If you are not UK resident but have UK pension rights you may be liable for UK tax charges in certain circumstances.
For example, payments made from UK pension schemes on death may be subject to additional income taxes in the UK. If, however, your pension has been transferred into a QROPS and you are non resident this charge would not apply.
In Malta you can take your pension benefits of Lump Sum and Income at age 55. The benefits must be started by age 75.
You can decide to hold your pension in a different currency, perhaps your local currency, to avoid long term exchange rate risk. Most UK pensions will not permit this.
Your pension pot can grow without the constraints of the Lifetime Allowance.
You should always take advice from an appropriately qualified person before electing to transfer any pension benefits.
Why shouldn’t I leave my money where it is?
There are several reasons why people choose to move pensions to us. One is to consolidate multiple existing pension arrangements into one pot as that is easier to manage. Another reason might be to reduce overall charges. Another might be to gain a better control over the underlying investments to better suit attitude to risk. What is more, some people want to convert their pension from Pounds Sterling to a common currency – US Dollars or Euro for example, and keep their future retirement funds in their local currency.
For more on the process of applying please click here