SIPPs and SSASs

NS&I savings give financial advisers reliable options to improve security, liquidity and returns in Self-Invested Personal Pensions (SIPPs) and Small Self-Administered Schemes (SSASs). By matching products to clients’ needs and ensuring proper administration, you can provide clients with peace of mind and strong financial management.

SIPP and SSAS schemes that allow investment into NS&I products are known as ‘permitted investments’ held by the scheme trustee.

NS&I products suitable for SIPP or SSAS

Not all our product range can be held in these schemes.

Our savings products that can be held in SIPPs or SSASs include:

• Guaranteed Growth Bonds
• Guaranteed Growth Bonds
• Income Bonds
• Fixed Interest Savings Certificates
• Index-linked Savings Certificates

Please note that some products, such as Savings Certificates and Guaranteed Bonds, are not always on general sale.

As we're backed by HM Treasury, the security of your client's investment capital is guaranteed.

Please check that the SIPP or SSAS provider will accept NS&I savings before recommending them to your clients, and that the investment will not be subject to tax penalties on any gains.

Our products in SIPPs

Self-Invested Personal Pensions (SIPPs) offer flexibility in pension investment choices.

NS&I products can be suitable holdings within a SIPP, subject to the scheme’s rules and HMRC regulations. Key considerations for advisers include:

• Low-risk investment: NS&I’s government guarantee aligns with the risk management requirements of many pension savers.
• Liquidity: Products such as Income Bonds allow easy access, which can be useful for SIPP cash management and benefit payments.
• Diversification: Including NS&I products alongside equities, bonds, and property can help diversify the SIPP portfolio and smooth volatility.
• Tax efficiency: Interest in a SIPP is generally tax-free at the time of being earned, enhancing the appeal of NS&I’s interest-bearing products.

You should confirm that the chosen SIPP provider permits our products and consider the administrative process for holding such assets within the pension wrapper.

When investing via a SIPP, NS&I products that are not realisable within 30 days may not be accepted by the SIPP provider or may incur additional fees. 

Your client will need to apply via the Trust Application form (paper form only currently) for NS&I savings to be held in their SIPP. You can find the relevant trust forms on our Resources page.

Classification of assets in SIPPs

The FCA regulations governing SIPPs classify investment assets as either ‘standard’ or ‘non-standard’. A standard asset must be capable of being accurately and fairly valued on an ongoing basis and readily realised within 30 days, whenever required. Any asset not meeting the criteria is classed as non-standard.

This means our Income Bonds, as an easy access product, would be categorised as a standard asset. However, products that cannot be valued or realised within 30 days, would be classified as non-standard assets.  
 

Our products in SSASs

Small Self-Administered Schemes (SSASs) are often used by company directors and business owners for flexible pension planning. NS&I products can be an effective option within SSASs for several reasons:

• Security for Pension Assets: The government guarantee supports prudent management of scheme funds.
• Cash Management: NS&I’s instant-access accounts can facilitate SSAS liquidity, enabling easy benefit payments and administrative transactions.
• Compliance: Some NS&I products are recognised as permitted investments for SSASs, helping trustees meet regulatory requirements.
• Competitive Returns: NS&I’s rates are often favourable compared to commercial banks, enhancing scheme performance.

As with SIPPs, it’s vital to check the SSAS trust deed and scheme rules regarding permitted investments and to ensure that NS&I product terms align with the scheme’s needs.