A co-founder of Octopus Investments has launched a new partially online Financial Planning firm.

Guy Myles said that Flying Colours would be the “next generation of advice and investment management” and promised to improve UK investor returns.

The founder and CEO of Flying Colours said: “The current UK financial advice and investment industries were designed a long time ago. Nowadays it’s just not right for many UK investors who are trying to do it themselves and risk making mistakes or those who pay excessive fees to professional financial advisers and investment managers which eat away at their investments and pension pots.”

He said his service includes phone and online meetings with an independent financial adviser, the creation of a personalised financial plan, long term Financial Planning, and investment management.

The total annual cost for advice, investment management, funds and platform fees was announced as 0.50% - 1.05% with an initial charge of up to 2% for complex Financial Planning with an adviser.

He said: “Flying Colours offers a new alternative combining real independent financial advisers with the best in technology to significantly reduce costs, without compromising on quality. The UK consumer deserves more and we are here to lead that NextGen change in the financial services industry.”

He claimed it would cost less than the average DIY approach or a traditional financial adviser and would combine personal one-to-one advice with the “best of technology”.

The tax advice and life-long Financial Planning made it suitable for consumers aiming preparing to step into retirement, the firm said.

Mr Myles spent 14 years as managing director of Octopus Investments, a UK fund management company with over £5bn in its portfolio of investments, before leaving in July 2014 to found his new venture.