Investing

How to Open a SIPP UK 2026 — Self-Invested Pension Guide

8 min read✅ Expert reviewed

A SIPP gives you full control over where your retirement money is invested, plus powerful government tax relief. Here is how to open one and what to invest in.

How to Open a SIPP UK 2026

A Self-Invested Personal Pension (SIPP) gives you full control over how your retirement savings are invested, plus government tax relief on every contribution.

Tax Relief on Contributions

  • Basic rate taxpayers: pay in £80, government adds £20 — total £100 in your pension
  • Higher rate taxpayers: claim additional 20% via self-assessment — effectively £60 to get £100
  • Additional rate taxpayers: effectively £55 to get £100

This is a guaranteed return before any investment growth.

Best SIPP Providers 2026

ProviderAnnual FeeBest For
Vanguard0.15% (capped £375)Low-cost passive investing
Hargreaves Lansdown0.45% (capped £200)Widest fund range
AJ Bell0.25% (capped £120)Medium portfolios
InvestEngine0%ETF-only, lowest cost

Contribution Limits

You can contribute up to 100% of annual earnings or £60,000 per tax year (whichever is lower) across all pensions combined.

Accessing Your SIPP

From age 57 you can access your SIPP. The first 25% is tax-free. The remaining 75% is taxed as income at your marginal rate.

Always consider speaking to a financial adviser before making significant pension decisions.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always check the latest rates and terms directly with providers. Your personal circumstances will affect which products are suitable for you. Money Stack Guide may receive commission when you apply for products via our links.