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Saving and investing in a SIPP is one of the best moves you’ll ever make. With a SIPP account, you’ll be better positioned to prepare for retirement and protect investment returns from taxation. Many SIPP service providers are available in the UK today. Unfortunately, not all are good for you. For optimum results, you must find a good, FCA-regulated company. Our team has made this task easier for you by researching and picking the best SIPP service providers UK. While selecting our topics, we considered factors like regulation and read user testimonials posted on Trustpilot and other established review platforms.
Saving for retirement is the key to facilitating a smooth transition from a lifetime of hard work to enjoying your golden years. You don’t want to be one of the Britons who have to work in their sunset years because they can’t afford to retire. Considering that, we encourage you to consider using a SIPP (self-invested personal pension) to prepare for retirement. SIPP will allow you to save, invest, and protect your money from income and capital gains tax.
But don’t dive in yet. Many SIPPs are available today. Some are excellent service providers, but others are fraudsters and scammers. To protect your money from malicious parties, you must save and invest with the best SIPP providers UK. We vetted countless service providers and selected 5 that deserve that distinction. Our team has reviewed them in this comprehensive guide.
List of the Best SIPP Providers
- Hargreaves Lansdown – Overall Best SIPP Provider in the UK
- AJ Bell Youinvest – Best Flat-Fee SIPP Provider in the UK
- Interactive Investor – Best SIPP Provider for DIY Investors in the UK
- Vanguard – Best for Low-Cost Index Fund Investing
- Fidelity International – Best SIPP Provider for Beginners
In This Guide
UK SIPP Providers: Comparison Table
Nearly 100 reputable SIPP providers are available in the UK. But only 5 made it on our list based on merit. We analyzed the service providers in this region, compared them, and pinpointed the pacesetters. Numerous factors guided us while working through the list of UK SIPP providers and selecting the best companies. They include regulatory status and customer support. Let’s kick off with a brief comparison of the available service providers based on these elements.
| Best SIPP Provider | Licensing and Regulation | Interest Rate | Customer Support Channels |
|---|---|---|---|
| Hargreaves Lansdown | Authorized by the FCA, Register Number 189627 | From 3.45% tax-free interest rates | Phone, Email |
| AJ Bell Youinvest | Regulated by the FCA, Reference number 211468 | From 3.20% gross interest rate | Phone, Post, Email |
| Interactive Investor | Authorized by the FCA, Reference Number 141282 | From 3.00% gross interest rate | Phone, Email, Post |
| Vanguard | Authorized by the FCA, Reference Number 494699 | 2.60% interest rate | Phone, Chat, Message |
| Fidelity Personal Investing | Authorized by the FCA, Reference Number 159360 | From 3.70% gross annual interest rate | Phone, Chat, Face-to face |
Providers Short Overview
Besides regulatory status and support, we also considered fees and investment options while choosing the best SIPP providers in the UK. Why? For starters, fees and charges can impact your net returns in the long run. Therefore, when evaluating a specific service provider’s suitability, you must check the types and amounts of fees it charges, such as contribution, annual management, and exit fees.
Furthermore, SIPPs allow users to invest in a wide variety of assets, including stocks and mutual funds. Working with a provider that supports your preferred investment products is indispensable in optimizing your experience and returns in the long run.
Let’s explore the fees and investment products we came across while assessing the best SIPP service providers in the UK.
Fees
| Best SIPP Providers | Fees |
|---|---|
| Hargreaves Lansdown | From 0% charge for funds, 0.45% for shares |
| AJ Bell Youinvest | From 0% fund account charges, 0.25% shares account charge |
| Interactive Investor | From £5.99 |
| Vanguard | 0.15% annual fee, capped at £375 |
| Fidelity Personal Investing | From 0.20% annual service fee |
Investment Products
| Best SIPP Provider | Cash | Stocks | Funds | Bonds | Commercial Property |
|---|---|---|---|---|---|
| Hargreaves Lansdown | Yes | Yes | Yes | Yes | Yes |
| AJ Bell Youinvest | Yes | Yes | Yes | Yes | Yes |
| Interactive Investor | Yes | Yes | Yes | Yes | Yes |
| Vanguard | No | No | Yes | Yes | No |
| Fidelity Personal Investing | Yes | Yes | Yes | Yes | No |
Our Expert’s Opinion about the Best SIPP Providers
The best SIPP providers in the UK are regulated by the FCA. These entities also support a broad range of investment products and offer reasonable interest rates. Lastly, their fees and costs are affordable. Such attributes enabled the 5 service providers to qualify to be on our list. Let’s explore what these entities offer in deeper detail.
1. Hargreaves Lansdown – Overall Best SIPP Provider in the UK
Founded in 1981, Hargreaves Lansdown is our overall best SIPP provider in the UK. This company boasts over half a million SIPP clients, a testament to its extraordinary services and juicy offerings. The first thing that made us love Hargreaves Lansdown is its flexibility. With this company, you can go with a ready-made investment portfolio, cherry-pick your own investment products, or get a professional financial adviser to help you choose the best investments.
Additionally, Hargreaves Lansdown allows SIPP account holders to make flexible payments. You can debit amounts as low as £25 per month and cancel or pause payments whenever the situation demands. Moreover, the HL SIPP will never require you to pay more than 0.45% annual charges for holding your investments. In fact, you can enjoy zero charges for cash investments exceeding £2 million.
We also consider Hargreaves Lansdown the best SIPP provider in the UK since it offers thousands of investment products. These include 2,500+ funds, investment trusts, UK shares, etc. If you open a FL SIPP account today, expect your money to be locked up 55 or 57 (starting from 2028). Once you hit the stipulated age, you can withdraw your money anytime.
Pros & Cons
Pros
- Thousands of investment products are available
- Low charges starting from £0
- High interest rates of up to 4.28% AER
- Junior SIPP is available
- Low threshold for monthly contributions
Cons
- Higher charges for investors with smaller portfolios
- Fewer SIPP educational materials
2. AJ Bell Youinvest – Best Flat-Fee SIPP Provider in the UK
A flat fee SIPP helps you plan and budget since it guarantees cost predictability. With that in mind, we consider AJ Bell the best flat-fee SIPP provider in the UK. That is because this provider charges 0.25% for holding a SIPP shares portfolio. That is an annual fee that investors can pay monthly. It never exceeds £10 per month and applies to investors with different portfolio sizes.
That said, please note that the 0.25% flat fee charged by AJ Bell Youinvest covers shares account management exclusively. If you buy or sell shares with your SIPP, you’ll incur a £5 every time. It may drop to £3.50, provided you were engaged in at least 10 share deals in the previous month. Also, the charges for SIPP funds accounts are different. People with portfolios worth over £500,000 incur zero account management charges. However, the percentages rise to 0.25% for investors with smaller portfolios.
AJ Bell offers 2,000+ UK shares, fins, ETFs, gilts, and other investment products. The company also offers investors juicy rates of up to 4.52% AER.
Pros & Cons
Pros
- Over 2,000 investment products available
- Zero charges for high-budget investors
- No fees for paying money into a SIPP account
- Customers can transfer their accounts to other providers for free
- Reasonable Direct Debit minimum monthly contribution
Cons
- Limited SIPP educational materials
- Higher fees for investors with smaller fund accounts
3. Interactive Investor – Best SIPP Provider for DIY Investors in the UK
If you want to do your own investing, Interactive Investor is the best SIPP provider for you. When evaluating this company, several aspects piqued our interest. First, Interactive Investor has a DIY Investor Diary Series, where the company’s team members talk to some of its outstanding customers about how they invest in investment trusts and funds. This series offers incredible tips that will help you become a successful DIY investor.
We also urge DIY investors to consider Interactive Investor because it offers many products. As a SIPP investor, you can add different assets to your portfolio, from shares and investment trusts to ETFs and bonds. This service provider also allows customers to combine old pension pots into a single SIPP and enjoy unmatched convenience.
You can open a SIPP with Interactive Investor and enjoy fees starting from £5.99 on the Pension Essentials plan, tailored for pots below £50,000. Once your portfolio exceeds £50,000, the company will move you to its Pension Builder plan, which charges £12.99 per month. All Interactive Investor plans allow members to invest as low as £20 a month.
Pros & Cons
Pros
- Simple, transparent fee structure
- Lower fees than most of its peers
- Offers juicy giveaways of up to £100k to new customers
- Reasonable minimum monthly contributions
- Quality educational guides and articles
Cons
- Reduced rates for SIPPs with lower cash balances
- Higher charges for high-value account holders
4. Vanguard – Best for Low-Cost Index Fund Investing
Vanguard is an ideal platform for SIPP enthusiasts looking to invest in index funds. The index funds this service provider offers hold hundreds and sometimes thousands of bonds, shares, etc. The best part is you can use a SIPP to invest in these assets and enjoy low ongoing fees starting from 0.20%. And, if, for whatever reasons you decide to transfer your SIPP to another provider, you won’t incur any charges, even if you’ve invested upwards of £250,000.
Another factor that makes Vanguard a splendid service provider regards finding pensions. This company is dedicated to helping investors track down old pensions and find lost accounts. Once you sign up with it, you’ll get a pension assistant who’ll help you tackle such complicated and time-consuming tasks. What’s more, you’ll be able to combine old pensions into one SIPP.
We also recommend Vanguard since it allows its customers to choose investment products for building custom portfolios. If you don’t want to do that yourself, the company’s experts can help you pick the best assets and manage your investment portfolio.
Pros & Cons
Pros
- Low charges for index funds and other investment products
- Its experts can help you find lost pensions
- No outbound transfer fees
- Closing your account won’t attract any fees
- Investors can build portfolios or choose read-made portfolios
Cons
- Higher fund management costs for ready-made portfolios
- Steeper minimum monthly instalment requirements compared to other industry leaders
5. Fidelity Personal Investing – Best SIPP Provider for Beginners
If you are new to SIPPs, Fidelity International is the right place to start. This platform is ideal for beginners since it allows new customers to start a regular savings plan with as little as £20. Moreover, the company’s official site is optimized for easy navigation. Finding the right account and investment products is easy on the Fidelity official web platform.
Fidelity is also on our list of the best SIPP providers UK since the company allows investors to open junior SIPP accounts. You can use this option to save small amounts for your little ones and make their future brighter. The exact process for registering a regular or junior SIPP is simplified, making it a breeze for beginners to get started.
This service provider offers diverse investment products to SIPP account holders, including shares, ETFs, and investment trusts. It charges a 0.35% service fee for investors with a regular savings plan. The charges drop to 0.20% for high-value portfolios with investments ranging from £250,000-£1 million. Finally, Fidelity has a financial advisory team from which beginners can seek professional advice.
Pros & Cons
Pros
- Top-quality financial advisory services
- Beginners can start a SIPP with as little as £20
- Transparent fees
- Ready-made and custom portfolios are available
- Reasonable fees and costs
- Same account management fees for high and low-value portfolios
Cons
- Limited educational resources
- Higher service fees than other industry leaders
What is a SIPP?
A SIPP is a government-approved pension scheme that allows investors to choose investment products and build a nice nest egg for the sunset years. In short, with a SIPP, you get a better opportunity to exercise ultimate control over your investments and retirement savings. You can choose numerous investment products for your SIPP account, ranging from shares and ETFs to investment trusts, commercial property, and bonds.
Any UK resident aged 75 and below can start a SIPP. Moreover, as we’ve highlighted, some of the best UK service providers have Junior SIPP programs for kids. However, to ensure your pension investments are safe, you must invest with a SIPP service provider authorized and regulated by the FCA.
SIPP vs ISA
The main difference between SIPPs and ISAs revolved around purpose. ISAs are designed to help you save or invest and enjoy interest-free returns. On the other hand, SIPPs help you prepare for retirement by saving and investing in products like stocks and investment trusts.
How to Choose the Best SIPP Provider
Many SIPP providers are running in the UK, which can lead to a dilemma. Which company should you choose? And you most certainly shouldn’t go with any provider since savvy scammers run some of the SIPPs in the UK. You must select the best SIPP provider carefully while keeping the following in mind:
Regulation
Fees
Investment Options
Customer Service
Online Reputation
You must prioritize regulatory oversight while choosing the best SIPP providers in the UK. If you don’t want to lose your hard-earned money, invest with a company the FCA regulates. FCA-regulated SIPP providers must observe numerous strict mandates, including minimum capital requirements and segregation of client assets from company resources. Moreover, many of these entities are members of reputable compensation schemes like the FSCS.
High costs will erode your investment returns over the years. To prevent that, you must save or invest with a service provider with low fees. Before opening an account with any company, evaluate crucial cost-related elements like account set, management, trading, and exit fees. Most importantly, ensure your chosen service provider’s fees match service quality.
To build the best investment portfolio, you need the right assets. When assessing if a particular service provider is a good fit, check if it’ll give you access to your favourite investment vehicles. Additionally, prioritize investing with a company with a wide variety of investment products. That is crucial since you must diversify your SIPP portfolio to enjoy maximum returns and reduce risk exposure.
Vetting customer service while selecting the best SIPP provider in the UK is crucial. Why? Only a company with excellent support can guarantee you’ll get in touch with professionals whenever the need arises. Remember, while investing with a SIPP, you may encounter myriad problems, including transaction errors and technical issues.
While comparing different SIPP service providers, consider insights from other users. Visit platforms like Trustpilot and read the reviews and testimonials. Look for patterns that point to specific common strengths or drawbacks. Avoid SIPP service providers with too many red flags stemming from complaints like poor customer service and hidden fees.
How to Sign up for an Account with a SIPP Provider
To open a SIPP account, you need to follow several steps. But don’t worry; registration is quick and easy when you have the best service providers are involved. Just follow this guide:
Step 1: Visit your chosen SIPP provider’s official site
Step 2: Apply
Step 3: Choose investment options
Step 4: Fund your SIPP
Step 5: Invest
To avoid getting ripped off by scammers, prioritize registering from your chosen service provider’s official site. While on the platform, evaluate everything to do with SIPP, from available investment assets to charges and interest rates. You can also browse other supported investment solutions, like ISAs.
Most SIPP service providers allow individuals to open investment accounts online. Hit the registration button and fill application the form with the necessary details, including your full name and residential address. Also, remember that you’ll have to submit verification documents like a copy of your government-issued national ID and bank statement.
Choose the investment products you’d like to go with, like shares, bonds, and ETFs. While doing so, consider factors like your investment goals and risk tolerance. If you’re unsure of anything, seek advice from professional consultants. Don’t forget to mitigate risk exposure by choosing as many investment vehicles as possible.
You can fund your SIPP from an existing pension pot or start from scratch. If you choose the latter, you can kick off with small monthly contributions, depending on your service provider’s threshold, or make a lump sum payment.
Once your SIPP account is ready, you can start saving and investing. Remember to be disciplined and contribute consistently. After all, your SIPP will significantly determine the lifestyle you’ll lead in your golden years. And, if your employer has a pension scheme, take advantage of it. Finally, monitor your SIPP closely and make adjustments whenever necessary.
Conclusion
The best SIPP service providers in the UK are regulated by the FCA. They also have many other positive qualities, including reasonable fees and interest rates. We’ve put the best SIPPs in the palm of your hand. You just have to analyze these service providers and pick one that matches your investment goals and preferences.
Remember to optimize your potential returns by diversifying your SIPP investment portfolio, staying informed, and seeking advice from seasoned experts as often as possible. If, after extensive reviews, you discover that a specific SIPP doesn’t meet your preferences, you can always transfer your account to another company with better services.
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