SIPP - Transfers
The rules for SIPP transfers are exactly the same as those for personal pensions, meaning that it is generally possible for a member of a SIPP to transfer their benefits to any occupational pension scheme they join, a personal or stakeholder pension, an FSAVC (if this is active) or indeed another SIPP.
SIPPs can accept transfers from the following types of UK pension plan:
- Personal or stakeholder pension plans
- Retirement annuity contracts
- Occupational pension schemes (including EPPs and SSAS's)
- Statutory schemes (public sector schemes)
- AVCs and FSAVCs (providing an individual is not still in pensionable employment)
- Section 32 Buy-out plans
- Pension Credit monies.
A SIPP can also accept a transfer from an overseas pension arrangement although this does depend on the specifics of the situation.
From 1 October 2008, it will be possible to transfer Protected Rights funds into a SIPP. Protected Rights is the name given to the fund accumulated from National Insurance rebates whilst contracted out of the State Additional Pension.
- Can a SIPP be transferred to an overseas pension arrangement?
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Generally Protected Rights have to be held separately from a SIPP, because they need to be held within certain types of investment vehicle. This restriction may be subject to change in the future. Please check the position with your SIPP provider.
- Can a SIPP accept Protected Rights?
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Not at the moment. However, this will change with effect from 1 October 2008. From that date, it will be possible to transfer Protected Rights into a SIPP.
- Can a SIPP accept transfers from a pension plan that is paying an income?
No, unless the arrangement is in drawdown. SIPPs can accept transfers in drawdown from other personal pension plans, including SIPPs.
- Where can I obtain more information on the transfer rules for SIPPs?
The rules are the same as those for personal pensions. For further guidance on transfers on or after 6 April 2006, refer to the Registered Pension Schemes Manual.
Q & As
