Compare long-term savings

Here are ways you can save for the long term. Compare which ones could work best for you.

Pension Stocks & Shares ISAs Lifetime ISAs Property
Is it hassle-free to set up and manage?
Yes
Unless you want to manage the funds you invest in.
Yes
Unless you want to manage the funds you invest in.
Yes
Unless you want to manage the funds you invest in.
No
You will need to find a property, arrange a mortgage and choose a solicitor.
Is your investment guaranteed?
No
As this uses investments, the value is not guaranteed.
No
As this uses investments, the value is not guaranteed.
No
Even cash is not guaranteed.
No
Property values can fall. You may only be able to sell your property for less than you bought it.
Is this free of charge?
No
You will pay a yearly management charge. Other charges may apply.
No
You will pay a yearly management charge and ongoing fund charges.
No
You will pay a yearly management charge and ongoing fund charges. There is also a charge if you take money out before you reach 60, but don’t use it as a deposit for a property.
No
When you set up a mortgage, you will have to pay an arrangement fee, stamp duty, valuation and legal fees. Some mortgage providers can offer deals on these. So it pays to shop around.
How much can you pay in?
£40,000
The maximum you can normally pay in for tax year 2017/2018.
£20,000
The maximum you can pay in for tax year 2017/2018 (across all types of ISAs).
£20,000
The maximum you can pay in for tax year 2017/2018 (across all types of ISAs).
No limits
Depends on your mortgage agreement.
Can other individuals pay money in on your behalf and can you benefit from tax relief?
Yes
If you’re paying into a company pension, your employer may also pay in as well.
No
No
No
Can you get tax relief on your payments?
Yes
No
No
No
Can you take your money when you like?
No
Usually not until 55.
Yes
No
Either to purchase your first property or when you are 60.
Yes
Although you may not be able to sell it quickly.
Is all the money you take from it tax-free?
No
Normally only 25% of your pension pot can be taken tax-free. The rest is subject to tax.
Yes
Yes
No
Make the most of tomorrow, today. Speak to a mortgage adviser

Important information

All the long-term saving options involve investments. All investments involve risk. You may get back less than you put in.

The tax depends on your circumstances. Your circumstances and tax rules may change in the future.

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