Local Government Pension Payments.

Robinmybsfr

Hi
After receiving my deferred retirement pension package with a Retirement date of March 2025 i am looking for answers to questions before I decide which option to take.
I live permanently in France and understand Tax on UK Government pension not a State Pension will be payed in UK - True or False ?
One other Big decision.
 I need to decide where the monthly payments are made.
Included in the paperwork is a form titled 
Application for payment of pension in EUR currency by direct debit deposit to France.
What fees - charges might that incurre.
Unfortunately after numerous emails sent to LGPS provider and a payable phone number I'm extremely disappointed with their lack of help - response.
I would be most grateful for any help.
Thank you.

Silvertabby

Robinmybsfr said:

Hi
After receiving my deferred retirement pension package with a Retirement date of March 2025 i am looking for answers to questions before I decide which option to take.
I live permanently in France and understand Tax on UK Government pension not a State Pension will be payed in UK - True or False ?
One other Big decision.
 I need to decide where the monthly payments are made.
Included in the paperwork is a form titled 
Application for payment of pension in EUR currency by direct debit deposit to France.
What fees - charges might that incurre.
Unfortunately after numerous emails sent to LGPS provider and a payable phone number I'm extremely disappointed with their lack of help - response.
I would be most grateful for any help.
Thank you.

LGPS pension benefits are usually taxed at source, under UK taxation rules.  You will then need to declare these payments as (UK taxed) income in France, which will mean a bit of form filling, but shouldn't result in any extra tax.

Big warning re your tax free lump sum (if any), though.  France doesn't recognise pension tax free lump sums, so if you have this paid direct to your French account you will have to declare it as untaxed income and brace yourself for the (probably substantial) hit.

On a lighter note, the LGPS don't charge transaction fees for making payments to overseas bank accounts. Just note that the amount may differ slightly every month, depending on the exchange rate on the day the payment is processed.