Isle of Man Finance

International Schemes

Since the introduction of the Retirement Benefits (International Schemes) Regulations 2001, the Island has become established as a major centre for the administration of international pension schemes. The legislation establishes a sound governance template for international schemes, with the objective of encouraging international businesses with globally mobile employees to base their schemes in the Isle of Man.

The Island provides a solid foundation for international retirement planning by ensuring that schemes are operated by appropriately licensed professionals, that the latter adopt strong internal governance, and that certain member rights are enshrined in law. However, the legislation also includes substantial flexibility regarding specific benefit design, leaving scheme designers free to develop a bespoke benefit structure that can be fully adapted to suit international businesses’ specific objectives, or to incorporate multi-jurisdictional requirements.

Domestic Pensions

Individuals who come to reside in the Isle of Man should be able to transfer their existing occupational or personal pension rights into Isle of Man based arrangements. The Isle of Man’s personal pension regulations meet the requirements of QROPS for transfers from UK schemes, and has over 100 QROPS recognised schemes as at September 2009. The Isle of Man has historically operated a system that is closely aligned with that in the UK and imposes similar restrictions on the payment of contributions, and the payment of benefits at retirement. There are, however some important differences, for example the ability to take 30% tax free cash at retirement from personal pensions, and no compunction to buy an annuity at any point.

For further information and to view the Insurance and Pensions Authority web site click here

• International Retirement Benefits Schemes (959 kb)

  Format:Acrobat PDF File

  International Retirement Benefits Schemes