The chairman of the Malta Financial Services Authority (MFSA) has denied that a wave of QROP schemes are planning to relocate to the jurisdiction.
Joseph Bannister said, contrary to market and press speculation, the MFSA has not been flooded with new applications to establish QROPS in the jurisdiction, from Guernsey providers which lost their QROPS status earlier this year. He also warned the MFSA would be unlikely to approve schemes if they had previously had their QROPS status removed by HM Revenue & Customs.
“In November 2009, Malta, after much close work with HMRC, received its QROPS status and the MFSA approved its first schemes in the months following,” said Bannister.
“Malta continues to work closely with HMRC on its QROPS and we would be very careful about which schemes we would allow to establish here. If schemes have had their QROPS status removed, for instance, then it is unlikely the MFSA would want to approve them.”
As previously reported, Skandia International, which had an exclusive deal with Guernsey based provider Concept Group, under which its offshore bonds were used for the underlying investments, announced a shift in its strategy. Rather than tying up with one provider again, the company has chosen a multi-jurisdictional strategy in partnership with both Malta and Isle of Man based trustees.
As well as providers, other jurisdictions also continue to consider their options with regards to the QROPS space. Wendy Martin director of tax policy in the Treasury and Resources Department in Jersey, the island is “still considering its options”, therefore not ruling out plans to enter the market.
Gibraltar however, has ploughed ahead with its plans to introduce QROPS.
