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The new FundSipp will offer a choice of Sipp fee options depending on the investment options selected.
There is also no set-up or administration fee until 31 December 2008.
Prudential will continue to offer its full Sipp option for customers who wish to access to a range of Sipp investments, including commercial property, discretionary asset management and online share-dealing through Stocktrade.
Julie Mulvanny, head of individual pensions at Prudential UK, said: "One of the real benefits of Prudential's Sipp option is that it is available through both the personal pension and income drawdown elements of our Flexible Retirement Plan.
"By offering this new more affordable Sipp option, customers simply pay for the investments they need and use - not all of them want access to a full Sipp at the outset.
"It is possible to move from the FundSipp to the full Sipp and we will automatically adjust our fees," he added.
Location: Leeds
Salary: Basic salary is £70,000 plus OTE £120K plus benefits
Location: Nationwide
Salary: £70,000 +++