For portfolios under roughly £100k invested in Vanguard funds only, Vanguard UK is the cheaper and simpler choice — 0.15% custody with free batch dealing and a £4/month minimum for smaller accounts. Above £100k, HL’s £150/year ISA custody cap makes it the cheaper platform on fees alone. HL also wins on product range: 1,900+ ETFs versus Vanguard’s ~85 own-brand funds. If you want to hold iShares, Amundi, or any non-Vanguard ETF, Vanguard UK is not an option.

No. Vanguard UK’s personal investor platform is entirely restricted to Vanguard-issued funds and ETFs — approximately 85 products in total. You cannot buy individual equities, iShares, Amundi, Invesco, or any other third-party ETF through Vanguard UK. If you need access to a broader product range, Hargreaves Lansdown or another open-architecture platform is required.

No. Hargreaves Lansdown does not currently offer fractional shares for equities or ETFs. The minimum purchase unit is one whole share. Fractional investments are only available for open-ended mutual funds and unit trusts, where the pooled structure naturally allows fractional units. HL has published content on fractional shares in ISAs but this is not a live product for retail clients at the time of writing.

Both brokers are regulated by the FCA and covered by the Financial Services Compensation Scheme (FSCS), which protects up to £85,000 per person per firm for investment business. At HL, cash deposits held with banking partners carry additional protection of up to £120,000 per bank licence. Both hold client assets in segregated nominee accounts, separate from the company’s own assets — your investments are not part of the broker’s balance sheet in any insolvency scenario. You can read more on the best UK brokers page.

Both platforms restrict account opening to UK tax residents. Vanguard UK rejects applications from non-residents; existing clients who move abroad can hold but cannot add capital or buy new funds. HL similarly restricts new accounts to UK tax residents, though existing clients who move to the EEA have historically been able to maintain accounts with limitations. US citizens and Green Card holders face strict compliance blocks at both platforms due to FATCA obligations.

You can hold ISAs with both providers, but you can only subscribe to one Stocks and Shares ISA per tax year. You can split your annual £20,000 ISA allowance across different ISA types — for example, a Cash ISA at one provider and a Stocks and Shares ISA at another — but not across two Stocks and Shares ISAs in the same tax year. Many investors hold legacy ISAs at both brokers from different years and transfer between them as their portfolio grows and fee dynamics shift.