As more UK expats take charge of their pensions, the Execution Only International SIPP has emerged as a compelling choice for those who want more control over their retirement savings. Whether you have moved abroad or are planning to leave the UK, understanding the intricacies of this self-invested personal pension structure is essential.
This guide explores what an Execution Only International SIPP is, how it differs from a standard UK SIPP, and why it might suit your needs as a non-UK resident. We will also address top questions from expats, help you evaluate the pros and cons, and ensure you know how to move your pension abroad compliantly.
What is an Execution Only International SIPP?
An Execution Only International SIPP is a type of self-invested personal pension that allows individuals to manage their retirement funds without ongoing financial advice. “Execution only” means that you, the investor, make all the decisions regarding your pension investments, and the provider simply carries out your instructions.
This type of SIPP is designed specifically for those living outside the UK who wish to retain control, avoid high management fees, and access a broader range of investments, including international funds, shares and exchange-traded funds (ETFs).
How Does It Differ from a UK SIPP?
While both International and UK SIPPs offer control over pension investments, there are important differences:
- Tax residence: International SIPPs are better suited to non-UK residents as they are structured to meet overseas requirements.
- Currency flexibility: International SIPPs often allow multi-currency investment and drawdown, which is ideal if you are retired abroad.
- Investment options: These SIPPs provide access to international platforms and global investments.
- Provider eligibility: Some UK SIPP providers may restrict services to UK residents.
Can a Non-UK Resident Have a UK SIPP?
Yes, but with caution. Many providers restrict services for non-residents, and it may limit your investment choices or create tax inefficiencies. An Execution Only International SIPP is usually a better fit for expats.
What Happens to My SIPP if I Leave the UK?
Your SIPP does not close if you leave the UK. However, you should notify your provider. You may lose access to certain features or advice unless you switch to an International SIPP, which is designed for portability, including:
- Investment platform access from abroad
- Currency flexibility
- Tax-efficient withdrawals based on your new country of residence
If you plan to live abroad permanently, consider transferring your SIPP to an international provider regulated to deal with expats.
Can I Move My SIPP Abroad?
Yes. You can transfer your SIPP to an International SIPP provider. This is not the same as transferring to a QROPS (Qualifying Recognised Overseas Pension Scheme), which has different tax and reporting rules.
A transfer to an Execution Only International SIPP keeps your pension under UK regulation while offering global flexibility and lower costs. However, ensure your new provider is FCA-regulated and experienced in dealing with expats.
Benefits of Execution Only SIPPs for Expats
- Cost-efficiency: No ongoing adviser fees
- Global access: View and manage investments online from anywhere
- Wide investment choice: Shares, ETFs, funds, bonds and more
- Currency options: Hold investments in GBP, EUR, USD etc.
- No advice tie-in: Freedom to make your own choices
What is an Execution Only Account?
In finance, an execution only account is one where the provider executes transactions without offering advice or recommending investment strategies. You take full responsibility for your investment decisions.
This is ideal for experienced investors or those working with their own financial adviser on a non-retainer basis. It is also useful for DIY investors seeking full control.
Which Are the Best Execution Only SIPP Providers?
There are several well-regarded platforms offering execution only International SIPPs, each with different features to suit global clients. The best providers typically offer:
- Multi-currency platforms that support global investment strategies
- Access to a wide range of funds, ETFs and shares
- Secure online management and international support
- Transparent pricing with no hidden fees
At Harrison Brook, we partner exclusively with FCA-regulated SIPP providers known for their reliability, strong service standards, and expat-focused solutions.ed International SIPP providers with strong reputations for service, security, and cost-efficiency.
Key Considerations Before Opening an Execution Only SIPP
- Are you confident in managing your own investments?
- Do you have experience with investing platforms?
- Will you need access to multiple currencies?
- Is your current SIPP provider restricting access due to your residency?
- Would you prefer to avoid paying ongoing advisory fees?
Tax Implications of Taking a SIPP Abroad
The tax on pension withdrawals varies depending on your country of residence. For instance:
- France: 7.5% flat rate on most pension income after a 10% deduction
- Spain: Taxed as regular income, potentially up to 47%
- Australia: Tax-free in some cases after age 60 if transferred correctly
Before drawing down your pension abroad, consult a cross-border financial adviser.
FAQ: Execution Only International SIPP
What is the difference between an International SIPP and a UK SIPP? International SIPPs are better suited for expats, offering currency flexibility, broader investment access and expat-specific platforms.
Can I invest in property through an Execution Only SIPP? Generally no, unless the SIPP permits commercial property. Residential property is typically not allowed.
What is the 5-year rule for QROPS? If you transfer to a QROPS and have not been UK tax resident for 5 years, the scheme must report payments to HMRC. Not applicable to SIPPs.
Can I transfer a QROPS back to a SIPP? Yes, if the QROPS allows and the UK SIPP provider accepts transfers.
Can I contribute to a SIPP if I live abroad? You can contribute up to £3,600 gross per year unless you have UK earnings. Beyond that, you may not be eligible for UK tax relief.
Take Control of Your Pension Today
If you have left the UK or plan to in the near future, now is the time to review your pension strategy. An Execution Only International SIPP may offer the low-cost flexibility you need to manage your own retirement pot from anywhere in the world.
Harrison Brook is here to guide you through the process. We offer transparent, fee-based advice and access to the top International SIPP providers regulated by the FCA.
Book your free SIPP review with a cross-border financial adviser today.
