Basics

As a resident of the Bailiwick of Guernsey you can save for your retirement either through an occupational pension scheme, a Retirement Annuity Trust Scheme (RATS) or a Retirement Annuity Contract Scheme (RACS), as personal pensions set up direct with an insurance company are not currently available in the Bailiwick.

With effect from the 30 June 2017, the formation, administration and management of pension schemes and gratuity schemes are regulated activities.

Occupational pension schemes are workplace pensions which may typically take the form of either salary-related (defined benefit) schemes or money-purchase (defined contribution) schemes. Salary-related schemes are rarely offered these days.

In the Bailiwick, companies who advise on the formation of trusts are regulated by the Guernsey Financial Services Commission (“the Commission”) to carry out this activity. Furthermore, a licensed insurance intermediary is able to provide advice on the formation of a suitable pension scheme. However if the advice is given by a lawyer, accountant or actuary in the ordinary course of their professional business, this is not regulated by the Guernsey Financial Services Commission.

In addition those in the Bailiwick who administer occupational pension scheme or RATS, provide investment management services to these schemes or act as trustee of a scheme by way of business, are required to be licensed by the Commission in respect of these services.

There is extensive information available on the subject of pensions. Below are links to Citizens Advice and the Money Advice Service websites which you may find useful, particularly around why you should save for the future, as well as the different types of pension products. However, please note that these are aimed at consumers based in the UK, and are not Guernsey-specific.

Citizens Advice  - Pensions 

Money Advice Service - Work, pensions and retirement

More information about Guernsey’s Pension benefit system can be found via the following links:

States of Guernsey - Old Age Pension

States of Guernsey - Old Age Pension Benefit Rates