Bitcoin in a SIPP or ISA

SIPP and SSAS (member-directed registered pension schemes)

What is allowed: The government allowed cryptoasset exchange traded notes (cETNs) to be held in registered pension schemes from 8 October 2025, when the FCA opened them to retail investors. Intangible assets are not tangible moveable property. The HMRC guidance opened does not deal with bitcoin held directly by a pension scheme.

Tax: Income from registered pension scheme investments is exempt from income tax, and gains are exempt from capital gains tax. If an investment-regulated scheme acquires taxable property, the cost is an unauthorised payment to the member. HMRC lists a 40% unauthorised payments charge, a possible 15% surcharge, and a scheme sanction charge on the administrator; there is also an annual charge based on the higher of actual income or 10% of the asset's deemed value, charged at 40%.

Stocks and shares ISA (and Innovative Finance ISA)

What is allowed: Directly held crypto is not a qualifying ISA investment. Crypto ETNs were eligible for stocks and shares ISAs from 8 October 2025. From 6 April 2026 they cannot be bought into a stocks and shares ISA and are qualifying investments for the Innovative Finance ISA instead. HMRC's ISA manager guidance says cETNs already held in a stocks and shares ISA immediately before 6 April 2026 stay qualifying while they remain in that account.

Tax: No tax on interest, income or capital gains from investments in an ISA, and these do not need to be declared on a tax return. The annual allowance is £20,000 across all ISAs (tax year 6 April to 5 April).

Watch out for:

• Since 6 April 2026, new purchases of crypto ETNs inside a stocks and shares ISA are not allowed; the IFISA is the route, and an ISA manager needs HMRC approval to offer them there.
• The October 2025 policy paper said existing cETNs would become IFISA investments, while the April 2026 ISA manager guidance says they stay qualifying in the stocks and shares ISA; the later guidance is the one in force.