NHS Pensions

Hi Saltydog,

Some NHS pensions are classed as "Crown" pensions, in which case they have to be taxed at source in the UK, but also declared in Spain if you are resident here.  If not a Crown pension, it would be taxed in Spain along with any other income you have.  Probably best to check with your pension provider in the first instance.

Kind regards,

Kim

Spot on, Kim.

Whether the OP has it paid into a UK or Spanish account is just a matter of personal preference. Although I don't know if NHS pensions would be exempt from the 18€ post Brexit 'bank charge' being imposed on transfers from the UK. The UK state pension is definitely exempt.

Perhaps someone with an NHS pension could tell us?

Hi HJ,

The problem is that some NHS pensions are classified "Crown" and others are not, which is why I suggested Saltydog contact his pension provider to clarify.  A friend, who´s a nurse practitioner, had her NHS pension taken over by Virgin Health about 5 years ago and it´s no longer classified as "Crown".´

Hi Saltydog,

Just to pick up on HJ´s point about Spanish bank fees for currency transfers.  Unlike the State pension, which can be paid by the Pension Service direct to Spain at very competitive exchange rates, other pensions are typically paid into a UK bank account and then transferred across to Spain.  The best way to avoid the €18 bank fee usually applied in Spain, is to transfer the money via a bank with an EU IBAN, such as Wise.

Kind regards,

Kim

The advice is absolutely correct, my wife has an NHS pension and there are a lot of providers of pensions under the NHS umbrella, some are classed as Crown, therefore remain taxed in the UK, however many are not and will be taxed in Spain. You need to check the provider.

If you need to use the money for living in Spain then you can request monthly payment direct to a Spanish bank account, they use very competitive transfer company's and you will avoid the transfer charges. You are always subject to monthly changes in the rates, however its the best way to have quick easy access to your money. 

Either way as a resident it needs to be declared to the Spanish tax authorities. 

Thanks all for your help.

I shall call and find out. As with most things since Brexit things maybe different now? But when i get clarity i will post it here as it may help others.