disclosed charging model rather than a universal fee-only badge.
Pension and investment advice uses adviser charging
For regulated pension and investment advice, compare fixed fees, hourly rates and percentage-based charges. MoneyHelper says advisers must explain how advice costs are charged and paid.
Some other financial products can involve commission
Mortgage and insurance distribution can use different payment models, including provider commission in some cases. Ask whether the adviser receives commission and whether you also pay a direct fee.
Ask for the pound cost and payment source
A label is less useful than knowing the initial cash fee, ongoing cash fee, who pays it and what service the payment buys.