Alternative ways to save for retirement

Offshore life policies are one possibility. When investments are held within a life policy, the tax treatment is exactly the same as a UK pension fund, in other words, UK dividends are collected net of a non reclaimable 10% tax credit, and capital gains are tax free. Contributions to a life policy do not receive tax relief, but in the case of a non-resident with no UK earnings, this means that the position between a policy and a pension is neutral. However, on encashment, or vesting in the case of the pension, the position is very different. For a start, there are no restrictions on ...