The Qualifying Non-UK Overseas Pensions Scheme is the second co-branded QNUPS from Skandia in short succession, with the company having launched the Aurora Quantum QNUPS with Concept Group earlier this month. The product was the second co-branded international pension product Skandia and Concept have launched, the first being a QROPS in March 2010.
Skandia said the new product, called QNUPS One, would be most attractive to people domiciled in the UK who are saving for retirement, are UK residents and who have already utilised their maximum income tax relievable pension contributions or are at risk of breaching the lifetime limit.
The QNUPS One arrangement charges a one-off initial fee of £975 plus an ongoing annual fee of £975. Additional transfers are subject to £150 one-off charges and a £1,000 fee is charged on exit.
Rachael Griffin, head of product law & commercial development at Skandia International said: “Due to the nature of changes introduced to the Pension regime in the UK such as the limits imposed on the annual allowance eligible for tax relief and the forthcoming reduction in the Lifetime Allowance from £1.8m to £1.5m on 6th April 2012, it is not surprising that investors are seeking alternative tax efficient solutions to fund their retirement provisions.
“QNUPS One can be successfully utilised to overcome these concerns, as the scheme allows uncapped contributions, the use of an offshore bond wrapper providing a CGT friendly environment and most crucially, the arrangement is exempt from UK Inheritance Tax.”
