Qualifying Recognised Overseas Pension Schemes

QROPS are pension schemes that are set up outside the UK, with many residing in low tax jurisdictions or in countries that have more generous tax-free lump sum rules, and/or no ultimate requirement to use a pension fund to buy an annuity.

A major benefit of this is that it can provide the opportunity for those eligible to transfer to a QROPS and therefore able to leave any remaining pension funds to their heirs. UK expatriates around the world and foreign workers who have spent part of their career in the UK and have accumulated UK-registered pension benefits may benefit greatly from QROPS.

QROPS satisfies criteria set down by the UK HM Revenue & Customs (HMRC) in relation to what benefits can be taken and when. The scheme as mentioned must be outside the UK and the QROPS provider must agree to certain reporting requirements where a payment is made within five years of the member ceasing to be considered a UK tax resident.

QROPS also provides an international pension solution for clients who have retired abroad, and gives clients the opportunity to review their UK pension arrangements as part of their lifestyle financial planning.

With the benefits of the ability to leave remaining pension funds to heirs, no requirement for annuity purchase, significant tax advantages and greater investment choice mean you really should talk to one of our advisers now.

QROPS is for the discerning investor who wants a safe, tax efficient home for their pension funds.

SWIM have specialists around the world that provide advice on QROPS and ROPS.