Well it finally came to pass after much hand wringing among the ‘experts’. New UK rules will apply to QROPS from April this year. Some details are still required from HMRC, and these are promised, hopefully in good time for April. Jurisdictions are looking at their own arrangements to ensure compliance and information/confirmation is still needed. But generally speaking, the new rules can probably be applied now in Gibraltar and (whisper it) New Zealand. Malta’s rules have just been amended to allow 100% withdrawal. So changes are happening on an ongoing basis. Watch this space.
Jersey has thrown its cap into the ring too from this month. See below for some details.
There is some debate as to the impact of the UK changes on the QROPS market. It is impossible to generalise as many cases are unique, however if it stops the migration of small funds abroad, which has represented a depressingly large proportion of the total volume of QROPS transfers, then so much the better. In addition we are being made aware of a volume of QROPS transfers for UK residents, linked to the sort of unregulated investment that UK SIPP Providers have now banned. Possibly this will be the next ‘QROPS scandal’. Again watch this space.
We are a multi-jurisdictional QROPS/QNUPS consultant with UK based staff, and as such we have played no part in writing these articles, nor do we endorse them. They are purely included as they might interest people.