UK’s FCA Highlights Critical Pension Risks for British Expats in the UAE

New data from the Financial Conduct Authority (FCA) highlights a worrisome trend among British retirees, with only 30.9% of pension holders taking professional advice, despite a 19.7% surge in pension access for the first time. For British expats in the UAE, this underscores an even greater risk: having to make complex financial decisions without guidance can lead to costly mistakes.

Understanding the Stakes as a British Expat

Expats enjoy a range of options for managing wealth and pensions, from tax-efficient savings and offshore investments to retirement strategies tailored for international lives. However, these benefits also come with added intricacies that need careful planning to avoid significant risks. With expertise in cross-border financial planning, Skybound Wealth helps British expats make informed choices that protect and enhance their wealth.

Insights from Tom Pewtress, Group Head of Proposition at Skybound Wealth:‍

"The FCA’s findings serve as a strong reminder for British expats in the UAE. Accessing pensions without guidance can be particularly risky here, given the additional layers of international finance. In the UAE, expats benefit from options that might be unavailable back in the UK, but these require a nuanced approach. It’s crucial to balance short-term needs with a long-term strategy that aligns with both UK and UAE regulations."

The Right Financial Strategy for Expats

It’s easy to feel overwhelmed by the variety of options, but the right approach can make all the difference. Skybound Wealth advises a holistic view of retirement planning, where your pension fits into a cross-border strategy. This approach considers factors like tax laws, international treaties, and currency risks. Choosing a qualified adviser with expertise in both UK and UAE financial landscapes is key to making the most of your expat status.

Why Adviser Quality Matters

Expats are vulnerable to receiving subpar advice if they’re not careful, which can lead to unsuitable investments and losses. The UAE is home to many advisers, yet only a fraction have UK-UAE regulatory capability. Selecting a skilled adviser with verifiable credentials and cross-border expertise is essential for developing a pension strategy that holds up in the long run.

Professional Guidance: A Crucial Step for British Expats

The FCA’s data is a powerful indicator that professional advice is no longer optional for British expats—it’s essential. Skybound Wealth’s advisers bring decades of combined experience in cross-border finance, specifically geared toward expats. Our guidance helps protect your retirement assets while capitalizing on the advantages of living in the UAE.

Secure Your Financial Future Today

If you’re a British expat in the UAE, don’t leave your pension to chance. Consult with our specialized advisers to ensure your pension and investments are aligned with your goals. Reach out to our team today to make the most of your financial status as an expat and make the most of international pension planning with confidence.