A SIPP is an acronym for Self Invested Personal Pension

A SIPP  is not necessarily subject to  UK taxes during draw-down and is free from capital gains tax, it is also outside your estate for inheritance tax purposes. Depending on where you are living at the time of taking draw-down you may be able to take advantages of double taxation agreements between that country and the UK which may mean you will be subject to lower taxes.

Key Features of a SIPP

Income Drawdown – there is no requirement to purchase an annuity even at the age of 75. Income may be drawn down as the client wishes.


Retirement Age – this is normally 55, but there is flexibility in the case of ill health or at trustees’ discretion. Special provision can also be made for example with sports professionals such as footballers and boxers. 


Death Benefits – The client has complete control of their money and therefore complete control over choice of beneficiaries.

Currency Choice 

Hedge against fluctuations of the pound. 

The freedom that a SIPP provides means that the client has complete freedom on when and how to receive income. For instance a portion of the ‘pot’ may be used to purchase an annuity with appropriate benefits. The ideal strategy is to create a pot that can remain invested generating a yield that is sufficient for income purposes. On death, the pot remains intact and can be passed to any of your chosen beneficiaries. These can be anyone.