Personal pension schemes

Guernsey providers offer a number of personal pension schemes. These investment vehicles have the primary purpose of providing a capital sum on retirement and/or an income during retirement.

Qualifying Non-UK Pension Schemes

A Qualifying Non-UK Pension Scheme (QNUPS) is an overseas pension scheme in which cash not eligible for UK tax relief can be contributed.

As QNUPS are not UK registered pension schemes, different rules apply regarding the investments held within the fund and the terms of the drawdown. They provide a flexible pension structure that can supplement existing pension arrangements.

A Guernsey QNUPS offers the following advantages:

• Assets are not subject to the pension lifetime allowance nor the annual allowance limits in the UK
• Assets of the plan roll up gross, and are outside the scope of UK Inheritance Tax whilst offering succession planning opportunities
• Plan benefits are paid gross to members and are not liable to Guernsey tax, unless payable to a resident of Guernsey
• Greater investment freedom
• No requirement to buy an annuity

QNUPS were introduced by Her Majesty’s Revenue & Customs in 2010 and Guernsey established itself as a centre of excellence in QNUPS shortly after.

International savings plans

It is also possible for individuals to establish an international savings plan (ISP) as a short or long-term savings vehicle with the objective of offering an efficient savings facility, rather than a retirement facility.

The rules of an ISP created in Guernsey can be highly flexible and tailored to the needs of the individual.

Our international pension and savings plan brochure goes into further detail on Guernsey's expertise in this area.