SIPP Fees Comparison UK 2026 — What Each Provider Actually Charges
The difference between the cheapest and most expensive SIPP provider is not a rounding error. A £100,000 portfolio growing at 10% per year for 30 years could be worth £200,000 less with a 0.45% higher annual platform fee — according to Kepler Trust Intelligence analysis. Fees matter enormously over a pension lifetime.
From 1 March 2026, Hargreaves Lansdown reduced their SIPP fees significantly. The current fee structure across major providers:
Source: Provider fee schedules as of April 2026. HL fee reduction effective 1 March 2026. Always verify current fees directly with the provider before opening an account — fees change.
Pension Annual Allowance UK 2026/27
The pension annual allowance for the 2026/27 tax year is £60,000 — the maximum you can contribute across all your pensions in a single tax year while receiving tax relief. This includes both your own contributions and any employer contributions.
SIPP vs Workplace Pension: Which Is Better?
Always maximise your workplace pension first. Employer contributions are free money — a 3–5% employer match is an immediate 60–100% return on your own contribution. Never opt out of a workplace pension to open a SIPP instead — you lose the employer match.
A SIPP makes sense for: additional savings beyond your workplace pension, consolidating old pension pots from previous employers, self-employed people with no workplace pension, and those who want greater investment control than their workplace scheme allows.
Pension Drawdown UK: How It Works
From age 55 (rising to 57 in April 2028), you can begin accessing your pension. The main options are:
Interactive Investor was the only drawdown provider rated 5-star for value for money in the Which? drawdown survey (November 2025). AJ Bell and Fidelity are also Which? Recommended Providers for drawdown.
What is the best SIPP provider in the UK 2026?
The best SIPP provider depends on your pot size and investment preference. For small pots under £50,000, Vanguard offers the cheapest fees at 0.15% capped at £375/year. For pots £50,000–£250,000, AJ Bell offers the best balance of price and features. For large pots over £50,000, Interactive Investor's flat fee of £12.99/month is cheapest. For the widest fund range and best platform, Hargreaves Lansdown leads — they reduced fees significantly from 1 March 2026.
How much can I put in a pension in 2026?
The pension annual allowance for 2026/27 is £60,000 — the maximum across all your pensions while receiving tax relief. This includes employer contributions. Higher earners above £260,000 face a tapered allowance reducing to a minimum of £10,000. You can also carry forward unused allowances from the previous three tax years if you were a pension member in those years.
When can I access my pension?
You can currently access your pension from age 55. This rises to age 57 in April 2028 — a confirmed government change. At retirement, you can take up to 25% of your pot as a tax-free lump sum, subject to a maximum of £268,275. The remainder is taxed as income at your marginal rate when withdrawn.
What is a SIPP?
A SIPP (Self-Invested Personal Pension) is a type of personal pension that gives you control over how your retirement savings are invested. Unlike most workplace pensions which limit you to a small range of ready-made funds, a SIPP lets you choose from a much wider range including shares, funds, ETFs, and investment trusts. Basic-rate tax relief of 20% is added automatically; higher and additional-rate taxpayers can claim further relief through self-assessment.
Should I transfer my old pension to a SIPP?
Transferring old workplace pensions from previous employers into a SIPP can make sense — it consolidates your savings, may reduce fees, and gives you more investment control. However, before transferring always check whether the old pension has guaranteed annuity rates or other valuable benefits that would be lost on transfer. If transferring a defined benefit (final salary) pension worth over £30,000, you are legally required to take regulated financial advice first.
This article is for informational purposes only and does not constitute financial advice. Always verify rates and figures with official sources before making any financial decision.
Part of our complete guide:
