Restarting a private UK pension

[stubuzz]

I would like to know if it is possible to start paying into an old private Prudential pension again. I have read many articles but they some say i can and other say i cannot because of my tax relief status.

Does anyone have any experience with this?

[canopus1969]

Best to phone them up with your reference number of you old policy and ask

[Oxx]

It is legally permitted (see https://www.pensionsadvisoryservice.org.uk/about-pensions/when-things-change/moving-abroad option #3).  However, you'd have to ask Prudential whether they'd permit it in your case.

 

Note, however, that since you won't get tax relief, there's no benefit in putting your money into a pension scheme than putting it into an investment account*.  Plus, with the investment account you would have full control over access to the money, and could withdraw as much or as little whenever you wanted without tax penalty.

 

* This could be a new offshore investment account (if you don't have one already), or an existing UK one.

[Ecky]

One option may be to check with Prudential about surrendering the policy in full and then reinvest the funds elsewhere. I intend to do just that with a pension i have with Scottish Widows. It's been dormant for years and was unable to make any contributions as living outside UK. Only about GBP 15k but better in my pocket than theirs!

[stubuzz]

On 5/10/2021 at 2:30 PM, Ecky said:

One option may be to check with Prudential about surrendering the policy in full and then reinvest the funds elsewhere. I intend to do just that with a pension i have with Scottish Widows. It's been dormant for years and was unable to make any contributions as living outside UK. Only about GBP 15k but better in my pocket than theirs!

My pension cannot be accessed for another 7 years.

[UKresonant]

You should be able to pick a new private pension scheme, and transfer the old pension to the new one...I did this to combine some old AVC pensions into one or two larger pensions. Some I just filled in the transfer request online with a provider that I already had my ID etc, and it was done! ???? (Perhaps only one form to sign)

 

e.g. https://www.standardlife.co.uk/pensions/personal-pension/pension-transfer

 

e.g https://www.hl.co.uk/pensions/transfer-to-the-sipp

 

e.g https://www.scottishwidows.co.uk/retirement/pension-transfers/

Edited May 21, 2021 by UKresonant

[Brierley]

Anyone who is UK resident can put up to 2,600 Pounds per year (Net) into a personal pension, after which the government will add 20%, these things are true even if you don't earn or pay tax. It was worth my while to become UK resident again and to do this after being non-resident for almost 20 years.

[treetops]

15 hours ago, Brierley said:

Anyone who is UK resident can put up to 2,600 Pounds per year (Net) into a personal pension, after which the government will add 20%, these things are true even if you don't earn or pay tax. It was worth my while to become UK resident again and to do this after being non-resident for almost 20 years.

 

£2,880 which gets made up to £3,600.  £720 profit per year for non taxpayers, £180 for basic rate taxpayers.