In many cases, yes. Moving abroad does not automatically stop you from contributing to your Penfold pension.
Whether you'll receive UK tax relief on your contributions depends on your circumstances.
If you have relevant UK earnings that are subject to UK income tax, you can usually receive tax relief on your pension contributions as normal.
If you no longer have relevant UK earnings, you may still qualify for UK tax relief for up to five tax years after leaving the UK, as long as you were already a member of Penfold before you moved abroad and are under age 75. During this time, you can usually contribute £2,880 each tax year, with £720 added in tax relief, bringing your total gross contribution to £3,600.
It is important that you update Penfold when you move abroad and when you are no longer eligible for tax relief to ensure this is not incorrectly claimed on your behalf. Penfold does not accept personal contributions that are not eligible for tax relief.
The annual allowance still applies, and the tax treatment of pension contributions depends on your individual circumstances.
Example
Sarah moved from the UK to Canada in November 2023. She joined her Penfold pension while a UK resident, and 2023/24 was her last tax year of UK residence.
For 2023/24, her tax-relief entitlement may take into account the relevant UK earnings she received during that tax year.
Assuming she remains under 75, has no relevant UK earnings and meets the other eligibility conditions, she could normally pay £2,880 and receive £720 in tax relief in each tax year from 2024/25 to 2028/29. These figures assume she makes no other personal pension contributions.
From 6 April 2029, she would no longer qualify under the five-year residence rule. She would need to qualify on another basis to receive UK tax relief on further personal contributions.
If Sarah is not eligible to receive tax relief on her personal contributions, she would no longer be eligible to contribute to Penfold.
If you're unsure whether you're eligible for UK tax relief, we recommend speaking to a qualified financial adviser. Tax treatment is based on individual circumstances and is subject to change in the future. UK pension providers offer different terms; the information provided above relates to Penfold’s terms and conditions; you should check with your other pension providers before making a decision.