Quick Answer
The Pension GapUnlike employed workers who benefit from auto-enrolment, self-employed people in the UK must arrange their own pension. Only 16% of self-employed workers are saving into a pension — a worrying statistic.Your OptionsPersonal Pension (SIPP): The most flexible optio...
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- Last Updated:
- 26 Oct 2026
- Category:
- Money Tips
- Reading Time:
- 1 min read
The Pension Gap
Unlike employed workers who benefit from auto-enrolment, self-employed people in the UK must arrange their own pension. Only 16% of self-employed workers are saving into a pension — a worrying statistic.
Your Options
- Personal Pension (SIPP): The most flexible option. You choose your investments and get tax relief at your marginal rate.
- Stakeholder Pension: A simpler, lower-cost option with capped charges.
- NEST: The government-backed scheme. Low fees but limited investment choices.
Tax Benefits
Every £80 you contribute is topped up to £100 by the government (basic rate relief). Higher-rate taxpayers can claim additional relief through their tax return.