UK Pension Transfers

Pension planning can feel daunting — the terminology, the rules, and the unknowns often lead people to postpone it. Yet understanding where you stand today is the first step toward securing your future.

My Pension Health check and Review Service helps you answer key questions:

• What pension entitlements do I currently have?
• How much will I need to retire comfortably?
• What is my retirement timeline?
• What income or capital will I require?
• Should property or inheritance form part of my plan?

This service includes:

• A detailed, personalised pension review
• A historic pension rights search
• An assessment of UK state pension entitlements

Pension planning is complex, but it doesn’t need to be overwhelming. I’m here to help you take a clear, informed look at your retirement options — and make confident decisions about your financial future.

Pension Health Check & Review Service

Initial discussion – A detailed fact-find to understand your goals and current pension position.

Letters of Authority (LOA) – These allow pension administrators to release details about your entitlements and transfer values.

Analysis – I review all information to determine whether transferring is appropriate and what the best options may be.

Recommendation – Based on your situation, I prepare a written suitability report, signed off by a UK-regulated pension specialist where required.

Paperwork – Once approved, all documentation is arranged to:

• Instruct the transfer from existing trustees
• Ensure HMRC reporting compliance
• Establish the new QROPS trust
• Implement the investment strategy

Delivery of documentation – All records and trust details are securely provided.

Ongoing service – Continued monitoring, reporting, and liaison with trustees where required.
Some decisions in this process are permanent, while others can be adjusted later — such as changing trustees or investment strategies.

The Process of Establishing a QROPS

Because many of my clients live and work overseas, I focus primarily on the benefits of QROPS. Here are some of the most notable advantages:

• Estate planning flexibility – A QROPS is held in trust, allowing you to name beneficiaries such as your spouse and dependants. This ensures that your pension can continue to provide for your family after your death.

• Inheritance tax advantages – The trust structure can offer valuable inheritance tax benefits for your estate.

• Tax-free lump sum – A substantial initial lump sum can be withdrawn when you begin retirement, offering flexibility during the transition.

• Protection from lifetime allowance changes – Transferring at the right time may shelter larger pension pots from future taxation.

• Potential income tax benefits – Income is taxed in the country where the QROPS is domiciled, which can be advantageous depending on your residency.

• Investment freedom – You have greater control over where and how your pension is invested. While this offers opportunity, it also carries risk, which is why a balanced, professionally managed strategy is essential.

• Consolidation of multiple pensions – Many professionals accumulate pension rights from multiple employers. Consolidating them through a QROPS simplifies management and ensures clarity for your beneficiaries.

• Enhanced spouse’s pension – In many cases, your spouse can continue to receive the full pension income after your death, rather than a reduced percentage as with many UK schemes.

• Favourable tax treatment on death – After a QROPS has been established for several years, its assets may fall outside the scope of UK taxation, potentially protecting your estate from additional charges.

Key Benefits of QROPS

1. QROPS — Qualifying Recognised Overseas Pension Schemes

Since their introduction in 2006, QROPS have become a valuable planning tool for anyone with accrued UK pension rights who intends to live abroad long term. When used appropriately, a QROPS can offer several advantages for international investors.

You can learn more about QROPS on the UK Government website.

2. SIPPs — Self-Invested Personal Pensions

A SIPP is a UK-based pension scheme approved by HMRC that allows access to a wide range of investment options, including cash, bonds, shares, and managed funds.

Typically, a SIPP is best suited to those who plan to remain in the UK, while a QROPS is often better for those who will live abroad. As always, specific advice should be sought before making any decisions.

The Two Main Types of UK Pension Transfers

If you’ve ever contributed to a UK pension scheme, you may have the right to transfer your pension benefits into a private pension held in trust, with you and your dependants as beneficiaries. This right is not limited to British citizens — it applies to anyone who has built up pension rights in the UK, including foreign nationals who have worked there.
Before considering any transfer, I strongly advise taking detailed, expert guidance. Even if you’re unsure whether you have pension rights in the UK, or whether transferring is an option, it’s worth having it reviewed.

HMRC often requires that any recommendation to transfer be assessed and signed off by a UK-regulated adviser. I fully support this, and I work directly with reputable, UK-regulated specialists to ensure that all advice is compliant and in your best interest.

Getting the Most Out of Your UK Pension

In the March 2017 UK Budget, the Chancellor of the Exchequer announced a 25% tax charge on certain overseas pension transfers.

This change added yet another layer of complexity to an already intricate area of financial planning. UK pension legislation has evolved rapidly, and it’s crucial to have advice that’s both professional and up to date.