Looking for the best private pension provider in the UK? Look no further. Here’s how to pick the best private pension for your retirement plans and some of the most popular UK options.
Private pensions in the UK refer to both your workplace pension (arranged by your employer) and any additional pension you set up yourself. We’re going to be focusing on the best private pensions you can create because you often don’t get a say about your workplace pension, so it’s out of your control.
Using the best possible pension provider you can get your hands on won’t guarantee you a perfect retirement, but it will put you on a solid path to achieve your goals. One of the great things about UK private pensions is the freedom you have to combine and control your pots. So it’s well worth taking advantage of those pension freedoms.
Personal advisors as standard
Globally diversified portfolios, fully managed in-house
Single account fee, which reduces as your pot grows
“Best for” picks are those we’ve evaluated to be best for certain product features or categories. They’re chosen from among the brands we work with. If we show a “Promoted for” pick, this means it’s been chosen from among our partners and is based on factors that include special features or offers, and the commission we receive. Keep in mind that our picks may not always be the best fit for you, and it’s important to compare for yourself to find a product that works for you.
Finder’s 10 best UK private pension providers for December 2024
Why it’s the best for 0% commission: For offering 0% commission, including fractional US shares.
If you want to use Freetrade’s SIPP, you’ll need to sign up to the Plus plan which costs £11.99 a month (or £119.88 per year which works out at £9.99 a month). This gives you access to the Freetrade SIPP and also its flexible stocks and shares ISA, and means you can invest your pension commission-free in over 6,200 stocks, exchange-traded funds (ETFs) and other assets from the UK, US and EU. On Freetrade Plus, you also get priority customer service, 5% interest on up to £3,000 of cash, and its lowest foreign exchange (FX) fee of 0.39% for 0% commission international trades.
Pros
0% commission
Simple, easy-to use platform
Flat fee structure suits bigger pension pots
0.39% FX fee (Freetrade’s lowest)
5% on up to £3,000 of cash
6,200+ investments
Cons
You have to be on the Freetrade Plus plan
Flat fees aren’t the best for smaller pension portfolios
Tools and guidance are more limited than some other platforms
Why it’s the best for customer satisfaction: For winning the 2024 Finder Share Dealing Customer Satisfaction award.
HL not only topped our customer satisfaction table this year, it’s also won for the past 3 years. It’s definitely the private pension provider to beat when it comes to customer service. The HL SIPP fees start at 0.45% for holding the account (£200 annual fee cap for holding shares and percentage fund fee gets cheaper for large portfolios). You can invest for retirement from £25 per month and it’s free to buy or sell funds, but the commissions for stocks and other assets are steep, starting at £11.95 per trade.
Why it’s the best for beginners: For a simple and well-designed app to hold and manage a private pension.
CMC Invest offers an excellent beginner-friendly app for setting up and managing your CMC Invest SIPP. It’s dead easy to navigate your way around the CMC Invest app. It usually costs £25 per month to subscribe to the CMC Invest Premium plan (which includes the SIPP), but you can get it for free for 12 months (saving £300!). There’s no commissions to pay when investing, you get a USD and EUR currency account, access to thousands of investments, and a flexible stocks and shares ISA thrown in for good measure.
Pros
Excellent app that’s simple to use
0% commissions
Flat fee structure suits larger pensions
Thousand of investments and mutual funds
Cons
Must manage your pension on the app
No fractional shares
Flat fee structure can be expensive for smaller pots
Why it’s the best for financial advice: For offering an integrated financial advice service.
Charles Stanley Direct has an excellent slogan “using technology where it’s helpful and people where it matters”. If you want a more hands-on approach with your pension and retirement (and by that we mean someone else’s hands), Charles Stanley lets you access its in-house financial advisers and planners to assist you with your pension planning and investing (for an additional fee). You can open and hold a SIPP pension account on its platform for £100 + VAT per year (no fee if your portfolio is over £30,000). However, there are a slew of other SIPP fees to watch out for, especially if you use Charles Stanley for pension drawdown
Pros
Financial coaching and advice for extra fee
No SIPP wrapper fee for pensions over £30,000
No fund commission with automated monthly investment
No platform or commission fee for the Charles Stanley Multi-Asset Funds
Cons
£100 + VAT SIPP fee per year (for accounts under £30,000)
Why it’s the best for investment choice: For offering over 40,000 investments with the ii SIPP.
To use ii’s SIPP, and access a mammoth selection of assets, you can sign up for the Pension Essentials plan for £5.99 a month (if your portfolio is under £50,000) or the Pension Builder plan for £12.99 a month once your portfolio balance hits the £50,000 threshold. Or if you’re on the Investor Essentials plan you can add a SIPP for an extra £5 a month, or if you’re on the Investor or Super Investor Plan, you can add the ii SIPP for £10 a month. If you set up a regular investment of at least £25 a month, you don’t have to pay any investing commission, but this starts at £3.99 per trade otherwise.
Why it’s the best for low fees: For a cheap 0.15% platform fee and no commissions.
InvestEngine’s SIPP is relatively new, but it came out swinging with an extremely low 0.15% fee to use the account (capped at £200 per year). There’s no fee to buy or sell exchange-traded funds (ETFs) and you can get a managed SIPP for an additional 0.25% fee, making this one of the cheapest (if not the cheapest) SIPP available to retirement savers in the UK.
Why it’s the best for mobile app: For offering a well-designed app for managing your pension and much more.
Moneybox does an excellent job of catering to all types of pension savers with its slick, yet simple app. There’s no confusing jargon or complex fee structure here. It costs nothing to open an account and there’s no monthly subscription fee for the Moneybox pension (as with some other Moneybox accounts), but you still pay a platform fee of 0.45% for a pension up to £100,000 (and 0.15% on anything over that). Moneybox can also help you find and combine lost pensions and so much more, it’s a fantastic app.
Pros
0.45% platform fee (0.15% after £100,000 pension)
No commission to buy or sell investments
Excellent app for investing and managing a pension
Useful pension saving features
Cons
App-only pension platform
Limited choice of investments
Not many research or analysis tools
Experienced investors may not like the simple approach
Why it’s the best for funds: For having over 5,000 funds to choose from and low fees.
The Aviva self-invested personal pension (SIPP) is an excellent option for funds because there are over 5,000 to choose from, including Aviva’s very own curated list of 80 funds recommended by experts. It also offers 5 ready-made funds if you want a more simplified approach. The fee structure for the Aviva SIPP is simple too, there’s a 0.4% maximum account fee and it’s free to buy or sell funds with Aviva. You can get started investing with an Aviva SIPP from £25 per month (or a much steeper £5,000 lump sum).
Why it’s the best for index funds: For offering some of the best index funds available for the lowest price.
Vanguard’s SIPP is our best option for index funds because this is the company that actually invented index funds. So, you get access to some of the best index funds in the world when using the Vanguard pension, and its pricing model means the fees are extremely cheap with a simple 0.15% annual fee (capped at £375 per year). The Vanguard SIPP is fairly limiting in terms of investment choice (Vanguard funds only).
Pros
Low 0.15% SIPP fee (capped at £375 per year)
Access to some of the best and cheapest index funds and ETFs
Why it’s the best for simplicity: For offering an easy-to-use app, low fees, and a limited choice of investments.
Dodl’s private pension ticks plenty of beginner must-haves: it’s cheap, easy to use, and doesn’t have an overwhelming choice of investments. But what makes it stand out is the app's simplicity. You’re not going to find thousands of pension investments here, but you will find an easy-to-use app that has a limited number of quality assets to suit most beginners saving into a retirement pot. The Dodl pension fee is a simple 0.15% (£1 per month minimum) and there’s no commission to buy or sell investments in your pension.
There are few universal elements that help make UK private pension providers stand out as a top option. Here are some key things to look out for when looking for the best private pension provider:
Investment options. One of the best things about controlling and managing your pension is the ability to invest it how you choose. So, it’s extremely helpful if your pension or self-invested personal pension (SIPP) offers the investments that suit your strategy and goals.
Low fees. Whether you’re just starting to save into a private pension or nearing retirement, keeping your investment fees low with your pension provider is one of the best ways to make sure savings go further and let you reach your retirement goals faster.
Simple pricing. Unfortunately, some pensions are cheap, but you need a PhD to decipher all the fees and the industry is full of confusing and useless jargon. A great pension provider should be both affordable and clear when it comes to fees and costs.
Clear interface. Your retirement investments and pension are a crucial part of your finances, it’s not an area to muck around with. The best pension providers in the UK should provide clear and useful ways to interact with your pension, whether that’s with a well-designed mobile app or intuitive. This way you can better understand and control your retirement investment portfolio.
All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Past performance is no guarantee of future results. If you’re not sure which investments are right for you, please seek out a financial adviser. Capital at risk.
How to pick a private pension provider
Here are a few questions to ask yourself to help you find a private pension provide:
Do you want to consolidate your pensions? Most private pension providers in the UK should allow you to combine old workplace pensions to keep everything under one roof (just check you won’t forfeit any benefits if you do this though).
Do you understand how the fees are structured? Ensure you’re completely clear on how fees are charged, you’ll normally pay a platform or account fee to the pension provider and then investment or fund fees on top.
What do you want to invest in? Each private pension provider will offer various types of investments. Think about what you’d like to invest in and find a pension platform that offers what you want.
Are you looking for an app? Some of the newer SIPPs have excellent apps to help bring the pension investing experience out of the dark ages and into the 21st century.
Private pension jargon buster
Here’s a quick overview of some key terms and phrases that you may have been scratching your head over:
Defined contribution (DC) pension. This is what most private pensions in the UK are these days. A DC pension means that you contribute to a pot (and get tax relief on your contributions). When you reach retirement, you can choose what to do with that pot, whether that’s drawdown or buy an annuity or whatever else.
Tax relief. When you contribute to a private pension in the UK, you’ll get a certain amount of tax relief that depends on your income tax bracket. Essentially it’s a government top up that replaces the tax you’d already paid on that money.
Annuity. When you purchase an annuity with your pension pot, you get some sort of guaranteed income for a specified period, or for the rest of your life in some instances.
Self-invested personal pension (SIPP). A SIPP is the most common type of private pension outside of workplace pensions. Plenty of providers and UK investment platforms offer SIPPs and they vary in terms of fees, investment options and features.
Frequently asked questions
This will depend on what you’re looking for as a retirement saver. Each private pension provider is designed with a target audience in mind, so it’s best to think about what type of investor you want to be and then you can find the best private pension to suit your style.
A good private pension in the UK should have low fees, a wide range of investments, and helpful tools like calculators and projections. It should be flexible, letting you adjust your contributions or investments easily, and make it easy to track your progress as you head towards retirement.
You should compare fees, investment options, brand reputation, and tools available. Look for a provider with a solid customer service track record, a user-friendly platform that’s free from jargon, and pension investments that fit your risk appetite and retirement goals. It’s also worth checking if they offer added benefits, like financial advice or ethical investment options.
Legal & General is one of the biggest pension providers in the UK, with over £1 trillion in assets under management (AUM). Other major players include Aviva and Scottish Widows. There are also plenty of newer brands like AJ Bell, Hargreaves Lansdown and others.
Pensions are long-term investments. You may get back less than you originally paid in because your capital is not guaranteed and charges may apply. Keep in mind that the tax treatment of your pension and investments will depend on your individual circumstances and may change in the future. Capital at risk.
We show offers we can track - that's not every product on the market...yet. Unless we've said otherwise, products are in no particular order. The terms "best", "top", "cheap" (and variations of these) aren't ratings, though we always explain what's great about a product when we highlight it. This is subject to our terms of use. When you make major financial decisions, consider getting independent financial advice. Always consider your own circumstances when you compare products so you get what's right for you. Most of the data in Finder's comparison tables has the source: Moneyfacts Group PLC. In other cases, Finder has sourced data directly from providers.
George is a deputy editor at Finder. He has previously written for The Motley Fool UK, Nasdaq, Freetrade, Investing in the Web, MoneyMagpie, Online Mortgage Advisor, Wealth, and Compare Forex Brokers. He's focused on making personal finance and investing engaging for everyone. To do this he draws from previous work and his Level 4 Diploma for Financial Advisers (DipFA), sharing what he’s learnt. When he’s not geeking out about money, you’ll find him playing sports and staying active. See full bio
George's expertise
George has written 192 Finder guides across topics including:
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We update our data regularly, but information can change between updates. Confirm details with the provider you're interested in before making a decision.
