Co-founder of Hargreaves Lansdown (HL) has called out the firm following a tough year, criticising its new advice protocol and unnecessary costs.

In an interview with the Financial Times, Peter Hargreaves said the current board had "indulged in completely unnecessary irrelevant programmes, which have distracted the firm from its prime objective.

"It is hardly surprising the shares have collapsed."

In the past 12 months, the Bristol based firm has had its share price fall almost 40%, according to Refintiv data.

Hargreaves, who is the biggest shareholder in the firm with a near 20% stake, pointed to its plans for a large-scale hybrid advice service, which would sit between the current DIY version the platform is well known for, and the more expensive option to consult with a professional financial adviser.

The new agenda was outlined by outgoing chief executive Chris Hill last year, and it expected to continue after he has stepped down in November by his successor, Dan Olley, a fellow HL board member.

Hargreaves did not align with this new prospectus, reportedly saying that company should focus on the core, original strategy as this route did not fully take into account how much risk customers wanted to take on.

The founder had called out the company's hybrid plans back in December, stating they were "rubbish" in an interview with The Times.

In the FT interview, Hargreaves also advised the company to embark on a "huge round of cost cutting", telling the FT the company had employed "at least 1,000 people that they do not need".

Hargreaves also commented on the fees the firm's board were paid, stating that it was inflating costs, an issue he claimed other blue-chip companies had.

"There are too many boards who sit pretty on ridiculously high salaries of which they are not worthy," Hargreaves said.

"That is prevailing in the big companies in Britain. There are very few boards that seem to be worth the . . . big bucks paid out to them."

Hargreaves himself stepped down from the HL board in 2015.

This is not the first time the company's co-founder has taken a swing at the board, having called for the resignation of chair Deanna Oppenheimer over what he deemed "diabolical" performance of the business back in October.

Hargreaves Lansdown declined to comment.