Qualifying Recognised Overseas Pension Scheme (QROPS)
Since 2006 it has been possible to transfer your UK Pension to a
You may well have seen or read articles and adverts on the subject,
as QROPS have become more prevalent especially here in Spain, with
numerous firms advertising.
There are lots of important points to consider with regards to all
aspects of financial planning, and QROPS is no different.
We believe that whilst QROPS may be suitable for any individual who
is either living or planning to retire abroad, they are not for
everyone. In order to qualify for QROPS status, schemes must be held
outside of the UK and also satisfy the requirements of the Her
Majesty’s Revenues and Customs (HMRC).
There are a number of jurisdictions that offer QROPS, each offering
slightly different options. For example, Malta offers the facility
to take income without any liability to local taxes in Malta, whilst
Gibraltar takes a tax charge of 2.5% of any income taken.
Great care should be taken when selecting the jurisdiction that will
hold your pension funds. Your individual requirements will be key to
the selection process.
Importantly, the legislation surrounding most QROPS jurisdictions
has the ability to change in line with UK legislation. This means
that as the UK introduces new and enhanced benefits to pension
options, these can be replicated in some jurisdictions. A prime
example of this is from January 2016, jurisdictions like Malta, now
allow full flexi- access which is in line with changes made to UK
Legislation in April 2015.
QROPS offer the following potential benefits for individuals
- Never need to purchase an annuity
Your pension fund can be passed onto your beneficiaries, rather
than an insurance company or the taxman
You can receive your income or lump sum in the currency of your
choice, thus eliminating currency fluctuations.
If you pass away after 5 years of non-UK residency, your entire
fund would pass to your beneficiaries free of any UK death taxes.
You have far greater flexibility and control over your investments
To find out more and to see whether QROPS is right for you, why not
contact us and we will carry out a full review of your existing
arrangements, allowing you to make a fully informed decision?
We are extremely proud to say that the vast majority of our
clients are referred to us either from existing satisfied
customers or through our network of tried and trusted
professionals. This reflects our ability to gain the trust of
our existing clients and our professional connections alike.
Logic Financial Consultants are proud to have established a
wonderful reputation for quality financial advice. This
website contains just a few of the many testimonials we have
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