Overseas Transfer Allowance for QROPS: £1,073,100 Explained
For 2026/27 the standard Overseas Transfer Allowance is £1,073,100 for most people, although an individual can have a different protected amount. Previous relevant overseas transfers can reduce the allowance available. If an otherwise exempt QROPS transfer exceeds the available allowance, the excess is generally charged at 25%.
Why this matters for larger pension pots
The Overseas Transfer Allowance replaced the old lifetime-allowance framework for overseas transfers from 6 April 2024. A client with a large pension should not be told simply that there is ‘no maximum transfer’. The practical question is how much available Overseas Transfer Allowance remains.
Previous recognised transfers and certain pre-6 April 2024 lifetime-allowance usage can affect the available figure. This is why larger cases need a personalised calculation rather than a website rule of thumb.
Simple illustration
If a member has the full standard allowance available and makes an otherwise exempt transfer below that amount, the allowance itself does not create a charge. If the transfer exceeds the available allowance, the excess can be subject to the 25% Overseas Transfer Charge. This illustration is deliberately simplified; protected allowances and previous benefit events can change the result.
Frequently asked questions
Is £1,073,100 a maximum QROPS transfer?
No. It is the standard Overseas Transfer Allowance for most people, not a hard transfer cap. Tax can apply above the available allowance.
Can my allowance be higher?
Potentially, where relevant protection applies.
Do earlier pension events matter?
Yes. Previous overseas transfers and earlier lifetime-allowance usage can affect the available allowance.
Speak to QROPS Direct
If you are considering transferring your UK pension to India, speak to QROPS Direct before taking any action. We can review your pension arrangements, transfer eligibility and the key considerations relevant to your individual circumstances.
