UK taxman refuses to confirm Gibraltar QROPS status

The taxman is refusing to comment on a statement from a Gibraltar QROPS provider that claims the country has been removed from HM Revenue and Customs list of recognised jurisdictions.

STM Group, a leading provider of Gibraltar QROPS pension schemes, has published interim results for the first half of 2009,  with chief executive Tim Revill stating the company’s Gibraltar QROPS business is frozen because HM Revenue and Customs has ‘de-classified’ Gibraltar as a recognised jurisdiction to accept UK pension transfers.

However, HMRC  has refused to comment.

Further clarification about Tim Revill’s comment has been sought from STM Group, but no response has been received from the company either.

The interim results included the statement by Tim Revill that said: “STM Pensions division, based in Gibraltar, from a standing start is making very good progress in the local market.

“However, its premium service, QROPS (the transfer of UK pension funds overseas), for which we had received a high number of instructions during the first half of 2009, has been temporarily frozen, due to a recent de-classification by HMRC of Gibraltar as a recognised jurisdiction.

“The local pensions industry (led by STM) is vigorously contesting this technical matter, but STM Pensions is also taking parallel steps to unblock this valuable client stream. HMRC’s actions could not have been envisaged and their actions will, unfortunately, impact the division’s full year performance.”

This statement is dated September 8 - so comes after the publication of the latest HMRC QROPS provider list on September 4 that includes several Gibraltar QROPS providers - including three entries for the STM GROUP.

Recently, Gibraltar QROPS providers formed a trade organisation to discuss alleged QROPS irregularities with HMRC.

Read a previous story - Gibraltar Qrops Update

Currently Qrops Adviser feel we cannot advise our clients to invest in Gibraltar QROPS because of uncertainty in the market following the statement from STM Group and the refusal of HMRC to confirm the jurisdiction status.

For further information contact Qrops Adviser.