The leading Qualifying Recognised Overseas Pension Scheme (QROPS) financial centres have a new rival making huge strides up the list of top providers.
Gibraltar now offers 40 QROPS pensions – with 20 opening in the past 12 months.
If providers keep opening new schemes at the same rate, Gibraltar should rank in the top 10 providers within the next 12 months.
Sitting behind Australia (231), Ireland (42) and Guernsey (27), Gibraltar is a surprise package in the offshore pensions market.
Tax spat
The financial centre was closed to new QROPS business for several years in a stand-off between the local government and HM Revenue & Customs (HMRC) over income tax paid on pension payments.
Once that spat was settled by a new Gibraltar government, providers started opening new schemes every month.
However, despite opening new QROPS, Gibraltar only has a 1.16% market share by number of QROPS and sits outside the top 10, who have grabbed a 90% share of the market.
Other financial centres outside the big hitters in the Top 10 for opening QROPS in the past year are Malta (6), Austria (2) and Latvia (2).
HMRC publishes a QROPS List every two weeks – the next is expected on September 1, 2014.
| Count of QROPS pensions | ||
|---|---|---|
| Values | ||
| Jurisdiction | August 15, 2013 | August 15, 2014 |
| Australia | 1212 | 1443 |
| Ireland | 720 | 762 |
| Isle of Man | 224 | 224 |
| Switzerland | 138 | 138 |
| Jersey | 135 | 136 |
| Netherlands | 104 | 111 |
| Canada | 98 | 92 |
| Guernsey | 49 | 76 |
| New Zealand | 48 | 58 |
| Germany | 56 | 55 |
| Total: | 2784 | 3095 |
| Source: HMRC | ||
| Market share by number of QROPS | ||
| Jurisdiction | August 15, 2013 | August 15, 2014 |
| Australia | 39.00% | 41.92% |
| Ireland | 23.17% | 22.14% |
| Isle of Man | 7.21% | 6.51% |
| Switzerland | 4.44% | 4.01% |
| Jersey | 4.34% | 3.95% |
| Netherlands | 3.35% | 3.22% |
| Canada | 3.15% | 2.67% |
| Guernsey | 1.58% | 2.21% |
| New Zealand | 1.54% | 1.69% |
| Germany | 1.80% | 1.60% |
| Grand Total | 89.58% | 89.92% |
| Source: HMRC | ||
| Most QROPS added in a year | |
|---|---|
| Jurisdiction | Change since August 15, 2013 |
| Australia | 231 |
| Ireland | 42 |
| Guernsey | 27 |
| Gibraltar | 20 |
| New Zealand | 10 |
| Netherlands | 7 |
| Malta | 6 |
| Italy | 3 |
| Austria | 2 |
| Luxembourg | 2 |
| Latvia | 2 |
| Grand Total | 352 |
| Source: HMRC | |
| Most QROPS suspended in a year | |
| Jurisdiction | Change since August 15, 2013 |
| India | -7 |
| Canada | -6 |
| France | -2 |
| Barbados | -2 |
| Germany | -1 |
| Mauritius | -1 |
| Sweden | -1 |
| Czech Republic | -1 |
| Trinidad | -1 |
| Finland | -1 |
| USA | -1 |
| Grand Total | -24 |
| Source: HMRC | |
