Pension drawdown as a non-UK resident is often possible, but your provider decides whether to pay you, and HMRC decides how the money is taxed.

Can you take pension drawdown if you are a non-UK resident?

Living abroad does not by itself stop you taking drawdown from a UK pension. Dean Butler, managing director for Retail Direct at Standard Life, says that once you reach 55 (57 from 6 April 2028) you can start taking money from a UK plan "even while you're overseas". The harder questions are practical: which providers will pay you, how much UK tax comes off, and what a later return to the UK does. Pension Wise, the free, impartial, government-backed guidance from MoneyHelper, explains the options for a defined contribution pension. Drawdown stays invested, so it can fall as well as rise and you may get back less than was paid in. Living abroad changes which questions matter, and an FCA-authorised adviser can untangle yours for your country on a free call-back booked from the form on this page.

Whether to take drawdown at all is covered in how drawdown works and how much to take. State Pension and the wider effects of a move sit in the wider guide to a pension and a move abroad. Moving the pot itself to an overseas scheme, including QROPS drawdown, is a separate decision, weighed in QROPS or an international SIPP.

What UK providers say about customers who live abroad

Aviva's article on leaving the UK (published 4 February 2026) says you must tell the provider you have changed residence, and that a provider's own rules may "require that payments go into, and possibly come out of, a UK bank account". Phoenix Life is more cautious: its help page says its UK products "are aimed at UK residents", and lists setting up a new plan, which may include accessing drawdown from a different type of plan, among things that may be harder, or not possible, once you are no longer resident.

Standard Life's help page says living outside the UK can affect paying in or taking money out. Its press release of 13 August 2025 says that abroad you can generally take your money as you would in the UK, but "some providers may limit payment options", and that some will not let you open a new plan. Fidelity's retirement page says people living outside the UK may need to speak to its retirement service rather than withdraw online. Its August 2026 client terms say products "will be restricted or may be withdrawn" if an individual stops being UK resident, so that no new investments can be made.

Three of these five mention limits on a new plan or new investments, and every provider sets its own rules. AJ Bell's terms are in SIPPs for non-UK residents. If your own provider's pages say nothing on drawdown for people abroad, an adviser can explain how that firm treats you; this page's form arranges that free call.

UK tax on drawdown, double taxation agreements and NT codes

HMRC says you "usually have to pay tax on your UK income even if you're not a UK resident", and pension is among the income it lists. Drawdown is paid through PAYE, so Aviva says a provider can pay without deducting UK tax only if HMRC has sent the right tax code, and the first payment will still be taxed.

A double taxation agreement (DTA) can change that. Where the country you live in has one with the UK, HMRC says that, depending on the agreement, you can apply for relief before you are taxed or for a refund afterwards. Each agreement says which country taxes what, and pensions can be claimed for, although most UK government pensions, such as civil service ones, are only taxed in the UK. If the two countries' rates differ, you pay the higher. HMRC's PAYE manual adds that while many agreements exempt pension income, "not all do so".

How the claim works

The claim form is DT-Individual (last updated 23 November 2022); some countries have their own form. HMRC's guidance gives these points:

  • Relief on pensions and annuities can only be applied for once payments have begun, so a first, taxed payment is likely before anything is in place.
  • The form generally goes to the tax authority of the country where you live, which certifies that you are resident there for the treaty.
  • Relief at source rests on HMRC's discretion: "We deal with each application on its merits". If it cannot be arranged, you can claim back part or all of the UK tax taken off.
  • A new form is needed for each new source of income, even if one is already in place.

The code that lets a pension be paid with no UK tax taken off is NT, which HMRC's tax codes guide explains as "You’re not paying any tax on this income". Aviva says the right code should normally follow once HMRC accepts your form and sets up a record for your pension income. Whether the other country then taxes the income, and whether a tax-free lump sum stays tax-free there, is for advice in that country.

How a treaty with your new country reads for a pension like yours is a point an adviser will talk through, free, after you use the form here.

Temporary non-residence: when a return can bring tax back

A short spell abroad can undo a tax saving. Under HMRC's temporary non-residence rules, a person is caught if they had sole UK residence in 4 or more of the 7 tax years before the year they left, and their period of non-residence is 5 years or less. To escape, it "must exceed 5 years, that is, a minimum period of five years plus 1 day".

If you return in that window, certain payments received while away are taxed in the year you come back. They include drawdown pension from a flexi-access fund and the taxable part of an uncrystallised funds pension lump sum. A payment counts only if it was not taxable as UK pension income (or would not be if a double taxation relief claim were made), and only when the total of such withdrawals in the period is "more than £100,000". A treaty does not help on return, because an exemption it gives "will not be taken into account" in working out the UK liability. PAYE cannot be operated, since the tax falls due after the pension is paid. Lump sums are explained in UFPLS explained.

Currency and bank accounts in outline

Providers differ on where they pay. Aviva says income can usually go to a UK or international bank account, but it is worth checking. Butler says some providers "may charge extra" for an overseas account while others might only pay into a UK one, and that the exchange rate affects how much you get when money is changed into local currency. Fidelity's terms say it can pay a UK bank or building society account, and Royal London's page for existing Income Release plans says the account "Must be a UK bank account". Phoenix Life lists currency risk as a reason to take advice, since currency values rise and fall and may affect how much you have to live on.

Before closing a UK bank account, it is worth asking your provider where it will pay and whether an overseas payment costs extra.

Drawdown from abroad in brief

Do I need to tell my pension provider that I have moved?

Aviva says you must, so that it can update your residency status. Other providers set their own rules.

Will my first drawdown payment have UK tax taken off?

It may well do. Aviva says the first payment is still taxed, and HMRC's form guidance says relief on a pension can only be applied for once payments have begun.

Does moving back to the UK change anything?

It can, under the temporary non-residence rules above, which also turn on how many years you were UK resident before leaving.

Before you take drawdown from abroad

Where you live, which provider holds the pot and how long you plan to stay all shape the answer. Only contact details go through the form here; no charge applies to the call-back, which brings an FCA-authorised adviser to discuss your destination, provider, tax codes and bank accounts. You will also need tax advice in the country where you live.

Sources, read 2 November 2026 unless stated: HMRC, Tax on your UK income if you live abroad; HMRC Form DT-Individual and notes; HMRC PAYE Manual (PAYE81001, PAYE81010, PAYE81750); HMRC Employment Income Manual EIM75450; HMRC Residence and FIG Regime Manual RFIG21510; HMRC, Tax codes: what your tax code means (read 30 October 2026); MoneyHelper, Pension Wise; Aviva, leaving the UK with a SIPP; Phoenix Life, living outside the UK FAQ; Standard Life help page and press release of 13 August 2025; Fidelity retirement page and client terms (August 2026); Royal London Income Release payments page.