The QROPS list is published each month and contains the names of about 1,400 QROPS providers worldwide.
The HMRC disclaimer says:
“It [Inclusion on this list] is not to be taken as a recommendation for a particular scheme or product.
This list is based on information provided to HMRC by these schemes when applying to be a QROPS. As part of its application the scheme notifies HMRC that it fulfils the requirements for being a “recognised overseas pension scheme.
Publication on the list should not be seen as confirmation by HMRC that it has verified all the information supplied by the scheme in its application”
With the disclaimer, the taxman is explaining:
- QROPS providers self-certify they meet QROPS rules when applying to be listed
- No QROPS are recommended or endorsed by HMRC
The list is aimed at helping UK pension schemes confirm they are transferring pension money to a bona fide QROPS.
Before transferring any money, the UK pension scheme must confirm the QROPS scheme is on the latest HMRC QROPS list.
- If it is, the transfer can proceed.
- If not, the UK pension scheme has to get a letter from the QROPS provider confirming a check can be made with HMRC to find out whether the QROPS has told the taxman the scheme meets all the rules but prefers not to have their name published on the QROPS provider list.
HMRC will confirm the scheme is on the QROPS list but has ticked the ‘no publicity’ box in writing to the UK fund manager.
The UK pension scheme cannot make any QROPS transfer before making these checks, and if a transfer is released, the UK pension scheme may face HMRC penalties and so may the investor.
These penalties can add up to 55% of the transferred fund’s value, so it is important to work with an experienced QROPS adviser to make sure any switch to a QROPS is managed effectively.
Contact QROPS.net to speak to a specialist QROPS adviser.