Can You Transfer Your UK Pension to Denmark?

The short answer is no. You almost certainly can’t transfer a UK pension into a Danish pension scheme. Denmark has had no pension providers on HMRC’s Recognised Overseas Pension Schemes (ROPS) list since Laegernes Pension (the Medical Doctors’ Pension Fund) was removed in mid-2023. Without an active ROPS in Denmark, there’s no HMRC-approved route to move your UK pension pot across.

That doesn’t mean you lose your UK pension when you move to Denmark. It stays in your name, invested where it is, and you can draw it when you hit UK pension age. But the money stays in the UK. This article covers what that means in practice, what your options are, and how the tax works once you’re living in Denmark.

Why the Transfer Doesn’t Work

To move a UK pension to an overseas scheme without triggering an “unauthorised payment” tax charge (at least 40%), the receiving scheme must appear on HMRC’s official ROPS list. The ROPS programme was introduced in 2006 to let people moving abroad consolidate their UK pensions into a local scheme. Denmark had a small number of eligible funds for several years, but the last was removed in 2023. No new Danish schemes have applied or been accepted since.

Even if a Danish ROPS did exist, UK rule changes since October 2024 have made overseas transfers significantly more restrictive.

The 25% Overseas Transfer Charge (OTC)

From 30 October 2024, the previous exemption for transfers to ROPS within the EEA was removed. Any transfer to an overseas scheme now attracts a 25% charge on the full transfer amount unless you live in the same country as the ROPS. For someone living in Denmark, that exemption would only apply if the ROPS were a Danish scheme, which no longer exists.

The Overseas Transfer Allowance (OTA)

Even where the OTC is avoided, transfers above the OTA (£1,073,100) trigger a 25% charge on the excess. Less relevant for most people, but it adds another layer of complexity for larger pots.

10-Year HMRC Reporting

After any ROPS transfer, the overseas scheme must report all payments and residency changes to HMRC for 10 full tax years. If you return to the UK within that period, additional UK tax may apply.

Your UK State Pension

The UK State Pension is a completely separate issue. There’s no pot to move. It’s a regular income payment from the UK government, based on your National Insurance (NI) record, and it follows you wherever you live.

Voluntary NI Contributions: What Changed in April 2026

From 6 April 2026, voluntary Class 2 NI contributions for periods abroad were abolished. Class 2 was the low-cost route, running at roughly £182 a year. The only voluntary route now available is Class 3, which costs approximately £923 a year (at 2026/27 rates), more than five times as much.

New applicants for Class 3 from abroad also face tighter eligibility: you’ll generally need either 10 continuous years of UK residence or 10 qualifying NI years on your record before you can apply.

How UK Pension Income Is Taxed When You Live in Denmark

Denmark and the UK have a double taxation agreement (DTA), originally signed in 1980 and updated by protocol in 1996. The pension provisions matter a lot for anyone drawing UK pension income while resident in Denmark.

Your Realistic Options

Since a direct transfer isn’t possible, here’s what British expats in Denmark typically do.

For most British expats in Denmark, the practical answer is either to leave the pension where it is or to consolidate into a UK SIPP with a provider comfortable servicing non-resident clients. Both approaches keep the pension under UK regulation and accessible at pension age.

Can You Get Danish Tax Relief on UK Pension Contributions?

If you’re still contributing to a UK pension while working in Denmark, the question of Danish tax relief arises. The general rule: Denmark doesn’t grant deductions for contributions to foreign pension schemes.

There are two exceptions worth knowing about.

Post-Brexit EU/EEA Approval Route

Before Brexit, it was possible to apply to SKAT for approval of a UK pension scheme under EU migrant worker rules, which would have granted Danish tax relief on contributions. Post-Brexit, the UK is a third country and this route is closed for UK-based schemes.

Article 28 of the UK-Denmark DTA

The DTA includes a provision allowing employees who continue contributing to a home-country scheme while temporarily working abroad to claim tax relief in the host country. The conditions are specific: you must have been a member of the scheme immediately before starting work in Denmark, and the scheme must be accepted as corresponding to a recognised Danish scheme. This is designed for short-term cross-border postings, not permanent moves.

For most British expats who’ve moved to Denmark permanently and work for a Danish employer, UK pension contributions won’t be deductible in Denmark. You’d instead contribute to a Danish occupational pension (which is deductible under Danish rules) and leave your UK pension untouched until retirement.

What About Section 53A (§53A) Pension Schemes?

You may come across references to §53A pension schemes in Denmark. These are savings products designed for situations where contributions can’t be deducted for Danish tax purposes, which is exactly where most expats with foreign pension income end up.

A §53A scheme takes after-tax contributions (no deduction), but payouts are generally tax-free if you leave Denmark. If you stay and draw the pension in retirement, only the gains are taxed (not the contributions, which were already taxed). This can work well for expats who might leave Denmark at some point.

One thing a §53A scheme is not: a destination for your UK pension. It’s a new Danish savings vehicle you can open alongside your existing UK pension, not a transfer wrapper.

UK vs. Danish Pension Age

If you’ve worked in both countries, you may have entitlements with different access ages. This is actually useful for planning.

The gap between UK private pension access (from 55 or 57) and Danish folkepension (from 67) can actually be useful. UK pension income can bridge the years before your Danish state benefits begin.

Practical Checklist for UK Pension Holders in Denmark

• Check your NI record. Log into gov.uk and view your State Pension forecast. See how many qualifying years you have and what your projected State Pension will be.
• Understand the Class 2 change. Voluntary Class 2 NI contributions for periods abroad ended on 6 April 2026. Class 3 is now the only voluntary route, at roughly £923 a year. HMRC will write to affected individuals from July 2026.
• Contact your UK pension provider. Tell them you’ve moved abroad. Check their policy on non-resident members. Some restrict investment switching or new contributions.
• Consider a UK SIPP consolidation. If you have multiple small UK pensions, an International SIPP can simplify management. Compare fees and confirm the provider accepts Danish residents.
• Do not transfer to an unrecognised scheme. Any transfer to a scheme not on HMRC’s ROPS list is an unauthorised payment and triggers a charge of at least 40%, plus potential surcharges.
• Understand the DTA before drawing. The UK-Denmark DTA determines where your pension income is taxed. The rules differ for the State Pension, private pensions, and lump sums.
• Declare everything to SKAT. Denmark taxes worldwide income. Even if your UK pension is exempt from Danish tax under the DTA, you must still declare it in your Danish tax return.
• Think twice before taking a lump sum. The UK 25% tax-free PCLS may not be tax-free under Danish rules. Check with a Danish tax adviser or SKAT before taking any lump sum.
• Get cross-border advice. UK-Denmark pension and tax issues sit at the intersection of two complex systems. This is exactly where getting it wrong is harder to fix than getting advice upfront.