UK PENSION TRANSFER
Qualifying Recognised Overseas Pension Schemes (QROPS)
Recent UK Pension legislation means that those who have contributed to a UK pension fund can now transfer their pension overseas and benefit from all the advantages that Overseas Pension Schemes offer.
Under UK law, Her Majesty's Revenue and Customs (HMRC) permit those with UK pension rights, regardless of nationality, to transfer their UK retirement fund to an Overseas Pension Scheme.
In order to be eligible for such a transfer the Overseas Pension Scheme must be recognised by the UK Government as an approved arrangement. These approved arrangements are known as Qualifying Recognised Overseas Pension Schemes or ‘QROPS’. Platinum Financial Services offer a range of Government approved QROPs.
Why transfer to QROPs?
When you reach retirement age in the UK, the Government forces you to take an annuity, which pays you an income until you die. This is transferred to your partner at a maximum 50% pension and ultimately your siblings could receive nothing due to inheritance tax.
When transferring your pension to QROPs you remove the liability as described above. With QROPs not only can you enjoy 100% ownership and control but you are not obliged to take an annuity and your pension grows tax free without incurring any IHT - allowing you to maximise your assets, enjoy your retirement and pass on your wealth to the next generation.
QROPs have been designed with expatriates in mind and offer a range of currencies and investment allocation options.
Who can apply for QROPs?
Anybody who has contributed to a UK pension scheme is eligible, irrespective of their nationality. However, there are certain limitations and conditions which apply. To find out how you can benefit, please click here.