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Your drawdown pension

Managing your account

As a drawdown investor you need to regularly review your investment performance, and make sure your income and savings goals continue to be met. You should review your drawdown pension at least once a year, or whenever your circumstances change.

Here you’ll find a range of useful information and easy-to-use tools to help you manage your drawdown account with confidence. You can also view our charges online anytime (remember to check investment factsheets for individual investment charges).

How to move more money into drawdown

Only money from an HL SIPP can be moved into your HL Drawdown account. If the amount you want to move into your drawdown account is already held in an HL SIPP, in most cases, you can log in and apply online. If you’re unable to apply online or would simply prefer not to, you can also request a postal application. Just make sure you understand the risks and benefits first.


  • You’re in control of your income - you choose how much income to take, and when to take it.
  • Your money has the chance to grow - as your pension remains invested there’s the potential for it to continue growing, which can help beat inflation.
  • Pass on money tax efficiently - any money left over when you die can be passed on to your loved ones - sometimes even completely tax free.


  • There are no guarantees - your pension could run out if you withdraw too much too soon, or your investments don’t perform.
  • Your income could go up and down - as your money remains invested, fluctuating markets may mean you get less income, or it could stop completely.
  • You could get back less than you put in - all investments rise as well as fall in value, so you may get less than you originally invested.

If you’re in capped drawdown, you need to contact us directly.

Apply for drawdown

Transferring from another provider

If the money you want to move into drawdown is held with another provider, you’ll need to transfer to the HL SIPP first. Once the transfer’s complete you can then apply to move that money into drawdown. Before transferring, check for exit fees and that you won't lose any valuable guarantees or benefits.

How to transfer

Popular questions asked by drawdown investors




Income payment calendar

If you want to make a withdrawal, remember to let us know before the 17th of the month in which you want the payment. You’ll also need to make sure you have enough cash to cover it.

If you need to sell investments to meet an income payment, remember to consider the time it’ll take for the sale to complete and cash to become available (including trade and settlement periods which can change).

View the income payment calendar

Tools to help you plan

Guide to investing in drawdown

Strategies for growth and income

Emergency tax calculator

Calculate how much tax might be deducted when you first take a payment from drawdown.

Use the calculator

Income Tax calculator

Find out how much income tax you might pay if you take a lump sum from your drawdown pension.

Use the calculator

How to review a drawdown pension

Tips for staying on top of your investments and on track to meet your goals.

7 Point Plan

Investment research

Investment strategies

Learn about different strategies for investing a drawdown plan, plus fund ideas for income.

Find out more

Fund research

Stay up to date with the latest fund research provided by our team of experts.

View our fund research

Share research

Learn more about shares, including recent news articles and opinion.

View our share research



A flexible way to access your pension

Apply Now Use our drawdown calculator

What is drawdown?

Drawdown is one of the most flexible ways to access your pension, available from age 55. You can usually take up to 25% as a tax-free cash lump sum and keep the rest invested for later. You’re in control of how much income you take (which is taxable), and can make withdrawals whenever you want to.

You have the freedom to choose your own investments, and if they perform well you could receive a growing income throughout retirement. Any money left over when you die can be passed on to your loved ones, often tax free.

Tax rules can change, and the benefits will depend on your own circumstances.

More on how drawdown works

Up to 25% tax free cash

What are the risks?

Compared with other options like an annuity, which provides a guaranteed income for life, there’s more risk with drawdown.

Investments can fall and rise in value, so your income won’t be secure, and you might get back less than you originally invested.

You'll need to think carefully about the income you’ll need when you’re older. You could run out of money if your investments don’t perform as you’d hoped or you take too much income too soon.

These risks mean drawdown won’t be right for everyone, and you'll need to regularly review where you're invested and how much income you're taking.

More on the risks and benefits

Drawdown charges

Drawdown is free to set up. And you can start, stop or change your income withdrawals whenever you want, free of charge.

Our yearly charge for holding investments is never more than 0.45%. Some investments will have their own annual charges, so please check these first before you invest.

It’s free to buy and sell funds. Other dealing charges depend on the type of investment and how often you trade.

View drawdown charges

Apply for drawdown with HL

Drawdown is available through our Self-Invested Personal Pension (SIPP). You can view our charges here.

How to apply

You should understand the risks and benefits of drawdown before you start, and our drawdown calculator can help to make sure it's right for you.

When you're ready, you can choose how you want to apply

Apply for drawdown

Already in drawdown and looking for a better service?

Before transferring please check you won't lose valuable guarantees or need to pay high exit fees. If you choose to transfer your investments as they are, you won't be able to make any changes whilst the transfer goes through. If you transfer as cash you'll miss any market rises, but you won't be affected by any market falls either.

Find out more about transferring

Request a transfer pack

Why choose drawdown with HL?

  • We’re award-winning
    We've won over 190 awards, including Best Buy Pension 2021 from the Boring Money Awards.
  • Help choosing investments
    With the latest news and insight from our team of experts.
  • Manage your pension with ease
    24/7 access online and with the HL app.
  • Trusted by over one million clients
    We're a financially secure FTSE 100 Company, regulated by the FCA.
  • Support on hand
    Manage the account yourself or take personal advice if you need it.

Your essential drawdown guide

Read our drawdown guide to find out more about how it compares to other retirement options, what investment strategies to consider and how to get started.