Products featured in this article are independently selected by This is Money’s specialist journalists. If you open an account using links which have an asterisk, This is Money will earn an affiliate commission. We do not allow this to affect our editorial independence.
The best Sipp provider will be one that’s offering the cheapest fees for your needs, a good level of investment choice and an easy-to-use service.
Sipps, or self-invested personal pensions, give you more control over how your pension pot is invested than other types of pension. Since their launch they have become a hugely popular way for Britain’s investors to build up a pension pot outside of their workplace scheme.
In a Sipp, you can invest in a range of shares and funds and most platforms also offer managed options, often called ready-made portfolios or ready-made investments.
See our pick of the best Sipps for different circumstances below, in alphabetical order. We also explain more about Sipps, including how a Sipp works and the options for withdrawing money from your pension when the time comes.
> How to choose the best stocks and shares Isa and investment platform
SIPP PROVIDERS
Fidelity
Fidelity
Wide investment choice and free fund dealing
Hargreaves Lansdown
Hargreaves Lansdown
Good customer service and free fund dealing
Interactive Investor
Interactive Investor
Flat-fee investing on Sipp-only £5.99 or £12.99 per month
InvestEngine
InvestEngine
ETF investing with no dealing charge or account fee
Prosper
Prosper
No account fee, dealing fee and 30 ETF fees refunded
A selection of the best Sipp providers
For a highly rated service
AJ Bell’s Sipp pros and cons
- AJ Bell’s account fees are competitive.
- The foreign exchange fees are lower than some other providers.
- Fund dealing costs £1.50, while other platforms offer this at no cost.
- There are fees for regular investments and dividend reinvestment.
AJ Bell offers a full range of UK and overseas shares, funds, investment trusts, ETFs and bonds.
It charges a 0.25 per cent account fee, which is lower than big rival Hargreaves Lansdown, but there are charges for all types of trading. It costs £1.50 for fund dealing and £5 for share dealing.
AJ Bell is highly rated on Trustpilot.
For clear platform charges
Charles Stanley Direct’s Sipp pros and cons
- Charles Stanley Direct’s account fee is straightforward.
- There’s no platform fee when you invest in Charles Stanley multi-asset Funds.
- There are fees for both fund and share dealing.
- There’s a £100 admin charge for pots of less than £30,000.
Charles Stanley Direct has wide range of funds, investment trusts, ETFs, and UK and international shares, with platform fees that are competitive and some money back in free trades.
You’ll pay 0.3 per cent on the value of your investments, up to a maximum of £600. If you have a smaller pot, the minimum you’ll pay is £60.
There is a £100 plus VAT Sipp fee but this is waived if you have more than £30,000 across Charles Stanley accounts. If you have less than £30,000 you may want to look elsewhere.
Fund dealing costs £4 and share dealing costs £10, but customers get £100 in trading credits each year.
Pros and cons of Fidelity’s Sipp
- Fidelity offers a wide investment choice.
- Fidelity’s account charges are attractive for those with larger pension pots.
- Those with smaller pension pots may pay lower account fees elsewhere.
- The charge for share dealing is high at £7.50 a share.
Fidelity offers a wide investment choice of funds, investment trusts, ETFs and shares, along with lower account fees and foreign exchange charges than some other providers.
There is a 0.35 per cent annual account fee with no extra charge for having a Sipp. Pots below £25,000 have a £90 minimum, but this is waived if regular saving is set up. Charges step down to 0.2 per cent above £250,000
There’s no charge when buying and selling funds but share, ETF and investment trust dealing costs £7.50
Competitive FX fees mean Fidelity could be a good option for active investors casting their net wider than the UK.
For great customer support
Pros and cons of Hargreaves Lansdown’s Sipp
- Hargreaves Lansdown’s customer service team is available six days a week.
- There’s a wide range of investments available through the platform.
- The account fees are higher than most other platforms.
- Share dealing is expensive at £11.95 a share.
Hargreaves Lansdown is the biggest and most well-known of the investment platforms and has a broad range of shares, funds, investment trusts, ETFs and bonds.
It prides itself on customer service but charges a high 0.45 per cent account fee. This steps down to 0.2 per cent above £250,000 and 0.1 per cent above £1million. There is a £200 annual cap for stock market listed holdings and bonds in a Sipp.
While there are no charges for fund dealing, regular investments or dividend reinvestment, HL’s share dealing fees are high at £11.95.
But Hargreaves Lansdown is a good option if you’re conscious about customer support. Its team is available six days of the week, and you can access a range of investment tools and research to help you build your portfolio.
Pros and cons of Interactive Investor’s Sipp
- Interactive Investor’s flat fee structure means it can work out the cheapest of the traditional investment platforms.
- Share dealing is cheaper than most other platforms.
- Fund dealing costs £3.99, while other platforms offer this at no cost.
- The foreign exchange fees are higher than some other platforms charge, plus Interactive Investor charges £9.99 for international share dealing.
Unlike most Sipp providers, Interactive Investor charges a monthly subscription fee rather than a fee as a percentage of your investments. It offers a full range of investments.
Charges depend on whether you also hold a general account of stocks & shares Isa with II.
If you just have a Sipp, monthly charges start at £5.99 until your pot reaches £50,000. Above this monthly charges are £12.99.
Investors with another II account can have up to £50,000 in an Isa or general account and pay £5 extra for a Sipp until their total holdings breach £75,000, at which point they step up to paying £21.99 for all their accounts.
The flat fee is attractive for people with larger pots, because you’re charged the same whether you have £80,000, £500,000 or £1million in your Sipp. But if you’re an active investor, keep an eye on the fees for buying and selling investments.
For cost-conscious ETF investors
Pros and cons of InvestEngine’s Sipp
- InvestEngine doesn’t charge any fees for using its Sipp.
- The platform offers fractional investing.
- At the moment, you can only transfer pensions from Vanguard to InvestEngine.
- You can’t invest in anything other than ETFs.
InvestEngine isn’t a well-known name, but it could be a good option for those looking to start a Sipp and who are only aiming to invest in ETFs.
There are no account fees, so the only charges you’ll pay are those within the ETFs themselves. This could make pension investing very cheap indeed. But a big downside is you can’t transfer a pension to InvestEngine, unless it’s from Vanguard.
For refunded fees on select index funds
Pros and cons of Prosper’s Sipp
- Prosper has no account fees or fees for buying and selling investments.
- Prosper refunds ongoing fees and transaction charges from select index funds.
- Potentially free Sipp investing
- Prosper is app-only and you cannot invest in shares
If you’re willing to choose a less well-known name for your Sipp and are happy to go app-only, it’s worth considering Prosper.
It offers funds, investment trusts and ETFs and can be a very cheap way to invest your pension.
It’s possible to build a very low-cost portfolio, because there are no account fees or fees for buying and selling investments, plus Prosper refunds the ongoing fees and transaction charges on 30 index funds from the likes of Blackrock and Vanguard.
Here are other Sipp providers to consider:
- Bestinvest is generally cheaper than Hargreaves Lansdown, but the more cost-conscious could still find its platform fees expensive.
- Freetrade* is another Sipp provider that offers subscription-based investing, with a flat fee of £9.99 a month (£119.88 billed annually).
- Vanguard is a low-cost option that makes sense if you only want to invest in Vanguard’s own funds or ready-made portfolios. Vanguard’s funds track different worldwide markets.
How much does each Sipp provider cost?
| Provider | Sipp account charge | Notes | Fund dealing | Standard share, trust, ETF dealing | Regular investing | Dividend reinvestment | ||
|---|---|---|---|---|---|---|---|---|
| AJ Bell* | 0.25% | Max £10 a month account charge for shares | £1.50 | £5 | £1.50 | £1.50 | ||
| Bestinvest | 0.40% | 0.2% for ready-made portfolios | No charge | £4.95 (US shares free) | No charge | No charge | ||
| Charles Stanley Direct* | 0.30% | Min platform fee £60, max £600. £100 back in free trades per year | £4 | £10 | Free for funds | N/a | ||
| Fidelity* | 0.35% | £7.50 monthly fee without regular savings plan for less than £25,000 | No charge | £7.50 | Free funds, £1.50 shares, trusts ETFs | £1.50 | ||
| Freetrade* | £9.99 a month when paying annually | £11.99 when paying monthly | Not available | No charge | N/a | N/a | ||
| Hargreaves Lansdown* | 0.45% | Max £200 a year account charge for shares | No charge | £11.95 | No charge | No charge | ||
| Interactive Investor* | £5.99 a month (below £50k), £12.99 a month (above £50k) | Extra Sipp charges if also hold an Isa or standard account make it £21.99 a month above a total £75k | £3.99 | £3.99 UK and US shares, £9.99 international | No charge | £0.99 | ||
| InvestEngine* | Free | Only ETF investing. Managed service is 0.25% | Not available | No charge | No charge | N/a | ||
| Prosper* | Free | Refunded ongoing fees from 30 index funds | No charge | No charge (shares not available) | No charge | N/a | ||
| Vanguard | £4 a month (below £32k), 0.15% (above £32k) | Only Vanguard funds | No charge | No charge | No charge | N/a | ||
| Source: ThisisMoney.co.uk May 2025. Admin % charge may be levied monthly or quarterly | ||||||||
What to look for when choosing a Sipp provider
When comparing Sipp providers, think about the level of service you need.
Providers generally compete on fees, which is the main element to look out for. High fees eat away at the value of your portfolio, so you’ll want to keep costs down as much as possible.
But the cheapest Sipp won’t always be the best – it depends on how you intend to use the investment platform.
Some offer low fees but a limited choice of investments. Others may look expensive but won’t charge for regular trading of funds, so could work out best for more active investors. And certain platforms come with a wealth of investment support, including research and even investment coaches that you can speak to.
So with different charging structures, tools, available research and levels of customer support, answering some key questions like the below will help when comparing providers:
1. What type of investor are you? The big question. If you’re the type of investor that trades regularly, look at a service that doesn’t charge you too much for doing so and gives you the right level of customer support, investment research and choice of investments.
But if you’re aiming to invest in low-cost passive funds and forget about them, you won’t want to pay through the roof for extra bells and whistles you don’t need.
2. What’s the value of your pension pot? If you’re transferring existing pensions to a Sipp, work out how much your annual account charges will be with different providers. For example, a subscription model could work out better for larger pots.
A note on transferring – some providers charge exit fees to transfer a pension, so make sure you check whether these apply.
3. How will you access your money at retirement? It’s important to choose a provider that offers flexibility when you reach retirement and it comes to drawing from your pension. At this stage, it can help to have guidance on your options available.
Most Sipp providers no longer charge extra when it comes to taking an income from your pension, but it’s always worth double checking.
What is a Sipp?
A Sipp is a type of pension that gives you the freedom to pick your own investments from a wide range available on the provider’s investment platform.
This is unlike other pensions that provide limited choice over how your money is invested.
When you open a Sipp, you can use your online account to buy and sell investments and monitor how your portfolio is doing.
A Sipp is a good option if you have a number of old pensions from different workplaces. It’s possible to transfer your pensions to one provider, making it easier to keep track of how your investments are doing. Check you don’t lose valuable guarantees by doing that though, first.
A Sipp is also a good option if you’re self-employed, because you have no auto-enrolment or employer to set up your pension for you.
Your choice of investments will often include:
You can usually open a stocks and shares Isa and a general investment account with your Sipp provider, which simplifies keeping track of your investments even further. Or you can invest in an Isa in one place and a Sipp in another – and you can have as many Sipps as you like.
How does a Sipp work?
You can open and pay into a Sipp in a similar way to other accounts, such as Isas and general investment accounts.
And to encourage you to save for retirement, you get tax relief from the Government when you pay into your Sipp.
Sipps are like employer defined contribution pensions. Your retirement pot depends on the total you contribute to the Sipp, investment performance, the fees your provider charges, and how and when you want to draw on your pension.
This is opposed to employer defined benefit pensions. With these your retirement pot is based on how many years you were part of the scheme and your final salary with the employer. These schemes are now rare, so taking control of your retirement pot is more important than ever.
How Sipp tax relief works
Most people get tax relief on pension contributions. Sipp providers claim this for you through a process called relief at source, but only at the 20 per cent basic rate of income tax. If you’re a higher rate taxpayer and pay income tax at 40 per cent, you may be able to claim further tax relief through self assessment.
Here’s an example of a higher rate taxpayer earning £90,000 a year who contributes £20,000 into their Sipp in the current tax year:
- The Sipp provider claims £4,000 tax relief automatically (25% uplift to replace 20% basic rate tax charged).
- The taxpayer can claim extra tax relief – another £4,000 – through self assessment.
- The taxpayer’s pension contribution only cost them £12,000.
Higher rate taxpayers can only claim further tax relief on earnings they paid 40 per cent tax on. In the above example, the taxpayer paid the higher rate on £39,730 of their earnings, so they can potentially claim up to £7,946 of extra relief.
How much can you pay in to a Sipp?
There’s no limit to how much you can pay in to a Sipp, but there are limits to how much you can contribute and still receive tax relief. If you go over these limits, you’ll get a tax charge.
- The annual allowance limits total contributions that can receive tax relief to £60,000 or 100 per cent of your earnings – whichever’s lower.
- The annual allowance for higher earners is reduced by £1 for every £2 that someone earns above £260,000, until the allowance reaches £10,000.
How investing in your Sipp works
Sipp providers let you set up regular investments into your pension, or you can pay in a lump sum and pick your investments with it.
Regular investments go straight into an investment of your choice every month. Some providers charge a small amount for regular investments, while others do it at no cost to you. Investing every month helps you build a savings habit, and instead of trying to time the market, you can smooth out the highs and lows through pound cost averaging.
Otherwise, you can add cash to your account and then choose where to invest through the online platform.
The freedom over where to invest your money is one of the great benefits of a Sipp. You search for investments through your online account and then choose how much you want to invest in each one.
Most platforms offer a wealth of tools, guides and research to help you choose investments. Your exact mix of investments will depend on your overall retirement goals, your time horizon and your attitude to risk.
How accessing your Sipp works
You can’t access the money in your Sipp until you reach the minimum pension age, which is currently 55. This is increasing to 57 from April 2028, affecting those born on or after 6 April 1973.
You have different options for accessing your money when you reach retirement.
- Tax-free lump sum: you can take 25 per cent of your pension tax free, up to a maximum of £268,275 – your lump sum allowance. You can access the rest as taxable income.
- Other lump sums: uncrystallised funds pension lump sums (UFPLS) are where 25 per cent of a lump sum is tax-free, with the remainder subject to income tax.
- Drawdown: providers give you the option of moving money into drawdown, where you can withdraw up to 25 per cent tax free and then receive regular payments or take lump sums, which are taxed as earnings. You can move some or part of your pension into drawdown.
- Annuity: you can buy an annuity with your pension savings, which is a product that gives you a regular guaranteed retirement income. Sipp providers don’t offer annuities directly.
Keep in mind that as soon as you take taxable money from your defined contribution pension in a flexible arrangement, you can only get tax relief on £10,000 of your pension contributions each year.
Accessing your pension is a huge financial decision, because your money needs to last long enough for you to live comfortably in retirement, and there’s risk involved when withdrawing from investments. It’s important to seek financial advice.
What is the lump sum allowance (LSA)?
The LSA replaced the previous lifetime allowance, which was abolished in April 2024 and limited the amount you could save in your pensions without being hit by a tax charge. The new LSA applies to all your pots, so if the value of your pension savings exceeds £1,073,100, the maximum you can take tax free is £268,275.
How much pension income will you get?
In defined contribution pension schemes like Sipps, the amount of money you’ll receive in retirement depends on how much you contribute and the performance of your pension investments. It also depends on how you choose to withdraw money from your pension.
You can factor the state pension into your forecast, but the age at which you’re eligible for the state pension is much older than the minimum pension age. If you want to stop working earlier, you need to create and stick to a financial plan that gives you a sufficient pot to last your whole retirement.
