Fidelity SIPP - are ETFs or funds more cost effective at 250k (UK)

Hi I set up a Fidelity SIPP a few years ago and went with the ETF only option to keep costs down.

I've been very happy with them as a platform so far.

I recently went over the £250k mark and am just looking at all the options as retirement moves closer.

The etf platform fees are capped at £7.50 per month, with a dealing fee of £7.50 for buying and selling or £1.50 as part of a regular savings plan.

If buying funds and shares, general fees go down to 0.2% over this, and buying and selling funds are free.

Unless my math is utterly wrong, its £90 a year for etf and over £500 for funds.

I'd have to be making dozens of transactions to make the funds a better deal.

I'm starting to second guess myself. Why would anyone buy the funds?

I'm just wondering if they are so significantly better an investment to justify the larger fees?

Thoughts?