As anyone looking into QROPS (Qualifying Recognized Overseas Pension Schemes) would be aware, there are in excess of 100 QROPS in Jersey. These QROPS are not open to non-residents of Jersey. However, this situation could be about to change at some point in the next 2 years.
Current legislation in Jersey allows only residents to be members of their pension schemes. Jersey officials are now looking at this law with the view of making their pension schemes (that have been approved as QROPS by HMRC) available in the international market.
There may well be a way to go before the first UK pension transfer can go into a Jersey QROPS for a UK expat pension member that is not resident of Jersey. Aside from Jersey pension legislation being re-drafted and accepted in to the island’s law, the UK’s HMRC (Her Majesty’s Revenue and Customs) will have to be satisfied that any potential change in the Jersey pension laws does not interfere with their conditions of the schemes prior approval.
It was originally understood that the option for a non–Jersey resident to transfer a UK pension to a Jersey QROPS would be available from January 2011. Given the work that has to go in to satisfying both the Jersey authorities and the UK’s HMRC, the first Jersey QROPS, for non Jersey residents, will not be available until sometime after that date.
For more information about QROPS, please speak to an adviser at Global QROPS Ltd.
