NEST (National Employment Savings Trust)
The UK government-backed pension scheme created in 2012 as the default for auto-enrolment. The largest workplace pension scheme by membership.
NEST was set up to ensure every employer could offer a qualifying pension scheme, even if they couldn't or didn't want to choose their own provider. It has a unique two-part fee structure: 0.3% AMC (competitive) plus a 1.8% contribution charge on every contribution (unusual — most providers don't charge on contributions).
The 1.8% charge was introduced to repay a £620 million government setup loan. NEST has stated it intends to remove it once the loan is repaid. For most accumulating savers, transferring the NEST balance to a low-cost SIPP after leaving an employer saves money — the transfer is free and only takes 4-6 weeks.
This calculator provides estimates based on 2025/26 tax rates and is not financial advice. Scottish taxpayers are subject to different income tax rates and bands. The calculations assume your salary is your only source of income and do not account for benefits in kind or other taxable income.
For personalised guidance on your pension contributions, speak to an FCA-regulated financial adviser. You can find one via Unbiased or VouchedFor.