The United States is the latest country to fall foul of Qualifying Recognised Overseas Pension Scheme (QROPS) rules.
The USA has never had an easy relationship with QROPS offshore pensions due to anomalies between American and British trust and pension laws.
The different approach to handling tax and trusts in both countries has meant that the QROPS industry has never taken off despite several attempts by providers to launch products that served both markets.
The highest number of QROPS based in the USA was just 16 pensions for a few weeks in August 2008.
When QROPS last underwent an HMRC crackdown in June 2015, 13 pensions were delisted, leaving 2. Since October 2016, the USA has listed a single QROPS.
28 new QROPS open
The latest QROPS List shows 1,308 pensions listed in 38 countries worldwide – 28 more pensions than the last list posted two weeks ago.
A year ago, 1,023 QROPS pensions were listed across 41 countries.
Besides the USA delisted QROPS, two were removed in Ireland as well.
New QROPS were posted in Australia (26); Germany (1); the Isle of Man (2); Jersey (1) and New Zealand (1).
The list highlights international pensions self-certifying that they meet QROPS qualification rules.
Transferring pension cash to an offshore scheme not on the list can result in financial penalties.
The latest HMRC statistics show that 108,000 savers have switched £8.8 billion of UK pension cash into QROPS since the scheme was started in April 2006.
The next QROPS list is due on March 15, 2017.
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QROPS List By Financial Jurisdiction
|Country||No of QROPS|
|Isle of Man||250|
The table shows the net number of schemes, accounting for new listings and removals since the publication of the last list.