Pensions

Which countries do not tax UK pensions?

Answered by Jordan Onraet-Wells, Founder & Chartered Tax Adviser (CTA). Published 26 October 2026. Last reviewed 26 October 2026.

The short answer

There is no official list, because two different questions hide inside the search once a UK pension is paid to someone living abroad. The first is whether the double taxation agreement with your new country takes the pension out of UK tax: the UK's treaties with the UAE, Qatar, Bahrain, Saudi Arabia, Cyprus, Portugal and Malta each say pensions paid to a resident of the other country are taxable only there, while the 1981 UK-Thailand treaty has no pensions article at all. The second is whether your new country then taxes the pension under its own law, which is nothing to do with HMRC. Government service pensions are the standing exception and usually stay taxable only in the UK, and the State Pension is usually not taxed on non-residents.

UAE: Article 17 of the 2016 UK-UAE Double Taxation Convention. Pensions and other similar remuneration paid to a resident of a Contracting State are taxable only in that State.
Qatar: Article 17 of the 2009 UK-Qatar agreement as amended by the 2010 protocol. Pensions paid in consideration of past employment, and annuities, paid to a resident are taxable only in that State.
Bahrain: Article 17 of the 2012 UK-Bahrain convention. Same wording as Qatar: pensions paid in consideration of past employment, and annuities, taxable only in the State of residence.
Saudi Arabia: Article 18 of the 2007 UK-Saudi Arabia convention. Pensions and other similar remuneration paid to a resident individual are taxable only in that State.
Cyprus: Article 17 of the 2018 UK-Cyprus convention. Pensions and other similar remuneration paid to a resident of a Contracting State are taxable only in that State.
Portugal: Article 17 of the 2025 UK-Portugal convention, in force since 29 December 2025. Pensions and other similar remuneration paid to a resident are taxable only in that State.
Malta: Article 18 of the 1994 UK-Malta convention. Pensions paid in consideration of past employment, or any annuity, paid to a resident are taxable only in that State.
Thailand: the 1981 UK-Thailand convention has no pensions article. Only Article 19 deals with pensions, and only for government service, so a private pension is not allocated by the treaty at all.

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Two questions hide inside one search

HMRC's starting point is that you usually pay tax on UK income even when you are not UK resident, and pensions are on its list. If the pensions article of the treaty with your new country gives that country the taxing rights, you claim on form DT-Individual. For most countries the form goes first to the tax authority where you live, which certifies to HMRC that you are resident there within the meaning of the treaty, and then on to HMRC. Residents of the UAE, Qatar, Bahrain and Saudi Arabia follow a different route in HMRC's notes: a residence question answered on the form itself, plus a copy of the local residence certificate or permit. HMRC can then grant relief at source, so no UK tax is withheld from the pension (in practice the NT code its PAYE manual gives a pensioner who has left for permanent residence in a treaty country), and it arranges any refund of PAYE already taken. One timing trap: the form says you can only apply for relief on pensions once the payments have begun. The second question, whether your new country taxes the pension under its own law, is for that country's tax authority and a local adviser. Our answers on whether a UK pension is taxed when you retire abroad and on getting an NT code for a pension paid abroad cover the mechanics.

What the treaty texts actually say

The list above is taken from the pensions article of each treaty as published on GOV.UK, and each of the seven that has one makes it subject to the government service article. Two things in the wording matter. First, Qatar, Bahrain and Malta restrict the article to pensions paid in consideration of past employment, and HMRC's DT-Individual notes say that where an article is restricted that way the State Pension can only be exempted under the treaty's other income article, and not at all if there is none. Second, Thailand has no pensions article and no other income article either, so nothing in the treaty takes a private pension out of UK tax, which is why our Thailand guide tells retirees to take both UK and Thai advice. The Cyprus position, including the Cypriot side, is in our guide to retiring to Cyprus from the UK, and the UAE, Portugal and Malta guides cover those destinations.

The two standing exceptions

Government service pensions first. GOV.UK says most UK government pensions, such as civil service pensions, are only taxed in the UK, and HMRC's DT-Individual notes confirm that under many treaties the UK retains primary taxing rights over a government pension. If that is you, the treaty does not move the pension, and the question becomes whether you can still claim UK personal allowances against it. The State Pension runs the other way. Non-residents do not usually pay UK tax on it, HMRC classes the National Insurance retirement pension as a non-government pension for treaty purposes, and it is usually paid without deduction of tax in any event. The country you live in may tax it instead, and whether it rises each year depends on where you live, which our State Pension abroad guide sets out.

What Horizon does

A pension-abroad review confirms, in writing, which article of your treaty each pension falls under, whether the State Pension is caught by the past employment wording, what stays UK-taxable, and the DT-Individual claim timed around your first payment. Fixed-fee advisory work from £550. That is the total, agreed before any work starts. If you keep UK income after you leave, a government pension, rent or a final split-year return, the Non-Resident and Expat Tax Return is £750 fixed, SA109 residence pages included. Nothing is added to either figure. The place to start is a free clarity call: tell us the country and the pensions, and you leave knowing which of the two questions actually applies to you.

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Sources and further reading

This is general information for the 2026/27 UK tax year, not personal tax advice; speak to a Chartered Tax Adviser about your own position.

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