What happens to your bank accounts, tax refunds and pension when you leave the UK on a UK visa?

On a UK payslip, Income Tax, National Insurance, and pension each occupy a separate line. Bank transaction records show the salary deposit, while the pension annual statement lists the contributions and account status separately. Before leaving the UK, these documents can be placed in the same file folder.

This is suitable for those who are ending their work in the UK and preparing to move abroad; short trips do not need to follow the closing procedures.

Keep the account open, wait for the final payment to be received

One approach is to transfer the balance before departure and close the account; another is to first verify pending receivables and payables, then determine the account closure date. I prefer the latter, provided the bank allows keeping the account after moving to the destination. Operationally, first clarify overseas residency restrictions, update the real address and tax residency information, download transaction records, and list unpaid salaries, rental deposits, utility refunds, and outstanding bills. Before changing the phone number, confirm overseas login and verification methods, and leave sufficient balance for pending deductions. If the bank requires closing the account, first confirm with the payers about alternative payment arrangements, and handle it within the time frame specified by the bank.

The closing date can be determined by whether the payment is settled, and does not need to be tied to the flight date.

The HMRC departure tax notice states: refund checks are only sent to UK addresses, and can be sent to the individual or a designated recipient, most of which need to be deposited into the individual's or recipient's UK account. The P85 guidance also reminds that HMRC does not bear the cost of currency conversion or transferring refunds overseas, and suggests considering keeping a UK account and handling it after receiving the refund.

The delivery address, recipient's name, and the account that can be credited should be determined together when applying.

Choose the right form for your tax refund; consider deductions separately

For those who normally pay tax solely via PAYE (Pay As You Earn) and are not required to submit an annual self-assessment return, tax matters upon leaving the UK are usually handled using Form P85. When leaving employment, request a P45 from your employer and provide it as required when making your claim; if you do not have this document, you should explain why. The amount refunded depends on your actual income and the tax due; leaving the UK does not result in a full refund of the income tax already paid.

There is another procedural detail on page P85: those who have not yet left the country must print out the form and post it; those who have already left the country may apply online.

Those required to complete a Self-Assessment return typically declare their departure via their annual return and the SA109 Residence Schedule, without completing a separate P85 form. HMRC’s own online tax filing service does not support the use of this schedule to declare departure; you may instead use commercial software that supports it, or submit a paper return by post. Individuals who remain employed by a UK employer and are working full-time overseas for at least one full tax year should also check whether they are required to submit a P85 at the same time. Those who continue to receive income from sources in the UK, such as rental income, whilst abroad may still be liable to file a UK tax return.

A refund of income tax is only granted if you have overpaid; National Insurance (NI) contributions cannot be refunded simply because you are leaving the UK permanently.

Pension contributions are first placed in a pension account; there is no need to transfer them when you move house

Including your pension on the list of ‘everything to be withdrawn before departure’ can lead to an overestimation of the funds available for the move. Leaving the country does not in itself constitute grounds for early withdrawal of occupational or private pension benefits. The guidance on overseas pensions provided by MoneyHelper, the official public financial advice service, sets out two options: continuing to manage your pension in the UK, or assessing whether to transfer it to an overseas pension scheme. If you choose to retain your existing scheme, you should notify the administrator of your move, update your contact details and keep a record of your membership number and annual statements; once you meet the relevant eligibility criteria in future, you can claim your pension under the scheme whilst living abroad. Occupational pensions and the State Pension, which is calculated based on National Insurance (NI) records, each have their own eligibility criteria, so you should retain records of both.

Before proceeding with a cross-border transfer, it is advisable to obtain a written explanation of the costs, tax implications and changes to existing entitlements before deciding whether to sign the transfer documents.

My judgment is that those who leave the country normally and have not yet met the conditions for receiving pensions do not need to transfer their pensions as part of the exit procedures. It is more practical to compile in one page the plan administrator, member number, conditions for withdrawal, and overseas contact information for each plan, rather than transferring them before departure. When it comes to future withdrawals, verify the tax treatment in the UK and the place of residence; if transfer is indeed required, first obtain professional advice from a regulated pension provider.

Leave enough time for the account to be closed, and leave a complete record for the pension. These payments after leaving the UK will then have a place.

[Data source] HMRC "Exit Tax Guide" "P85 Application Guide"; MoneyHelper "Handling of Pension Funds When Relocating Abroad". Verification date: October 12, 2026. This article is for reference only; please consult a licensed lawyer for specific issues.

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