QROPS are portable pensions only available to people who do not live in the UK but who did once and while they were in the country saved into a pension.
The pension saver’s nationality is irrelevant, so if you are an Australian who lived and worked in the UK but now live in Spain, you can transfer any frozen UK pension into a QROPS.
Likewise, if you are English and now live and work in Australia, you can move your pension into a QROPS.
The residence rule to watch is you cannot have a QROPS if you live in the UK.
But the beauty of QROPS is you do not have to move your money to a pension in the country where you live, but can pick from a menu of host financial centres.
Portable pensions that move with you
So both the Australian and English retirement savers mentioned above can transfer their pensions to a QROPS in Malta or Gibraltar.
If they move again, say the Australian returns home and the English expat decides to settle in Thailand, then the QROPS in Malta or Gibraltar is untouched.
This can save a significant amount of cash in transfer and early exit fees for retirement savers on the move.
QROPS pensions for expats in Thailand also show that moving just about anywhere is possible, even if the country where an expat settles does not have a provider.
The idea was started in the European Union by rules easing freedom of movement between member states. Politicians said if you moved countries, then you should take your pension to make accessing your cash in retirement simpler.
QROPS choices
The idea took hold and spread from Europe around the world.
Today 41 countries offer more than 1,100 QROPS pensions.
QROPS nearest equivalent for UK retirement savers are self-invested personal pensions (SIPPs).
A QROPS gives retirement savers absolute control over how and where their money is invested.
But they are not just for experienced investors.
The market is split and offers QROPS for funds under £100,000 and more sophisticated products for savers with significant pension savings.
Further QROPS Information and Guidance
For more information about QROPS and the benefits it provides, download the iExpats QROPS Guide or complete the Get Advice form.
