# What is a SIPP?

> Quick answer · Last updated 1 April 2026

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## In short

A Self-Invested Personal Pension — a personal pension where you choose the underlying investments, with the same tax relief as any other personal pension.

A SIPP (Self-Invested Personal Pension) is a personal pension that lets you choose which funds, shares and other investments to hold inside the tax wrapper. You get the same tax relief as a standard personal pension: 20% added at source, with higher and additional rate taxpayers able to reclaim more through Self Assessment.

Most SIPPs are now low-cost platform SIPPs that work much like a Stocks & Shares ISA, with annual platform fees of around 0.2–0.45% and fund charges on top.

You can normally start taking benefits from age 55 (rising to 57 from 2028). 25% can usually be taken tax-free, with the rest taxed as income.

## Related

- [Pensions guide](https://moneyguide.org.uk/pensions/)
- [Pension contribution calculator](https://moneyguide.org.uk/tools/pension-contribution-calculator/)

## Primary source

gov.uk/personal-pensions-your-rights

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Independent UK money guidance from [Money Guide](https://moneyguide.org.uk). Information only — not regulated financial advice.