Investment Platforms UK 2026/27 — How to Choose a Broker, App or Robo-Advisor

Vanguard vs Hargreaves Lansdown — Which Platform Is Best?

Detailed comparison of Vanguard UK and Hargreaves Lansdown. We compare fees, fund range, ISAs, SIPPs, and help you decide which platform suits your investing style.

· · 4 min read

Vanguard and Hargreaves Lansdown represent two different philosophies. Here’s how to choose between them.

Quick Verdict

CategoryWinner
Lowest cost (funds)Vanguard
Lowest cost (shares)Hargreaves Lansdown (cap)
Investment choiceHargreaves Lansdown
Research toolsHargreaves Lansdown
Index investingVanguard
Customer serviceHargreaves Lansdown
SimplicityVanguard
SIPPDepends on size

Platform Philosophy

AspectVanguardHargreaves Lansdown
FocusLow-cost index investingFull-service platform
RangeVanguard funds onlyEverything available
ApproachPassive investingAll investing styles
ComplexitySimpleComprehensive
Target userSet-and-forget investorsActive investors, researchers

Fee Comparison

Platform Fees

TierVanguardHargreaves Lansdown
Annual platform fee0.15%0.45%
Fee cap£375£45 (shares/ETFs)
£200 (SIPP)

Fee Calculation Examples

PortfolioTypeVanguard CostHL Cost
£10,000Funds£15£45
£50,000Funds£75£225
£100,000Funds£150£450
£250,000Funds£375 (cap)£875
£10,000Shares/ETFs£15£45 (cap)
£100,000Shares/ETFs£150£45 (cap)
£300,000Shares/ETFs£375 (cap)£45 (cap)

Key insight: For funds, Vanguard is cheaper. For share portfolios over ~£30k, HL’s £45 cap becomes attractive.

Dealing Fees

TransactionVanguardHL
Buy Vanguard fundsFreeFree
Buy other fundsN/AFree
Buy sharesN/A£11.95
Buy ETFsFree (Vanguard)£11.95

SIPP Fees

PortfolioVanguardHL
£50,000£75£200 (cap)
£100,000£150£200 (cap)
£200,000£300£200 (cap)
£300,000£375 (cap)£200 (cap)

For larger SIPPs (£134k+), HL can be cheaper due to the £200 cap.

Investment Range

CategoryVanguardHL
Vanguard funds~80~80
Other funds❌3,000+
UK shares❌3,000+
International shares❌7,000+
ETFsVanguard only2,000+
Investment trusts❌400+
Bonds❌✅

Winner: Hargreaves Lansdown — if you want anything beyond Vanguard funds.

Research & Tools

FeatureVanguardHL
Fund researchBasicExcellent
Share researchN/AComprehensive
Analyst ratings❌✅
Company reports❌✅
ChartingBasicAdvanced
Screeners❌✅
NewsLimitedExtensive
Wealth ShortlistN/A✅ (curated picks)

Winner: Hargreaves Lansdown — no contest for research.

App & Platform

AspectVanguardHL
Mobile appBasicGood
WebsiteFunctionalComprehensive
Ease of useSimpleComplex
FeaturesLimitedMany
ReliabilityGoodExcellent

Vanguard is simpler; HL has more features but can overwhelm.

Customer Service

ChannelVanguardHL
Phone support✅✅ (UK-based, excellent)
Email✅✅
ChatLimited✅
QualityGoodExcellent

Winner: Hargreaves Lansdown — renowned for customer service.

Account Types

AccountVanguardHL
Stocks & Shares ISA✅✅
SIPP✅✅
Junior ISA✅✅
Lifetime ISA❌✅
General account✅✅

HL has Lifetime ISA; Vanguard doesn’t.

Who Should Choose Which?

Choose Vanguard If:

ProfileWhy
Passive index investorBuilt for this
Want lowest costsCheapest for funds
“Set and forget”LifeStrategy is perfect
New to investingSimple, hard to go wrong
Only want Vanguard fundsWhy pay more elsewhere?
Under £250k portfolioFees are lower

Choose Hargreaves Lansdown If:

ProfileWhy
Want individual sharesVanguard doesn’t offer
Active fund selectorWide choice, good research
Value research toolsBest available
Want one platform for everythingWidest range
Large share portfolio£45 cap is excellent
Want flexibilityCan hold anything
Need Lifetime ISAVanguard doesn’t have one

Common Strategies

Just Starting Out (Under £10k)

PlatformCostVerdict
Vanguard£15/yearBetter
HL£45/yearFine but more

Best choice: Vanguard (simple, cheapest)

Passive Investor (£50k in funds)

PlatformCostVerdict
Vanguard£75/yearMuch better
HL£225/year3x the cost

Best choice: Vanguard (no contest)

Active Share Investor (£100k in shares)

PlatformCostVerdict
VanguardN/ACan’t invest
HL£45/year + dealingOnly option

Best choice: Hargreaves Lansdown

Mixed Investor (Funds + Shares)

StrategyApproach
Option 1HL for everything (convenient)
Option 2Vanguard for funds, HL for shares (cheaper)
Option 3HL shares account, Vanguard SIPP

Many investors use both platforms.

Using Both Platforms

A common approach:

AccountPlatformWhy
SIPP (passive)VanguardLowest cost for pension
ISA (active)HLShares + wider choice
ISA (passive)VanguardLow-cost index ISA

You can only contribute to one Stocks & Shares ISA per year, but can hold multiple.

Transfer Between Platforms

Vanguard to HL

Transfer TypeProcess
In-specie (Vanguard funds)Transfer holdings directly
Cash transferSell, transfer cash
Time2-8 weeks typically

HL to Vanguard

Transfer TypeProcess
In-specie (Vanguard holdings)Can transfer directly
Non-Vanguard holdingsMust sell first
Cash transferSell everything, transfer

The Bottom Line

Investor TypeRecommendation
Passive/index investorVanguard
Stock pickerHargreaves Lansdown
Research-focusedHargreaves Lansdown
Cost-minimiser (funds)Vanguard
Large share portfolioHargreaves Lansdown
Want one platformHargreaves Lansdown
Maximum simplicityVanguard
Want choiceHargreaves Lansdown

Summary:

  • Vanguard for cheap, simple passive investing
  • HL for choice, research, and shares
  • Many investors use both

Sources

  1. MoneyHelper — Savings
  2. FCA — Saving and investing