You've built a career in the UK, paid into a workplace pension or two, perhaps a personal pension as well — and now you're living in Zürich, Geneva, or somewhere across the Continent. The pension is still sitting back home, untouched, and you've a nagging question you've never quite had answered: what actually happens to it now I'm here? Can you still draw it? Will the UK tax it, will Switzerland tax it, or — the fear most people quietly carry — will both?
It's one of the most common questions I'm asked, and the honest answer is that very little happens automatically. Your pension doesn't vanish, freeze, or get penalised simply because you've moved. But the rules around how you access it, where it's taxed, and what your options are do change once you're no longer UK-resident. Let me walk you through it in plain English.
Does my UK pension still exist if I live abroad?
Yes. Moving overseas doesn't close your pension or affect the money in it. Your workplace and personal pensions stay invested exactly as they were, and you remain the owner. You can usually keep contributing in limited circumstances, though most expats find UK tax relief on new contributions falls away once they stop having UK earnings — so in practice the pot simply continues to grow (or fall) with the markets.
What changes is the practical side. Some UK providers are uncomfortable holding accounts for non-residents, particularly when it comes to paying out or giving advice across a border. You may find a provider won't let you change funds, or won't pay into a non-UK bank account, or won't deal with an overseas adviser. None of this puts your money at risk — but it can make the pension harder to manage from a distance, which is why so many expats end up with pensions they've effectively lost touch with.
Can I still take money out of my UK pension from abroad?
In most cases, yes. The current rules let you access a defined contribution pension from age 55, though this rises to 57 from 6 April 2028 — so if you're in your forties or early fifties now, plan around the later age (please check the current rules, as the government has confirmed this change but details can shift). You can normally take up to 25% as a tax-free lump sum under UK rules, with the rest taxed as income.
The wrinkle for expats is where that income is taxed. Just because the UK allows you to take the money doesn't mean the UK is the country that gets to tax it — and that's where the double-taxation treaty between the UK and your country of residence does the heavy lifting.
Will I be taxed twice — in the UK and in Switzerland?
This is the worry that keeps people up at night, and the good news is that double-taxation agreements exist precisely to stop it. The UK has treaties with Switzerland and almost every European country, and they set out which country has the right to tax each type of pension income.
Under the UK–Switzerland double taxation convention, the general position is:
- Lump sums from a UK pension are typically taxable only in the UK. Switzerland generally won't tax a UK pension lump sum where the treaty applies — though the mechanics of claiming that relief, and reclaiming any Swiss withholding, matter enormously and depend on your personal status.
- Regular pension income (drawdown or an annuity) from a private or workplace pension is usually taxable in your country of residence — so Switzerland, in this example — rather than the UK.
- UK State Pension and government service pensions follow their own rules; State Pension is generally taxed in the country of residence, while pensions paid for UK government or local-authority service are typically taxed in the UK.
In practice, you'd usually apply to HMRC to have your UK pension paid without UK tax deducted (or to reclaim it) once you're certified as resident and taxable elsewhere. The treaty doesn't tax you twice — but it does require paperwork, and getting the sequence wrong is how people end up overpaying and waiting months for a refund.
A word of caution: the UK and Swiss authorities don't always agree on how a particular pension should be classified — for example, whether something counts as an "occupational" pension or as deferred remuneration. These distinctions change which country taxes the income, so it's well worth getting your specific schemes reviewed rather than assuming.
What happens to my UK State Pension if I live in Switzerland or the EU?
Here there's genuinely good news. If you live in Switzerland or the EEA, your UK State Pension is uprated each year — it rises in line with the UK's "triple lock," just as it would if you'd stayed at home. This is protected under the agreements between the UK and the EU and the UK and Switzerland, and currently has no end date (do check the position before relying on it, as international agreements can change).
That's a meaningful contrast with expats in countries such as Australia, Canada, or New Zealand, whose State Pensions are "frozen" at the rate they were first paid. For the 2026/27 tax year the full new State Pension is around £241 a week — and in Switzerland and the EU, that figure keeps climbing. You'll still want to check your National Insurance record for any gaps, as those directly affect how much State Pension you'll actually receive.
Should I leave my pension in the UK or move it?
This is the big strategic question, and there's no universal answer — it depends on the type of pension you hold, where you intend to retire, the currency you'll spend in, and your tax residency.
Broadly, you have three paths:
- Leave it where it is. Often perfectly sensible, especially for modern, low-cost personal pensions or SIPPs that already let you invest globally and draw flexibly. The main downsides are currency risk (your pension is in sterling, your life is in francs or euros) and the administrative friction of dealing with a UK provider from abroad.
- Consolidate into a UK SIPP designed to be managed by an international resident. This keeps you inside the UK system and its tax treaty protections while giving you flexibility and, often, multi-currency options.
- Transfer to a QROPS (a Qualifying Recognised Overseas Pension Scheme). This moves your pension outside the UK system entirely. It can suit some people, but the rules tightened significantly — since 30 October 2024 the 25% Overseas Transfer Charge now applies to many transfers to European schemes that were previously exempt. Transferring is no longer the obvious "expat move" it was once marketed as, and it needs careful, individual analysis.
I'll be candid: the right answer is rarely "do something dramatic." More often it's "tidy up, consolidate the bits worth consolidating, and make sure the tax and currency picture actually fits the life you're living now."
FAQ
Can I transfer my UK pension to a Swiss pension scheme? Generally no — Swiss occupational pension structures don't qualify as QROPS, so a direct transfer into the Swiss system usually isn't possible. Expats who do move pensions overseas typically use a QROPS based elsewhere (Malta is common), but since the 2024 rule changes that route carries a potential 25% charge in many cases. Keeping a UK pension is often the simpler option.
Will Brexit affect my UK pension in Europe? Your pension itself is unaffected. The protections for State Pension uprating and the double-taxation treaties remain in place. Brexit mainly affected the ease of cross-border financial advice and some provider arrangements, rather than the underlying pension rights.
Do I have to tell HMRC I've moved abroad? Yes — you should inform HMRC of your move, and you'll typically need to establish tax residency in your new country and complete the relevant treaty paperwork so your pension is taxed correctly. Doing this properly is what prevents emergency tax and double deductions.
What if my UK provider won't deal with me now I'm overseas? This is common and frustrating, but solvable. You can usually move the pension to a provider or SIPP that's set up to work with international residents, without losing your tax advantages. That's a transfer within the UK system, which is very different from an overseas QROPS transfer.
A calmer way to look at your pension
If you take one thing from this: moving abroad rarely puts your UK pension at risk, but it does change the rules of the game — on access age, on which country taxes what, and on whether your money is working for the life you actually lead now. The mistakes I see aren't usually dramatic; they're the slow ones, like a pension drifting untouched in the wrong currency for a decade, or tax paid twice because the paperwork was never done.
If you'd like an unhurried, jargon-free look at where your pensions stand and what your options actually are, I offer a free, no-obligation discovery call. There's no pressure and nothing to sign — just a clear conversation about your situation. You're welcome to book one whenever it suits you.
This article is general information, not personal financial advice. The right course of action depends on your individual circumstances, and tax rules, thresholds, and pension regulations change — always check current figures and take regulated advice before acting. AM Wealth Management is a CISI Chartered firm.