You may decide to retain your SIPP funds in whole or in part in cash, in which case the funds will remain in your SIPP's Bank of Scotland account earning interest.

Interest is calculated gross, on a daily basis and is credited to your account monthly. The rates of interest are based on the Bank of Scotland base rate, which in turn generally mirror the Bank of England base rate and are paid on the whole balance, not just the part above the threshold. 

Where the rate of interest earned by your SIPP's bank account is less than the rate Bank of Scotland pay us across all the accounts we have with them, we will keep the difference.

Please note that provided Bank of Scotland base rate does not fall below zero, the SIPP bank accounts will receive the higher of:

• the above rates; or
• zero

Due to recent market activity and sentiment, we have published a reminder of the relationship between the FSCS and Bank of Scotland accounts held within SIPPs at Suffolk Life.

Alternatively, where a deposit taker permits corporate or trustee accounts, depending on the type of benefits, you may wish to open a fixed term, fixed rate deposit account to earn a guaranteed rate of interest over a longer term. For the account to be acceptable, it must contain a clause in the contract confirming that the term can be broken where the term is more than 12 months.

To provide our SIPP investors with a facility to invest their cash in banks other than Bank of Scotland (part of the Lloyds Banking Group), Suffolk Life have established alternative instant access bank accounts with the Clydesdale Bank (Clydesdale), Royal Bank of Scotland (RBS), Barclays Bank (Barclays) and HSBC.

Details of the terms and conditions, interest rates and charges for these accounts are available on our fact sheet.