Self-Invested Personal Pension (SIPP)

No, you can transfer one or more older pensions. Transfers can be from as little as £1. This will open your Self-Invested Personal Pension and once this is set up, you can add more pensions to it anytime in the future.

You can’t transfer every type of pension.

We can’t accept:

• Pensions in drawdown
  You can not transfer if you have started drawdown on your existing pension. For example, you have taken an income or a tax-free lump sum from them.
• Pensions with guarantees
  This is a pension with a Guaranteed Annuity Rate. It means you could get a higher income than you’d get at today’s rates when you retire.
• Guaranteed Minimum Pension or Section 9(2B) rights
  These may provide you with a guaranteed income when you retire. You’re not likely to match this amount when transferring. Check with your current provider, as they should have more details on this.
• Guaranteed Conversion Option
  This allows you to convert your pension into a fund, which gives you access to a wider, more flexible range of benefit options. At today’s rates, it’s unlikely that this fund will be worth as much as your original pension.
• Pensions with defined benefits
  Also known as final salary benefits, this is where you receive guaranteed pension income based on your salary, rather than how much you’ve paid in. Your current provider should have more details on this.
• Workplace pension
  A pension that you and an employer still pay into.
• Other reasons you can’t transfer
  The provider of your pension is not based in the UK. It could be subject to a pension sharing or earmarking order following a divorce or dissolution of a civil partnership. Or it has been, or will be, set up using disqualifying pension credits. This is when the pension sharing order is applied to a pension already in payment or income drawdown.

To see what you may get back from your pension, we’ll provide an example illustration when you apply. These figures are only examples and aren’t guaranteed – they’re not minimum or maximum amounts.

We’ll send you a personalised illustration when your SIPP is set up.

Use our pension calculator as a guide to see what your retirement income could be. You can also see how making changes to your contributions could make a difference to your overall pension pot.

The Lifetime Allowance (LTA) limit for personal pensions was abolished on 6 April 2024. It was replaced by the Lump Sum Allowance (LSA), which is £268,275, and the Lump Sum Death Benefit Allowance (LSDBA), which is £1,073,100. This limits the amount of your total pension benefits that can be paid as tax-free lump sums.

There is a limit on the amount you can contribute into your pension each tax year, this is called the ‘annual allowance’.

You can contribute the equivalent of 100% of your annual earnings each year or up to a maximum of £60,000 (whichever is lower). You can also carry forward unused allowances from the last 3 tax years.

If you start flexi access drawdown with any of your pension, your allowance is reduced to £10,000 a year. This is called the Money Purchase Annual Allowance (MPAA).

Find more information about the Lump Sum Allowance at gov.uk.

One of the benefits of investing into a pension is tax relief. If the basic rate of tax is 20%, for every £80 you pay in, the government will top this up with an extra £20.

If you've told us you're entitled to tax relief, we'll add basic rate tax relief automatically to any regular or one-off contributions you make into to your SIPP. If you’re a higher rate taxpayer, you can claim additional tax relief through your self-assessment tax return.

How much you can pay in without a tax charge will depend on your circumstances.

• You can normally pay up to £60,000 (the annual allowance) into your pensions each tax year without paying a tax charge (or up to 100% of your taxable yearly income if less).
• If you’re not working and don’t have any income, you can still pay in £3,600 each tax year (you pay in £2,880, with £720 tax relief).
• If you’re a high earner, a lower limit could apply known as Tapered Annual Allowance. See further information at www.gov.uk.
• If you’ve taken out a taxable cash sum or flexible income, the amount you can contribute without paying a tax charge is limited to £10,000 (the Money Purchase Annual Allowance).

Tax treatment depends on your individual circumstances. Your circumstances and tax rules may change in the future.

If you would like financial advice, you could speak to an Independent Financial Adviser. Unbiased and Vouchedfor will let you find a local adviser based on your requirements. There will be a charge for this service.

You get free help and guidance through Pension Wise. If you’re over 50, you’ll also benefit from a free 60-minute appointment.

Alternatively, our partners Schroders Personal Wealth could also help. They provide personalised advice on a range of different products and services. It all starts with a free, no obligation chat, then a financial plan that’s tailored to you. To qualify, you’ll have at least £100,000 in sole or joint savings, investments or personal pensions, or sole income of at least £100,000. Fees and charges may apply.

You may forget about a pension you already have. This could impact how much you can save for retirement.

For further support, you can go to The Pension Tracing Service, which is operated by the Department for Work and Pensions.

Our example pension illustration shows what happens when you invest in a SIPP over time. This includes any potential growth of a pension, starting from when you open your account, until you reach retirement.

Generic illustration (PDF, 314KB)