Yes, transfers can be made from The People’s Pension to a Qualifying Recognised Overseas Pension Scheme (QROPS) at your request.
A 25% overseas transfer charge applies to certain transfers from a:
- registered pension scheme to a Qualifying Recognised Overseas Pension Scheme (QROPS)
- QROPS (or a former QROPS) to another QROPS.
The overseas transfer charge will be deducted from the transfer payment unless at least one of the following conditions apply:
- You’re a resident in the same country in which the QROPS receiving the transfer is based.
- You’re a resident of the UK, Gibraltar or a country in the European Economic Area (EEA), and the QROPS is based in Gibraltar or an EEA state.
- The QROPS is an occupational pension scheme provided by your employer.
- The QROPS is an overseas public service pension scheme and you’re an employee of the employer that participates in the scheme.
- The QROPS is set up by an international organisation, and you’re an employee of that international organisation.
You’ll need to think about your circumstances and the overseas scheme to which you are transferring so that you know if your transfer will lead to the overseas transfer charge.
There’s a list of pension schemes that have told HM Revenue & Customs (HMRC) that they meet the conditions to be a ROPS and have asked to be included on the list. This can be found on HMRC website.
The receiving scheme will need to confirm in their letter to us that they’re a Qualifying Recognised Overseas Pension Scheme (QROPS) and are permitted to accept a transfer of funds from a UK registered pension scheme. We’ll need a copy of the letter issued by HMRC confirming they’re a QROPS scheme.
It’s also an HMRC requirement that Form APSS263 is completed.