Are you moving to Spain? Retiring in Spain?

Wondering how to transfer UK pension to Spain?

What is the solution?…

Understanding QROPS (Qualifying Recognised Overseas Pension Schemes)

If you have savings in an existing UK pension fund but are considering retiring in Spain or you have retired in Spain, you may be wondering just how easy it will be to access these funds. The dreams of a more relaxed lifestyle or the attraction of lower tax could soon fade if you have to work around pension rules more relevant to UK.

However, if you already live outside the UK, or you’re planning to move overseas shortly for a period of five years or more, you can use a QROPS to transfer your pension arrangements abroad. We explore the QROPS solution to transfer a UK pension to Spain.

What are the benefits of a QROPS?

Compared to general UK pension rules, a QROPS could offer you these advantages (subject to local pension rules):

• It could reduce the income tax payable on the income from your pension.
• If you die, your family will be able to inherit your pension benefits free of the lump sum death benefit charge. (55% Death Tax)
• A wider choice of investment opportunities – particularly useful if you want to invest in different assets and currencies depending where you plan to retire, rather than UK-biased choices. Pension income payments can be matched to the currency you are spending. Ideal for Euro (€) income withdrawals in Spain.
• QROP Investment Portfolio’s can be structured for capital growth or income generation – get your capital working harder for you
• In some cases, as little as 70% of your transferred fund must be used to provide you with an income for life.
• Consolidate various/several pension schemes into one manageable plan for easy management.

What you should consider before choosing a QROPS?

• Residency considerations – do you expect to return to the UK to retire or for long periods of time in the future? A SIPP maybe more suitable in this situation.
• Existing pension arrangements – is your current pension plans worth less than £75,000? Are you current pensions defined benefit schemes? Do your existing schemes include benefits such as spouse’s pension, life cover, competitive charges? Our team would assess any pension transfer in a feasibility study, helping you understand what your current scheme offers in details.

Harrison Brook helping you make the best choices:

This is a growing market, and new QROPS and providers are appearing regularly. Talk to a financial adviser to make sure you choose the most appropriate jurisdiction and QROPS provider for your needs. Additionally, if your retiring or retired in Spain a contract law based QROP will often be more tax efficient than a trust based QROP scheme. We are one of few advisory firms which can provide both options. Any QROP solution will also include different kinds of investments, it is crucial to speak to a financial adviser to match your investment portfolio to your risk profile and growth expectations.

Why choose Harrison Brook for your pension transfer?

• We offer discounted QROP fee structures through our online advice system – we pass the savings onto you
• ‘Trust’ based or ‘Contract’ law QROP structures available to maximise your tax efficiency in Spain
• Face to face advice in Spain can also be provided
• SIPP advice available if your intention is to return to the UK
• UK regulated adviser
• Ongoing advice and management
• No restrictions on client location
• Access to institutional high rate deposit accounts and structured fixed return products
• Access to funds that have been handpicked by investment specialists in model portfolios which can be structured for capital growth, income generation or both
• View our client testimonials

Harrison Brook is your perfect partner to understand what is best for your current situation:

Harrison Brook is one of very few financial advisory firms which can cater for regulated pension transfer cross border advice in the UK and Spain. Allowing us to cater for QROP and SIPP transfers depending on a clients retirement intentions. Simply ‘Get Started‘, speak to an adviser today for free, no obligation, financial analysis and information tailored for your situation.