See how much fees really cost your pension
The difference between 0.2% and 0.7% in annual fees can cost you tens of thousands over your career. Enter your details to see exactly how each provider stacks up.
A pension provider comparison calculator takes your pension pot size, monthly contributions and years to retirement, then projects your final pot under each provider's fee structure. It accounts for platform fees, fund management charges (OCF), contribution charges and fee caps to show the true cost difference between providers over time.
For most people, Vanguard or InvestEngine offer the lowest total fees. Vanguard's platform fee is capped at £375/year, making it especially competitive for larger pots. InvestEngine has no platform fee at all — you only pay the underlying ETF charges (e.g. 0.12% for a global tracker). The cheapest option depends on your pot size and contribution level.
On a £100,000 pot with £500/month contributions at 5% growth, the difference between the cheapest and most expensive provider can exceed £40,000 over 30 years. Even a 0.5% difference in annual fees compounds dramatically over decades.
NEST charges 1.8% on every new contribution, in addition to its 0.3% annual management charge. This means for every £100 you contribute, only £98.20 is actually invested. Over a career, this contribution charge can cost thousands in lost growth.
Vanguard is one of the cheapest, especially for pots above £250,000 where the £375 platform fee cap kicks in. For smaller pots, InvestEngine or PensionBee's Tracker plan may be competitive. Vanguard only offers its own funds, which limits choice but keeps costs very low.
If you're paying more than 0.5% in total annual fees, it's worth comparing alternatives. Check for exit fees on older pensions, make sure you won't lose guaranteed benefits (like guaranteed annuity rates), and only transfer workplace pensions from previous employers — never from your current employer, as you'd lose employer contributions.
For large pots, providers with fee caps or flat fees win. Vanguard caps its platform fee at £375/year, so a £500,000 pot costs the same as a £250,000 pot. Interactive Investor charges a flat £12.99/month regardless of pot size. By contrast, percentage-based providers like Hargreaves Lansdown charge £2,250/year on a £500,000 pot. Use the calculator above to see the exact difference for your pot size.
Look at three types of fee: platform fee (charged by the provider for hosting your pension), fund management fee (charged by the fund manager), and any contribution charges (like NEST's 1.8%). Add them together for the true annual cost. Some providers bundle these into a single all-in fee.
Our pension provider comparison calculator models the real cost of each UK provider's fee structure on your retirement pot. Enter your current pot size, monthly contributions and years to retirement, and the calculator projects your final pot under each provider — accounting for platform fees, fund management charges, contribution levies and fee caps. Results are ranked cheapest to most expensive so you can see at a glance which provider saves you the most.
Pension fees might look small as percentages, but their impact compounds over decades. A 0.5% difference in annual fees on a £200,000 pension over 20 years can cost you more than £25,000 — money that should be growing in your retirement pot.
Most pension providers charge two or three separate fees. Platform fees cover the cost of administering your account and providing online access. Fund management fees (also called the Ongoing Charge Figure or OCF) are charged by the fund manager for running the investment. Some providers, like NEST, also charge a contribution charge — a percentage taken from every new contribution before it's invested.
Vanguard's £375 annual platform fee cap is one of the most significant cost advantages in UK pensions. Once your pot exceeds roughly £250,000, you're effectively paying less than 0.15% — and the percentage drops further as your pot grows. Percentage-based providers like Hargreaves Lansdown continue to take 0.45% regardless of pot size, which on a £500,000 pot means £2,250 per year in platform fees alone.
NEST's 0.3% annual management charge looks competitive, but its 1.8% contribution charge is often overlooked. On £500 monthly contributions, that's £108 per year taken before your money is even invested — and you lose the growth that money would have generated. For employees auto-enrolled into NEST, it's worth considering a transfer to a lower-cost SIPP once you leave that employer.
Not all fees are wasted. Hargreaves Lansdown charges more but offers 3,000+ funds, extensive research tools, and a polished app. If you want to invest in specific active funds, sector ETFs, or individual shares within your SIPP, the flexibility may justify the cost. For most people investing in index trackers, though, a low-cost provider delivers the same outcome for less.
Fee data is indicative and based on typical fund choices as of March 2026. Actual fees vary by fund selection and account size. This tool is for educational purposes only. For personalised guidance, consult an FCA-regulated financial adviser.