SIPPs to secure your future

A pension is one of the most tax-efficient ways of saving for retirement. Self-Invested Personal Pensions, or SIPPs, are UK government approved personal pension schemes which provide individuals with a high degree of flexibility. That’s because SIPPs give you the freedom to choose and manage your own investments.

Shard Capital offers a third Party SIPP. We take responsibility for the investment management and administration of the custody of the investments and cash, while a leading SIPP provider acts as the trustee. As the respective offering of any two SIPP providers can differ significantly, Shard Capital has relationships with a number of established providers so we are able to provide you with a high degree of choice: for example a particular investment may not be eligible for inclusion in one SIPP, but may be eligible in another.

How much can you contribute?

If you are a low or non-earner you are able to contribute up to £3,600. This breaks down as your contribution of £2,880, plus the HMRC will contribute £720 (also referred to as tax relief, currently set at 20%).

If you earn more than £3,600 per year you can contribute 100% of your income – up to the annual allowance (currently £40,000 until 5 April 2018).

Again, if you earned £60,000 and want to contribute £40,000 to a SIPP, you would only need to contribute £32,000 and the HMRC will add 20% basic-rate tax relief of £8,000, making up the £40,000 total.

The SIPP provider will reclaim basic rate tax on your personal pension contributions.
The total fund must not exceed the lifetime allowance, £1 million from 2017/18, or a tax charge of up to 55% may apply to the surplus, unless HMRC has granted you ‘protection’ from this.

What can you invest in?

Stocks & Shares – issued by companies officially listed on a recognised stock exchange.

Collective Investments – include but not limited to Investment Trusts and Unit Trusts.

Government Securities – include Gilts and other bonds issued by governments here in the UK and abroad.

Corporate Bonds – only bonds listed on a recognised stock exchange, or bonds which have been issued by a publicly listed company are eligible for inclusion in a SIPP.

Commercial Property – such as offices, shops or factory premises.

Unlisted Securities – include unquoted companies (rules surrounding these kinds of investments can differ between SIPP providers).

Cash – can be held within a Shard Capital SIPP, but no interest is paid on balances held.

SIPPs at a glance

  • Plan for your future: A SIPP gives you flexibility around what you can invest in, and how much you can contribute
  • Tax benefits: Basic rate tax can be reclaimed on contributions, plus, if you have unused annual allowance for the previous three tax years you may be able to carry it forward and add it to your current allowance
  • Lump sum cash: 25% tax free lump sum cash can be drawn from the SIPP from the age of 55 years
  • Investment options: SIPPs can be used to access to a broad range of securities and investments across the market, and because we have relationships with a number of providers we can help select the SIPP that best suits your needs
  • Value for money: Make your investment go further, and benefit from competitive fees with no annual charge
  • Tailored service: Your investments can be tailored to fit your specific objectives, attitude to risk and time horizon.

Is it right for you?

Experience level

All. Dependent on what services you opt to use within your SIPP.

Minimum investment


Who can open an account?

Private investors resident in the UK.

Tax efficient?

Yes. Basic rate tax can be reclaimed on contributions and 25% tax free lump sum cash can be drawn from the SIPP from the age of 55 years

What account should I open?

Apply for our SIPP account through the Lifetime SIPP Company by clicking the link below

Apply for a SIPP account>

Need help with this service?

+44 (0)207 186 9960