Retiring in Europe

Retiring to
Europe
A Guide to the Best Places

to Retire in Europe
Retiring to
Europe
A Guide to the Best Places
to Retire in Europe
ii RETIRING TO EUROPE
Authors
Zoe Dare Hall, Jason Porter
Design
Lynda Durrant, Full Circle Design
www.fullcircle-design.co.uk
Print
W&G Baird Ltd, Antrim
Photos © istockphoto.com
unless shown otherwise
Editorial, Publishing
& Digital Management
Susie Gysin, Iain Yule
Atticus International Ltd
www.atticusinternational.com
www.retiringtoeurope.com
iii
Foreword
As Britons, we have long been keen from residence in France because of
to explore the world – in our youth, its notoriously high tax regime. But in
during our working lifetime and on some circumstances and with sensible
holiday. But there is also now a trend planning, France can be a tax haven!
towards retirement abroad – and we Choosing the right location will
are particularly drawn to Europe. make so much difference to the
If you have enjoyed your working enjoyment of your retirement. So
life overseas, for example, in the before you make a final decision, I
Middle East or Asia, the warm outdoor would urge you to seek local advice.
Mediterranean lifestyle is especially And one excellent source of advice is
attractive. But you may also like the available from the twenty local offices
convenience of a short hop on a plane of Blevins Franks who have been
to see family and friends in the UK. So advising UK nationals who have retired
southern Europe can offer the best of to Europe for over 40 years.
both worlds. For further guidance do not hesitate
But where best to retire in Europe? to call us on +44 (0)20 7389 5220
This book considers the pros and cons via the website
of the popular options. It looks at www.retiringtoeurope.com
climate, lifestyle and culture, language, or email us at
travel connections, the affordability of [email protected]
property, access to healthcare and the
tax and other financial implications of
residency in ten European countries,
including the UK.
However, this book can touch only
briefly on the topics that you need to John Stone
consider. And things are not always as Chairman
they appear on first sight. For example, Blevins Franks Financial
wealthier retirees may be discouraged Management Limited
iv Retiring to europe
All information in this book is based on Blevins

Franks’ understanding of legislation and taxation
practices at at July 2017; this may change in future.
It is only a general guide and, in explaining complex
matters in a simple way, cannot be relied upon as a
substitute for professional advice. The authors and
publishers cannot accept any responsibility for loss
occasioned to any person acting (or refraining from
action) as a result of reading this book. You must take
detailed professional advice relevant to your particular
circumstances before any action is taken.
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British Library Cataloguing in Publication (CIP)

Data. A CIP record for this book is available from
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ISBN 978-1-9997347-0-1
© Blevins Franks 2017
v
Contents
Introduction 3 Spain 52
Why you need this book 5 Overview 53
Lifestyle and culture 9 Lifestyle and culture 59
Language and immersion 10 Language and immersion 63
Accessibility 12 Accessibility 66
Climate 13 Climate 68
Property 13 Property 70
Healthcare 14 Healthcare 76
Tax and tax residency 15 Finance 77
Finance 16 Cost of living 82
Cost of living 17 Moving there 83
19 Moving there
france 22 italy 84
Overview 23 Overview 85
Finance 44 Finance 105
Cost of living 49 Cost of living 106
Moving there 51 Moving there 109
vi Retiring to europe
portugal 110 malta 168

united kingdom 144 cyprus 190

Contents vii
greece 214 croatia 250

turkey 234 Further

Overview 235 Information
Lifestyle and culture 237
Language and immersion 238 Please refer to
Accessibility 239 www.retiringtoeurope.com
Climate 241 for more information and updates
Property 241 on expatriates and Brexit.
Healthcare 247
Finance 247
Cost of living 248
Moving there 249
viii Retiring to europe
1
2 Retiring to europe
3
Retiring to Europe
– An Introduction
Many of us dream of retiring

to the sunnier parts of Europe.
Some of us may already have
experienced life overseas in a
warm climate and wish not to
have to endure another British
winter. Even if you only have ever
been on holiday to Mediterranean
Europe you may still harbour a
wish to make a holiday into a
x retirement home.
Vineyards in Vosges, France
Many of those who make firm plans Even if you have never been an
to retire to Europe have already expatriate, Britain may be losing its
experienced travel and life abroad. A appeal.
surprising number of Britons have If you are among these numbers, are
done so. you questioning whether this is where
For example, there are an estimated you want to spend your retirement? If
240,000 Britons living and working so, then this book is for you.
in the United Arab Emirates, You may be approaching retirement,
which represents the largest western or you may still be some years off but
community in the region. Tens of have you thought about what comes
thousands of UK nationals have also next?
built up lives in Saudi Arabia, Bahrain Retiring in the Middle East, for
and elsewhere across the Middle East, instance, is almost certainly not
In the Far East, an estimated an option. The number of British
33,000 Britons have continued to live pensioners in each country barely
and work in Hong Kong since the reaches triple figures. In most of
handover to China, and 45,000 call the these jurisdictions, your work visa
city state of Singapore their working expires once you reach 60, there are
home. no pensioner visas and you will have a
Many more Britons who have had limited time in which to leave. That’s
working lives as expatriates are now when your plan B needs to kick in.
back in the UK and pondering their While there are no real restrictions
next move. in the Far East, most expatriate life
introduction
spain 5
congregates around huge metropolises,

with little space to live, let alone think.
You may be hankering for a slower
Why you need
pace of life with more room to breathe. this book
If you are in the UK, you may be
Many Britons have made new lives
tiring of long winters and the many
overseas, particularly in the Middle
days of rain.
and Far East, drawn by the
It can be a daunting prospect trying
opportunities to earn high, tax-
to plan for the next stage in your life
free salaries, enjoy a high quality
when it involves moving away from
of expatriate life, and to make the
everything you are used to.
most of what can seem – when
But from our network of partners
you are relatively young – a land of
around Europe, and the many clients
opportunity. You may have viewed
we have helped over 40-plus years, we
the move as a chance to reinvent
feel we have the knowledge and insight
yourself by starting afresh, build
to help you work out what will be the
up your savings and gain future
best move for you.
financial freedom before moving on
In this book, we focus on the areas
to something and somewhere better
of Mediterranean Europe that British
suited to retirement.
expatriates prefer to retire to: France,
The question is, what and where
Spain, Italy, Portugal, Cyprus, Malta,
is that?
Greece, Turkey and Croatia. We also
The natural move for many British
look at the UK and how, if you last
expatriates will be to return to the UK.
lived there many years ago, it may have
That is where you may have family
changed.
connections, a property perhaps, and
We are experts in tax and wealth
it offers the ease and familiarity of a
management and we can provide
country, culture and language you
specialist expatriate advice on all
aspects of financial planning. But
the bigger purpose of the following
chapters is to encourage you to think
about the practicalities of moving
abroad and the life that suits you.
As you read, we hope it will
encourage you to start questioning
what you are looking for and start
drawing up a checklist of what you
realise is important to you and your
future. And that, we hope, will help
Tenby in the UK
you to make the best decision.
Brexit and a move to Europe
Vineyards in St Emilion, France
The UK’s decision to leave the UK and European politicians, where

European Union – based on the result existing rules will continue to apply
of the referendum on 23 June 2016 – while negotiations are ongoing.
came as a shock to many, not least the Until any transitional period has
millions of British nationals who live been concluded, the UK will remain
in Europe. a member of the EU, so for the
It will take a number of years foreseeable future there should be little
before Britain fully extricates itself change.
from the European Union. Article 50 The big question mark hangs over
of the Lisbon treaty triggering exit what will be the final agreement, as
itself sets a timetable of two years, but no member state has ever left the
as more detail has become available European Union before.
since the vote, that sounds like a There are all manner of so-far-
hugely optimistic timetable. Most unanswerable questions about what
commentators think it will take several Brexit will mean for Britons’ right
years for the UK to leave the EU to live in EU countries, receive UK
completely. inflation-linked state pensions abroad
In the meantime, the idea of a and receive healthcare on the same
transitional period is becoming more terms as locals.
of an accepted compromise among Amid the initial panic and
introduction
spain 7
confusion that arose after the wrapped up in the overall negotiations.

referendum vote, various EU countries In the end, it is quite possible
have sought to reassure their British that new bilateral and multilateral
residents that their future is secure in agreements will maintain what
their adopted country, and are mindful were the more crucial areas of EU
of the negative impact any drastic membership for those UK nationals
changes to the residency rights of who choose to retire to mainland
foreigners will have on their tourism, Europe.
property markets and wider economies. From a tax perspective, your tax
Our view at Blevins Franks is that status in your new country of residence
until the UK’s exit process is finalised, is not affected by the vote to leave the
the referendum vote does not affect EU, or the eventual exit. Crucially, the
your residency status. Anyone who double tax treaties between the UK
is contemplating moving abroad has and all the European nations are not
several years in which to consider dependent on the EU.
how to respond to whatever changes Similarly, the investments and
emerge. financial products we arrange are not
The UK has a large trade balance dependent on UK rules. They are
of payments deficit with Europe, and provided by companies based in the
the EU will want to maintain access EU such as Luxembourg and Malta, so
to UK consumer markets, which they will remain EU compliant and as
have proved the strongest in the EU tax-efficient as ever.
in recovering from the 2008 slump. Our financial advice to expatriate
Correspondingly, the UK has a huge clients is provided from outside the
services balance of payments surplus UK, but within the EU, and hence is
into the EU, so some of the largest unaffected by the UK referendum vote,
groups pressuring for a favourable Article 50 or eventual exit from the
agreement are the UK-based financial EU. We remain in a strong position
institutions, accountancy and law firms to continue to provide compliant
who advise the rest of Europe. wealth management and tax planning
So as you can see, there are solutions to British expatriates in
real drivers for each side to reach Europe and those who have returned
agreements which they can both call a to the UK.
success.
It is likely that what might be Please refer to
considered ‘minor’ issues in the www.retiringtoeurope.com
whole process, namely residency, for the latest on how Brexit affects
inflation-linked state pensions and Britons in Europe.
commensurate healthcare will be
know and understand. healthcare, restrictions on property

But many expatriates no longer see ownership and minimum investment
the UK as their place of return. You quotas for foreigners. While some
may no longer have family or a home south east Asian countries offer long-
there – and after years of living in the term visas to tempt Britons to retire
Middle or Far East, the prospect of there, others only allow foreigners to
returning to a cold climate holds settle if they are employed.
little allure. Australia and New Zealand do not
Any of the quieter, less developed have the same disadvantages, but the
regions of Asia, Australia or New cost can mean your retirement dollar
Zealand may feel like a more natural goes nowhere near as far, and they are
move after life in the fast lane of the located even further from family and
Middle or Far East – and it’s a region friends in Europe.
that can similarly offer year-round On the other hand, if you find the
warmth, widely spoken English and a right part of Mediterranean Europe
relaxed, outdoor lifestyle. to suit you, it can offer many of the
Perhaps a relatively low cost of living benefits that Asia offers without
is an attractive sweetener for those used the restrictions. Given the right
to the high living costs in the UAE, jurisdiction, such as Malta, Cyprus or
Hong Kong and Singapore. After years Portugal, it may also offer distinct
of working – and possibly playing – tax benefits.
hard, retirement is a time to preserve Your next move is also a way of
your wealth and make it stretch as far investing in your – and your family’s
as possible. – security. It is an issue that may have
But you need to consider the played an important role in your life
possible disadvantages too, which already and you will have learnt to
certainly in Asia can include poor adapt to living as safely as possible.
But as the world enters a new phase
of political and economic uncertainty,
you need to know that you have a
relative safe haven you can move to at
any time.
‘Safe haven’ is a much-used phrase
– and one largely applied to property
markets such as London’s – in the
context of relatively low-risk places
to invest your savings. But a safe
haven is about far more than property
investment; it’s about your entire
Monsaraz, Portugal
introduction
spain 9
Marsamxett Harbour and Valletta, Malta
future well-being and you don’t have try something totally different – an
to be approaching retirement to start opportunity to integrate into the
planning for this. local culture and feel part of a more
Europe is a vast continent – and authentic and permanent community
within it, each country offers massive rather than a transient, international
regional diversity. You may not even one?
have started thinking yet about which Think about what you enjoy doing
country might appeal, let alone which currently and what you will regret
area of the coast, countryside or city to giving up in retirement if you can no
move to. We hope this book will help longer have it. If you want a beach,
you narrow down your choices. what type? The coastline can differ
Here are the ten key areas to get you dramatically from one region to the
thinking about what will suit next, so do you want mountains that
you best… drop down to craggy coves or endless
miles of sandy beaches? Do you like
The lifestyle choice wild, empty golden stretches or prefer
bars and restaurants?
Do you want to be part of a sizeable Is having theatre, art galleries,
and cosmopolitan expatriate cinemas and shopping malls on the
community, based in a city with all the doorstep important to you? Are you
buzz, social life and culture that offers? looking for urban sophistication or a
Or could this move be a chance to rural escape from it all?
If you can’t go a week without

hearing live music or eating out in high
quality restaurants, don’t retreat to the
depths of the countryside thinking
you will be happy passing your time
listening to bird song and nibbling
olives from the trees. And there may be
© MaximeF, flickr
a rich cultural offering available – but
is it the sort you want? Every town
and village will come alive at various
points of the year with local festivals
and celebrations, but if you want to Food market, Valencia, Spain
see the latest English-language films,
challenges, so knowing that you won’t
art exhibitions or hear high-profile
feel you are tackling an assault course
musicians, you will need to be in or
every time you try to order a meal or
near a major city.
buy your groceries is reassuring indeed.
An expatriate community brings
Language and with it the added possibilities of a
immersion ready-made social group. Many such
communities will have regular get-
Language almost certainly hasn’t yet togethers and events, which will allay
been an issue for you as English is any fears you might have of loneliness
spoken everywhere in the professional or isolation. There may also be well-
and social circles you have become established British clubs, such as golf
accustomed to. But it will play a key clubs or other sports or social clubs,
role in your decision on where to live that bring together a similarly close-
in Europe. knit, like-minded community.
Is it important to you to be part Certain resorts – notably in Spain
of an expatriate community? If the and Portugal – will have residential
answer is yes, your options will centre areas that are largely occupied by
around certain coastal resorts, cities foreign nationals, with self-sufficient
and the occasional inland town that enclaves of villas or apartment blocks
has developed a devoted following that overlook gardens and pools and
among foreigners. What does being have their own small supermarket, bar,
among an expatriate community bring hairdresser etc.
you? Essentially, it’s about staying This kind of resort-style living, or
within your comfort zone – and gated development, is most likely to
there is nothing wrong with that. either appeal or appal. It often comes
Living abroad throws up all sorts of with the benefits of having attractive
introduction
spain 11
grounds and communal facilities and possibly entirely different regional

that you don’t have to worry about languages, as is the case in Spain.
maintaining – and of always knowing To immerse yourself successfully,
you will see someone you can chat you will also need to learn – and
to when you leave your house. But if appreciate – the local way of life. There
you have a more romantic notion of are only so many times you can walk
living in the ‘real’ Spain or Portugal, into a Spanish restaurant at 7pm and it
or wherever you choose, where you are is either not yet serving or you are the
part of a local community, then this only customer until the locals arrive
isn’t the choice for you. at 10pm. Or you head out shopping
There is a middle ground between in a French market town at 2pm only
living among fellow Britons and to find everything has shut down for a
throwing yourself in at the deep end few hours.
in an entirely foreign community. It’s all part of the idiosyncratic
Social media such as Facebook groups charm – or inconvenience, depending
– where you can chat, exchange advice on how you view it – of living abroad.
and organise get-togethers – make it And if you find things like that – or
easier than ever to feel part of the local the inability to buy a certain kind
expatriate scene without having to live of teabag or butter – a hindrance,
in a defined enclave. Many towns and then living in an area where there are
villages will have expatriates dotted British-owned and run bars, shops and
around them, living like locals from restaurants will be to your benefit. And
day to day but with a strong network there are plenty of them if you know
of international friends for their social where to look.
life. Indeed, food culture plays a
Most of our fear about being part significant role in many Mediterranean
of a ‘real’ local community boils down regions – and being an enthusiastic
to being able to speak the language –
or not, as is the case for most Britons
overseas. The reality is that however
well you did at school all those decades
ago, it’s not enough to enter into
© Dominique Bernadini, flickr
meaningful conversation with your

neighbours. And learning – or even
brushing up on – a foreign language
as a mature adult is 100 times harder
than it was when you were a teenager.
Bear in mind, too, that within one
country you will hear different dialects
Tapas on the Costa Blanca, Spain
part of it is a quick route to a permanent home abroad as to a

integration, from buying your weekly holiday home-buyer. It can apply even
shop in the outdoor market in the more so, as proximity to a big town
town square and eating in the local or city can be a life-saver when the
tapas bars or bistros, to understanding rural idyll starts to feel like unwanted
the local mores of ordering or tipping isolation.
and being able to share the chef ’s or Think about how often you are
restaurant owner’s enthusiasm over likely to want to travel once you live
what you are eating. If your idea there. Do you have elderly parents
of food heaven is Michelin-starred back in the UK who you will want to
restaurants, takeaways, a big choice of visit regularly? And think about the
supermarkets and Sunday opening, it ease of friends and family coming to
will all inform your choice of where – see you. Will they make the effort if it
and where not – to live. requires a three-hour drive once they
land at the nearest airport?
Accessibility Access to an international airport
– or ideally more than one, to open
Most overseas property searches start up your choice of airlines, air routes
with the criterion of being within an and flight costs – is important for
hour of an international airport – and most people. Regions served by several
there’s no reason why that shouldn’t airports, such as south-west France,
apply as much to someone choosing also limit the possibility that you will
The French Alps
introduction
spain 13
be left stranded if budget airlines

cut their routes.
Proximity to high speed train links
to the rest of Europe and the UK can
be important too in a climate where
people are increasingly choosing to
travel overland rather than fly. That,
too, may influence your decision, with
much of France now easily accessible
by TGV. Spain, too, has transformed
travel times with its high-speed
Vernazza, Italy
AVE network.
tolerating the British climate daily, but
Climate such expatriates say they tire of wall-
to-wall sun. If that’s you, then there are
Nowhere in Europe quite offers the many places where you can appreciate
wall-to-wall sun that you may have the changing colours and temperatures
become accustomed to in other of the seasons, from Tuscany to
countries – say in the Middle or Far Provence.
East – but some locations such as
Cyprus, Malta and the Canary Islands
come reasonably close.
Property
How much does the weather matter The decision of where to move to in
to you? You may have forgotten how Europe may be influenced by whether
big an issue a changeable climate can you already own a property in a
be, when every day is hot and sunny, particular country. Many Britons may
but weather can have an affect on your have previously bought a second home
emotions, energy levels, health and in the Mediterranean that they either
well-being. If this rings true for you, previously lived in or used as a holiday
look carefully at the typical climate in home.
the areas you are considering as there Or this may be a totally new move
can be big regional differences within for you to a country you have never
a country. If you are expecting truly lived in, or spent significant time in,
warm winters, then forget France’s before.
Atlantic coast, the Lisbon coast or the In either case, you may want to
Balearics. consider renting a property initially to
Equally, some Britons who move find a location that suits you.
overseas lament the lack of seasons. It Once you live somewhere, you soon
seems an odd complaint to those still learn which are the best areas, down
to the best parts of a particular street. (whether for better or worse). Read up
You will also learn what is important on any traps to avoid such as properties
to you. Do you want to be within that have been illegally built or
walking distance of the beach, in the extended or areas notorious for massive
centre of town or within a stone’s over-supply, where you will struggle
throw of restaurants and shops? Or do ever to sell.
you prioritise relative seclusion, even You might even try renting a couple
if that means having to jump in a car of different types of property – a new-
every time you need to leave the house? build and an older property. What are
A period of renting will also give the pros and cons of each? A new-
you a good chance to get to know the build is modern and low-maintenance,
local property market: what are local but it may be in a gated resort that’s
prices doing, what’s selling and what’s predominantly used as holiday homes
sticking (which will help you both in and deathly quiet out of season. An
terms of knowing where you might older property may have great charm
be able to get a bargain – but also to but require constant maintenance or
consider how easy it might be for you substantial improvement.
to sell further down the line). You will soon see a huge disparity in
Find out which are the good, prices within a short distance – from
professional estate agents who are those within walking distance of the
experienced in dealing with overseas beach to a couple of miles inland. Are
clients, which buying costs you need you happy to pay a premium because a
to factor in to a property purchase – property is near the beach? Are prices
and whether now is a good time to in the area higher because of proximity
buy. Look at the recent trajectory of to a sought-after international school
property prices, predictions for the that you have no need for? Would
coming 12 months and anything it suit you equally well to move to a
that might influence property prices marginally different area where you
can drive to the beach in a few minutes
and pay considerably less?
Healthcare
Healthcare is one of the biggest
concerns for British expatriates abroad
– particularly those nearing or in
retirement. If you have a pre-existing
condition, this will also be something
in the forefront of your mind and you
Condominiums in Malta
introduction
spain 15
will need to have a clear idea of the

costs and standard of medical care
available.
It may be an issue we prefer to
avoid, but the reality of older age
is that our healthcare needs are
likely to increase and become more
complex, so it is important to choose
a location that offers a good standard
of healthcare that is either available
for free or that will be covered by an
Oysters, Bordeaux, France
affordable private healthcare
insurance policy. nomad – where you don’t satisfy the
Few European countries have tax residency rules of any one country,
welfare provision like the UK. Instead, because you divide your year between
there is often a reliance on the family a number of jurisdictions – is not
to help in times of need – which you something we would recommend as
are unlikely to have at your disposal. it will potentially mean you end up
If you have not made enough paying far more tax than you need to,
National Insurance Contributions and something is always likely to
(NICs), which, if kept up for 35 years, go wrong.
entitle you to free state healthcare and Understanding where you are tax
some other state benefits in the EU resident is crucial as it is usually your
and UK, then you will need to take country of residence that will tax you
out private health insurance to cover on your worldwide income.
healthcare costs. It is vital to get your tax residency
right. If you have failed to submit the
Tax and tax residency correct tax returns, or have under-
declared, it will be treated as tax
Choosing where you are tax evasion, however unwitting you were.
resident If you have different sources of
You may already be used to living income, you need to check your
overseas. You may have moved within position carefully. If you live abroad,
the region a number of times and be you must fulfil the tax obligations of
used to travelling a lot and you want to your foreign country of residence. Tax
maintain that feeling of flexibility and treaties between countries will address
freedom in retirement. any issues of double taxation.
Having a nomadic lifestyle may Most countries insist that you spend
have its appeal, but being a fiscal a minimum number of days there
each year to qualify for tax residency – If you are relatively well-off, wealth
typically six months. If you spend less tax might be a sticking point in certain
than the required time in each place, it jurisdictions such as France and Spain.
can become complex. Inheritance tax rules also vary
The tax benefits will play a key dramatically from country to country.
part in your choice of where you If you are UK domiciled you will still
retire to – but it is far from the be subject to UK inheritance tax on
only consideration. There are some your worldwide assets.
jurisdictions such as Portugal, But we would advise you, first of all,
Cyprus and Malta that offer obvious to find the country that you really like.
tax benefits to those who move or Where do you want to live? Where is it
retire there. But it doesn’t mean you that offers the life that appeals to you?
should immediately rule out other Go and visit and see what feels right.
destinations such as France or Spain, as Then, with our expert advice, look at
with proper, professional tax planning, how you can make that destination
they could prove to be similarly or work best for you.
even more tax efficient for your
particular circumstances.
Another consideration for
Finance
non-EU residents is the various Tax should not be the main reason for
residency or ‘golden visa’ schemes choosing your retirement location, but
operated by different countries, getting it right – which means making
each of which requires a minimum your investments, assets and income
investment in property (or other forms as tax-efficient as possible, in order to
of investment) in return for residency preserve your capital in retirement –
and, in most cases, visas and eventually will ensure you have a far happier time
citizenship. there.
Portugal currently offers an
appealing tax incentive for retirees,
with UK private, company and state
pensions exempt from tax for the first
ten years under the country’s Non-
Habitual Residents Programme.
Cyprus has a maximum tax rate
of 5% on pension income and Malta
operates its taxation on a remittance
basis, which means you are only taxed
on income you bring into Malta, and
then generally at only 15%.
Lion doorknocker, Malta
introduction
spain 17
If you have been living in the

Middle or Far East, it is likely you will
have become used to a largely tax-free
lifestyle. Suddenly, when moving to
Europe, there will be a variety of taxes
to consider. Some will be familiar by
name but not by nature (they may
be calculated completely differently
to what you have encountered in the
UK). Others will be peculiar to one
particular country. And some will
depend on how you structure certain
investments, or property ownership,
Wine barrels, Porto, Portugal
and should be addressed before you
make the move. cars, clothes and entertainment – on
There are a number of important cost comparison websites such as
financial considerations. See the Expatistan.com or Numbeo.com.
information panel, Eight financial The many expatriate forum websites
questions to consider. and expatriate blogs may also prove a
useful source of advice on cost matters,
Cost of living such as whether it’s cheaper to buy
electronic goods in the UK, the cost of
Europe is no longer a cheap place to furnishing a flat locally – if you don’t
live. The days of €20,000 farmhouses, fancy the cost and effort of moving
meals out for under €10 and negligible your current possessions half way
bills are largely a thing of the past, with across the world – and tips on where to
prices having risen steeply since the find the best fresh produce (something
introduction of the euro. that is of great importance to those
However, living costs in all of the looking to make the most of a healthy
European countries we cover in this Mediterranean diet).
book compare favourably with those A glance at local estate agencies’
in the UK – and particularly compared websites will show you what you can
with London. Housing is likely to be afford to rent or buy. Whether you want
the biggest expenditure and rents are to know how much a new car will cost
significantly lower, even in the most or how much your monthly wi-fi bill is
expensive capital cities such as Paris likely to be, the cost of everything can
and Rome. be sourced online. That level of forward
You can get an idea of all living planning can make the difference
costs – from food to housing to bills, between living comfortably and living
Eight financial questions to consider

1 Where are you tax resident? This be taxed at a fixed rate, which can be
is important because your country of significantly lower than UK rates.
residence will normally tax you on
your worldwide income and gains. 6 Are your investments tax efficient
for you? Investments set up in one
2 Are you paying tax in the right jurisdiction may be less advantageous if
place? Many British citizens abroad do you move to another. For instance, UK
not. ISAs have no tax efficiency overseas.
3 Are there any special regimes for 7 Do you have rental properties –
new arrivals in the country? Portugal and rental income – in the UK or the
has its Non-Habitual Residents regime, European jurisdiction that needs to be
and Malta has various residency taken into account?
programmes, for example.
8 How will succession law in your
4 Is there a double tax treaty and does new country of residence affect the
it stop you from paying too much tax? inheritance tax your beneficiaries
will have to pay? Some assets may be
5 What about your pension income? subject to tax both in the UK and
Some jurisdictions allow you to take it your new country of residence when
tax-free for a period. Others allow it to you die.
Corinthia Marina Hotel, St Julian’s Bay, Malta
introduction
spain 19
in fear of running out of money. If you are retiring abroad, you need
One in five British expatriates in to preserve capital and make sure your
France, for example, leaves within investments or savings are working as
five years – and in most cases, if it’s hard as your risk threshold allows. You
not the linguistic hurdles, it is being will be dependent on your pension and
unprepared for the cost of living that any other sources of income to cover
proves to be their downfall. your living costs.
Prepare a contingency too for swings
in the currency rate. In the last decade,
sterling has ranged from nudging
Moving there
parity with the euro during the global The UK’s decision to leave the EU has
crisis to being its strongest in a decade thrown question marks over many of
in 2015. It has weakened considerably the issues associated with moving to
again, following the UK’s vote to Europe.
leave the EU. A dramatic change in While Theresa May has laid out her
the exchange rate can suddenly make plan for Brexit, it will be the biggest
life far more expensive and devalues a change in the European political
UK pension to the point in the 2008 landscape since the Second World War.
recession when many were forced to But for now, the UK remains a full
return to the UK. member of the EU and nothing has
Lavender fields, France
changed so the rules and regulations interest to penalise British residents

that apply to EU members still who already live, own property
currently apply to anyone British who and contribute to the economy in
is moving to an EU country. Article 50 these European countries and, in
allows two years for a country’s exit, many cases, constitute a significant
but most commentators think it will proportion of the expatriate population
take decades for the UK to extract itself – or indeed the total population – in
from the EU. It is likely then that a certain regions. New arrivals will also
transitional period will apply. add considerable spending power to
The requirements for non-EU local economies, and these European
members remain the same. Depending countries will not want to deter new
on when the UK leaves Europe and UK expatriates from buying property
what deal it strikes, these requirements and living there.
may apply to British residents in Our expert advisers, who are based
coming years. That could include in the UK and around Europe, are
higher property taxes, since non-EU fully informed of current developments
nationals pay higher rates in some cases regarding the UK’s position in Europe
than EU nationals, the loss of the right and we will ensure that we provide
to free state healthcare, and a change in our clients with the most appropriate
pension rights. What is more likely is advice to suit the changing situation.
that there will be separate agreements
that will apply to British citizens who Please also refer to
choose to buy property or move to www.retiringtoeurope.com
countries in the EU. for the latest on how Brexit affects
In either case, it is in no one’s Britons in Europe.
Provencal country house, France
introduction
spain 21
Location of Blevins Franks offices
france 23
france
Overview
What does France mean to you?
Great food, undoubtedly, and
wine of course; a rich and diverse
culture from its wonderful historic
towns to its prolific artistic
heritage. And a highly appealing
way of life. We all want to share
in that ‘joie de vivre’ that makes
the French appear to have an
enviable grip on how to enjoy life.
Provencal town square
This is a country with the same isn’t typically what those who move to
population as the UK but twice the France want either.
land mass. If you want tranquility and Instead, its interior – ‘La France
solace while looking across beautiful profonde’ – holds the greatest allure.
landscapes you can find it throughout That partly – perhaps overwhelmingly
France. If you want beaches or ski – comes down to cost. As the French
slopes, medieval villages or modern migrated to cities from the 1960s, rural
cities, it’s all there. villages were left largely abandoned and
country properties fell into disrepair.
The good life The foreign property pioneers of the
Around 250,000 Britons live Peter Mayle variety in the 1980s found
permanently in France, about 57,000 ruins to renovate and became a pivotal
of them retired. A further 18,000 are part of local village life in the process,
joining their ranks each year, making inspiring many more to make a similar
it the most popular country in Europe move.
for migrating Britons. But think about just how ‘profonde’
Nearly 90% of British residents in the countryside you want to be. Do
in France live in the countryside. you really want a long drive every time
Unlike Spain, where most foreign you need to stock up at the nearest
residents settle in established coastal supermarket? How accessible is the
resorts with large English-speaking area for you, and visiting family and
populations, France offers little of that friends? You may also want to consider
kind of coastal community – and it whether your French is up to the job
france 25
of navigating local life if no-one else They are dotted in pockets along the
speaks English. And will the joy of coast and into its hinterland, around
seclusion become frustrating isolation towns such as Grasse and Mougins,
when the towns shut up in winter and and smaller villages such as historic
the surrounding countryside seems Eygalières, surrounded by the vineyards
bleaker? and olive groves of Provence’s Alpilles
mountains.
Year-round appeal Antibes and Cannes have permanent
Every region has its distinct charms, British communities and a large
whether it’s the architecture and number of expatriates settle in the
elegance of its towns, its landscapes, Valbonne area. Speaking French in
vineyards or beaches. What sets them this region will be helpful, but not
apart greatly is their climate. Some essential. As you head west to the Var
towns are dominated by holiday coast, towards Toulon, the need for
homes – coastal spots nearest to Paris, French increases and British residents
for example, such as Le Touquet are more likely to be completely
and Fort Mahon Plage – so you will integrated in local life.
find yourself going about daily life If skiing is your hobby, many
surrounded by houses that are boarded resorts are ploughing money into
up until the summer holidays. Head enhancing their year-round appeal.
south to the Languedoc and outside of Morzine and Châtel, near the Swiss
summer, many shops will be shut. But border, have recently invested large
the region’s year-round warmth makes amounts in improving and expanding
it a highly enjoyable place to while their summer offering. Also good for
away the days, whatever the month, in year-round living are vibrant, but
harbour towns such as Sète or smaller pricey, Chamonix, which has one of
Marseillan. the largest resident populations in the
On the Cote d’Azur, life in the big,
working towns such as Nice, Marseille
and Toulon carries on year-round – but
this may not be the French idyll you
are looking for in retirement. Smaller
towns such as St Tropez, Gassin and
Ramatuelle are beautiful but far
more seasonal, dominated by second
homes, as are villages such as Eze and
Villefranche.
One thing you can be sure to find
in the South of France is other Britons. St Tropez waterfront
Ten beautiful French towns

and villages
3 Piana (South Corsica)
Again, traditional white-washed stone
houses and churches make up this
town in Corsica, a listed Unesco World
Heritage site. A picturesque setting
with the Gulf of Porto below, Piana
has the eighteenth century church of
Saint-Marie to complement the many
boutiques, bars and restaurants.
Piana, Corsica
4 Perouges (Ain)
France is full of beautiful towns and Perouges is a medieval walled town
villages. Here are just ten to whet in the northeast of Lyon, that is so
your appetite. romantic, homey and old-fashioned
that it is often used in films. The spring
1 Ars-en-Ré (Nouvelle Aquitaine) festival in April, and various musical
A town of white-washed houses and events ranging from baroque to jazz in
traditional green shutters, with a June bring the town alive.
relaxing but sleepy beach town vibe.
A maze of enchanting streets, with 5 Lourmarin (Provence)
many high-end restaurants, and a Nestled in the middle of vineyards,
church with a distinctive black and olive groves and almond trees,
white steeple sits in the main square – Lourmarin is an animated and busy
a beacon for sailors for hundreds village in the summer, and cafe
of years. terraces, restaurants and boutiques
abound in the winding narrow streets
2 Annecy (Upper Savoy) and shaded public squares. There are
The most well-known of the French both fifteenth and sixteenth century
‘Little Venice’ towns, Annecy is a very castles to explore.
romantic location with popular terraces
that line the waterways, and the Palais
de l’Isle, a picturesque twelfth century
castle built in the middle of one of the
canals.
france 27
in the tenth century, was substantially

enhanced in the thirteenth and
sixteenth centuries.
9 Beynac-et-Cazenac (Aquitaine)
Nestled between cliffs and the river
Dordogne, Beynac’s quaint shops
and gardens along its winding streets
still allow you to glimpse the simple
Dinan, Brittany medieval village life of the past. A walk
on the Dordogne provides views of
6 Dinan (Brittany) this ‘city-on-the-cliffs’, and the twelfth
Dinan has the title, the prettiest town century Beynac castle is particularly
in Brittany, and it is easy to see why. A well preserved.
medieval town on a hilltop overlooking
the Rance river, surrounded by long 10 Gordes (Provence)
walls and ramparts, Tudor houses, Provence is overrun with charming
cobbled streets, art galleries, and towns, but one of the most magical
shops are plentiful. July brings the is Gordes. On the plateau Vaucluse,
celebration of the Fête des Remparts Gordes is truly ‘in’, a home for movie
festival. stars and artists. It rises up in a spiral
around the rock where the village is
7 Colmar (Alsace) set, at its top the church and castle
Colmar is the Alsatian wine capital, face out onto the hills of the Luberon.
and another of the ‘Little Venices’. The Abbey of Senanque has Cistercian
A town of brightly-coloured houses, monks producing honey, lavender
flower-lined canals, and a fairytale feel. essence, and liqueurs.
Home of the creator of the Statue of
Liberty, Auguste Bartholdi, the history
of both German and French rule is
visible everywhere in the architecture.
8 Gaillac (Tarn, Midi-Pyrenees)

Originating more than 1,000 years
ago around a benedictine monastery,
Gaillac’s fame is now based on the
vineyards that surround it – wines
held in international high regard. The
Abbey Saint-Michael, with its origins Abbey Senanque, Gordes
Alps (10,000), and upmarket Mégève.

More affordable options to consider
are nearby St Gervais les Bains and Les
Gets.
If you want slopes at hand but not
in a purpose-built tourist resort, you
might choose a picturesque old town
such as Samoens or go for the city life
of Briançon in the Haute Alpes. It is
France’s highest city, with many of
the buildings in its ancient cité on the
Cap Frehel, Brittany, France
UNESCO World Heritage Site list. It
boasts culture, year-round city life and close to home for many Britons
the slopes of the Serre Chevalier ski seeking retirement in the sun.
area. Sun-seekers will prefer the Poitou-
Charente in the west, which is the
Where Britons like to live in second most popular location, after
France Paris, for Britons moving to France.
Accessibility is another major factor to There are around 16,000 British
consider in your French move. Skiers nationals there, which accounts for
or mountain lovers usually want to one in three of the Poitou-Charente’s
be within an hour’s drive of Geneva foreign population.
airport – a major European flight hub Aquitaine in the south west is
– which includes French towns such as the next most popular, including
Annecy, Châtel, Combloux (Megeve’s Dordogne and neighbouring Midi-
cheaper neighbour) and Le Grand Pyrenees. Around 13,000 live in the
Bornand. Rhone Alpes in the south east, which
If you will want or need to return covers the area’s main ski resorts.
regularly to the UK, northern regions With a British population of 12,000,
such as Brittany – home to 13,500 Provence is home to what many
Britons – hold obvious appeal. The consider the archetypal images of
region has huge charm, beautiful France, with its hilltop walled towns
beaches and Breton culture, which is and fields of vines and lavender.
quite distinct from anywhere else in Around 2,300 Britons live in
France. Burgundy in east-central France –
The region’s culture has more in famous for historic walled towns
common with Cornwall than Cannes, such as Beaune, and including Dijon,
and that includes the weather. Those Chalon Sur Saone and Macon. It also
grey winter skies might be just too offers easy proximity to Geneva and
france 29
the French Alps, but land prices are residents in France want to distance
high due to the prestige of its wine- themselves from other Britons. Many
growing terroir. think they want the authentic life in
the French countryside then find it far
The allure of France harder than they imagined.
It’s a very different kind of expatriate As near to the UK as France is, do
that moves to France rather than not underestimate the isolation you
Spain. Though there are clusters of can feel if you settle in a village where
Britons in certain French towns and you are the only English speaker. It
cities, there is less desire to be part can be invigorating and challenging
of a self-contained and self-sufficient – and some will thrive on it. But it
expatriate community that drives many can also be the final straw for those
Britons to Spain. yearning for some familiarity among
People move to France because they the foreignness.
love the French lifestyle and culture.
They tend to buy older properties in
established French communities. They
Lifestyle and culture
tend to move to Spain because they The French know how to work to live,
love the climate – and then try to make not live to work – and that’s what
life in Spain adapt to what they are makes living in France so appealing.
used to. The 35-hour week and a proper
It doesn’t mean, though, that British lunch break are a fundamental part of
Provencal house
A bitesize guide to the regions

according to French analysts
GLOBECO, based on wealth, crime
and life expectancy.
Cons: Expensive to rent or buy; not
for those who want a house, garden or
tranquility; climate similar to the UK.
North-West France
Normandy
Pros: Near the UK, milder climate
than eastern France; great seafood;
home to medieval towns, seaside
Château de Pierreclos, Burgundy villages and iconic Mont St Michel,
plus the main city of Rouen; affordable
Northern France property.
Cons: Wet climate
Nord Pas-de-Calais/Picardy
Pros: Easily accessible to the UK by
Brittany
Eurotunnel (20 miles from English
Pros: Agricultural and fishing region,
coast); huge white sand beaches, pretty
so healthy eating; cheap property; lots
Kent-like countryside, elegant towns
of houses to renovate; popular with
such as Le Touquet and the city of
Britons.
Amiens; good value property; close to
Cons: High rainfall
Paris (Le Touquet is known as Paris-
Plage).
Central France
Cons: UK-like climate; few British
property owners compared with other Burgundy
French regions which are perceived to Pros: World class wines; TGV to Paris;
be more attractive. pretty, historic towns including the
capital, Dijon, with good shops and
Paris endless cultural events.
Pros: World-class city, endless cultural Cons: This is ‘la France profonde’
attractions, wonderful restaurants – you’re a long way from any coast;
and bars and every shop imaginable. property prices are relatively high as
The happiest place to live in France, land is expensive; variable weather.
france 31
Languedoc Roussillon
West France
Pros: Hugely popular as a holiday
Nouvelle Aquitaine and retirement destination among the
Pros: Mild, sunny climate; rural, with French; warm, sunny climate; beautiful
plenty of vineyards; home to Cognac scenery, attractive coastal towns such
(the town and drink); attractive port as Marseillan and Sète; beautiful
town of La Rochelle and nearby ancient walled city of Carcassonne;
islands, including France’s equivalent various regional airports; easy to get to
of the Hamptons, the Ile de Ré. Spain, including the new TGV link to
Cons: Big disparity between wealthy Barcelona (50 minutes from Perpignan).
and depressed areas. Cons: Few. Some towns dominated
by holiday homes so can be quiet in
East France winter.
Franche Comté
Provence/Cote d’Azur
Pros: Popular with expatriates due
Pros: Home to France’s glitziest coastal
to proximity to Geneva; also close to
spots (Cannes, St Tropez, Nice, Cap
Lake Geneva, good skiing in the Jura
d’Antibes etc) and inland towns and
mountains; new TGV line with five-
villages that are bursting with history
hour link to London.
and romance; great climate (hot
Cons: Very agricultural area so can feel
summers, mild winters); stunning
remote; pricey near Swiss border.
landscapes; picture postcard towns
include St-Remy-de-Provence, Uzès,
South and South-West
Lourmarin and Gordes, which have
France
inspired many French artists.
Aquitaine Cons: Expensive; summer traffic can
Pros: The region is home to the be awful.
Dordogne, one of the most popular
areas of France with British expatriates Corsica
and redolent of the Cotswolds with its Pros: This is hot, exotic France,
pretty villages and rolling hills; also the with mesmerising, mountainous
cosmopolitan Biarritz and St Jean de countryside, historic fortified towns
Luz; warm climate. and white sand beaches; a rugged
Cons: Not many. Perhaps not for French island with an Italian influence;
those who prefer to avoid lots of other great for water sports.
Britons. Cons: Harder and costlier to get to –
and live – than the mainland; property
prices are relatively high; invaded by
tourists in summer; higher crime levels.
Ten reasons to live in France

1 The climate is conducive to a 6 The scenery is as varied as the
happy retirement. Many regions enjoy cuisine. Alpine slopes to beaches,
high levels of sunshine and warm ranging from the wildly Atlantic
temperatures all year round. around Biarritz to the Caribbean-
like Porquerolles islands; magnificent
2 The lifestyle suits retirement. The ancient towns, vibrant cities, rolling
French are experts at achieving a good hills and turreted châteaux.
quality of life, based on an enjoyment
of food, friends, wine and culture – art, 7 You can have some interesting
poetry and literature. neighbours. Live in the Languedoc or
along the Biarritz coast and you can
3 Talking of art, there are 169 hop over to Spain. The Rhone-Alpes
national art museums in France. The region, which includes Lyon, is within
French are great auto-didacts and an easy drive of Switzerland. Eastern
talking to them about their country French cities such as Alsace and
can be stimulating. Strasbourg have a distinctly Germanic
flavour due to their closeness to the
4 If you love cheese and wine, you’ll border.
be in heaven. France produces around
1,000 types of cheese and it has 17 8 Some of Europe’s best skiing
wine-growing regions, including is found in France – and many
Champagne, Bordeaux, Burgundy and resorts, such as Chamonix, have large
Provence. permanent expatriate populations.
5 The cuisine is arguably the best 9 The French coast stretches for
in the world – and it varies vastly 7,400km, taking in a vast diversity
from region to region, from crepes in of beaches, coves, lagoons, islands
Normandy, bouillabaisse in Marseille, and Europe’s biggest sand dune near
to boeuf bourguignon in Burgundy Biarritz.
and black olive tapenade in Provence.
10 The perfect home if you need easy
or regular access to the UK. It offers
all the great things about being in a
foreign country with the added bonus
of being very close to Britain.
france 33
working life in France. What else is important to the

This attitude to prioritising what’s French? They are proud of their
important in life – socialising with heritage and culture and often
friends, enjoying family time, eating extremely knowledgeable about it,
well – soon spreads to everyone else whether you are speaking to a banker
who lives there. There is a different in Paris or a wine-maker in Beziers.
pace of life in France. British On the downside, most expatriates
expatriates often mention the lack of in France will tell you about the
stress they feel living there compared nightmare that is French bureaucracy
with their previous lives in the UK. – the time it takes, the ways it catches
Food is a major part of French life. you out, the endless forms that need to
It’s an activity to enjoy leisurely and be filled in. Ultimately, you need to be
sociably – and portions are smaller patient and remember that the slower
than people are used to in the UK or pace of life is part of France’s charm
US. The French will choose the food and the reason you moved there.
carefully, buying it daily depending on
what’s in season and looks good rather
than doing a supermarket sweep to last Language and
a fortnight.
They like to eat their main meal at
immersion
lunchtime, so village restaurants may The French are proud of their language
often be closed in the evening. They and, to preserve this bastion of their
drink wine to accompany food, not national identity, artistic and cultural
as a substitute. Families eat together – life, the government sets limits on how
children too – at dinner tables rather many non-French songs radio stations
than on trays in front of the television. play and the amount of English words
Food is about enjoyment, not necessity. creeping into everyday French life.
Most British people will have learnt at
least a smattering of French at school
– and rusty as that may seem now, it
will mean you are not stepping into
an entirely alien culture. Even if you
are able to master just the basics of
ordering and paying for things, it’s a
decent start – though be prepared for
the fact that a French baker can often
feign total incomprehension if your
pronunciation of ‘baguette’ is anything
but perfect.
Eating out en famille
Expatriate life
You will find far more French people in
tourist areas – cities, coastal towns or
villages known to appeal to expatriates
– who can speak English. Head into
the depths of the countryside and it is
likely to be a very different matter.
You may also want to choose an
area that has a large English-speaking
community. Paris, the Cote d’Azur
(e.g. Nice, or Mougins), and the
Limoges
Dordogne are the obvious ones. In the
Dordogne town of Eymet, 400 of the over France to bring together expatriate
2,600-strong population is British, communities. In Paris, they include the
many of them retired. British and Commonwealth Women’s
Riberac, Bergerac and Lalinde Association (bcwa.org), the British
in the Dordogne also have a large Rugby Football Club (brfcparis.com)
English-speaking population. In and the Paris Anglophone Book Club
Bergerac, you can get by in English (meetup.com/anglophonebookclub).
in the bank, the tax office and various Elsewhere, there’s the Bordeaux
services and businesses run by Britons. Women’s Club (bordeauxwomensclub.
There are also low-cost flights to org), Open House Grenoble
the UK from Bergerac airport. Also (openhousegrenoble.com) and the
a place to consider if you want the Charente Limousine Exchange (cle.
reassurance of other Britons nearby: france.com). For a full list, see
the beautiful market town of Pezenas britishinfrance.com.
in the Languedoc. And the Limousin – For English-language television,
whose main town is Limoges – attracts things have become a little trickier in
expatriates because of its good weather France since British channels switched
and low-priced property. over to a new satellite a few years ago.
If your knowledge of the French Homes in the south of France were
language doesn’t stretch to reading particularly affected; many in the north
the local press, there are various of France and Paris can still receive the
newspapers and news websites in UK channels.
English, including The Local (thelocal. Some home-owners have installed
fr), The Connexion (connexionfrance. bigger satellite dishes, and others
com) and The Bugle (thebugle.eu) in have abandoned satellite reception
central France. and opted to download programmes
Expatriates have also set up clubs all through their computer. Another
france 35
option is Filmon, a free TV streaming poor. House prices may be cheaper, if

site, which will also require you to have you live in an area like this, but will
a fast broadband connection. There you eventually resent having to drive
are numerous satellite, broadband and for two hours to get to the coast?
television companies who can offer Work out which regular journeys
solutions to expatriates who are feeling you need to make. Do you need to
lost without British television. return to the UK? Then you could
consider the Northern regions of
Accessibility Brittany and Normandy. With the
Eurotunnel, you can easily hop
France is a big country and it is easy between the two countries.
to underestimate the time it takes to Or will it work for you to have
cross what can seem on the map to be various regional airports at your
an apparently small corner. So making disposal? Certain regions – Nouvelle
sure the place you choose isn’t isolated Aquitaine and Languedoc-Roussillon –
– and won’t require a two-hour drive have come into their own with
every time you want to catch a flight – the opening of multiple low-cost
is crucial. airline hubs. If you are likely to be
First you need to think about the taking regular flights, France’s six
practicalities at a local level. Rural biggest airports are Paris Charles
public transport in the Dordogne is de Gaulle, Paris Orly, Nice, Lyon,
Bouches du Rhone road
Toulouse and Marseille. England’s south coast – handy if you

If you are wanting to hop around are taking the car – and the Eurostar
Europe while you live in France, the train from Paris to London’s St Pancras
high-speed train service – the TGV – International.
has made it far more feasible to cross
borders from France other than by
air. The TGV network now connects
Climate
to Switzerland, Italy, Spain, Belgium, France is bordered by four seas (North
Germany and the Netherlands. It’s Sea, English Channel, Atlantic Ocean
fast, comfortable and good value and the Mediterranean), has three
if you book in advance. For return mountain ranges (the Jura, Alps and
trips to the UK, there are the further Pyrenees) and sits on the edge of the
options of cross-channel ferries European lowlands. It’s over 700 miles
from the Northern French ports to (1,150km) from north to south and
Major airports in France
france 37
than western France and sees hotter

summers but colder winters.
The Alps vary from north to south.
The Northern Alps (the Savoie region)
sees abundant rain, cold winters and
occasional heavy snowfall. Briançon,
for example, sees winter temperatures
of -2C and a summer average of 17C.
The southern Alps, which include
Provence and the Cote d’Azur, have a
typically Mediterranean climate: warm,
dry and sunny. Provence can be blown
Alps in summer
by the cold Mistral wind in winter,
530 miles (860km) from east to west, but the French Riviera is protected by
so the French climate has as much the Alps, enjoying a Mediterranean
regional variation as its landscapes. microclimate with 12 hours of sun
Western and north western France a day in summer. The Charente and
– draw a line from the Belgian border Charente-Maritime departments of
to the Pyrenees, and it’s everywhere western France enjoy nearly as much
west of that – see a mild climate and sunshine as the Cote d’Azur.
moderate rainfall all year. This area
includes Paris, Champagne, the Midi
Pyrenees region around Toulouse.
Property
Brittany, which juts out into the The market
Atlantic, has a particularly mild In the eternally sought-after areas of
but wet climate, and Bordeaux, has the Cote d’Azur, Alps and Paris, recent
temperatures of up to 27C in summer. years have seen a cautious return of
As you head further south and confidence among overseas buyers
further east – taking in a swathe that eyeing up French property since the
includes Limoges, parts of Burgundy downturn. For many other areas of
and part of the Languedoc – the France, though – in particular rural
influence of Atlantic weather lessens, areas – prices have continued to fall.
which makes for a warmer, drier After several years of falling prices
climate. – up to 40% in some regions – the
The second weather zone is eastern strength of sterling against the euro
France – including Strasbourg, saw British buyers re-enter the market
Alsace and Lyon – which has a more in 2015. But the UK’s vote to leave the
continental climate. Outside of the EU, and subsequent plunge of sterling,
mountain areas, the east is drier put the brakes on again.
The French property market hit The new demands are for properties
bottom in 2015 and started tentatively that are ‘turnkey ready’ – and
to crawl upwards. The price rises, somewhere with good rental potential.
where they exist, are not noteworthy That may be less relevant immediately
– which is good news for buyers, if you are planning to live in the
of course. Southern Corsica saw country, but it is still an important
the biggest increase, with prices up factor in the long-term value of your
7.7% from July to September 2015. investment. This means being in a
Mainland France saw nothing greater prime location, near shops, restaurants
than 1.8% rises in Limoges and Tours. and beaches (if relevant) and within
Elsewhere, including the south, prices easy reach of an airport.
either stayed flat or fell slightly.
But the combination of reduced Choosing where to live
prices and the best mortgage deals in Most British people who move
decades has made France a tempting to France choose to live in the
option again recently. countryside – and there are many rural
The Cote d’Azur and the Alps top properties calling out to be renovated,
the list for British buyers with healthy from simple village houses to fantastic
budgets. But their appetite for major châteaux. Post-recession, their prices
renovations is definitely on the wane. can seem a bargain, too, as owners are
Average property prices in France 2006 – 2016

120%
120
100%
100
80%
80
60%
60
40%
40 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
In sought-after areas of the French property market there has been a return
20
of confidence.
2010 = 100. Source: Eurostat
0
france 39
often desperate to off load properties

after years on the market.But think
about why the prices are low.
You also need to think carefully
about what life will be like out of
season in areas that are popular with
holiday home buyers. “I first rented
in Golfe Juan, between Cannes and
Antibes, when I moved to France 18
years ago. I moved there in September
House in Brittany
and it was busy and bouncing
until December, but come January Garonne. The most affordable coastal
everything shut. You couldn’t even find regions are in the north, including
a boulangerie open,” says Rob Kay, a Finistère and Cotes d’Armor in
Blevins Franks Partner who oversees Brittany.
the south of France and Monaco.
“Renting isn’t a very British thing Renting a property
to do – Britons are buyers – but if Many expatriates choose to rent in
you rent first, you avoid making France before they commit to buying
the mistake of buying in haste and a property – and that makes a lot of
repenting at leisure. There are high sense. Towns that seem idyllic in the
costs associated with moving. With summer sun can take on a different
property taxes and estate agent’s hue when they become ghost towns in
costs, you will lose about 10% of the winter. Or being off the beaten track
property price in fees,” says Kay. might seem exciting at first but soon
Price will also be a determining become wearing when you wish you
factor in your decision, of course. could just pop down the road for a
Based on a barometer of average drink or a baguette.
property prices through the regions If you rent first, a year-long contract
produced by Notaires de France is required under French law, but you
(immoprix.com), you can see the can leave before that time if you give a
least and most expensive areas. By month’s notice.
looking at the map on the site, you
can also find good value areas tucked Buying a property
among more expensive ones, such as You may find it useful to recruit
the south-western regions of Aveyron, an independent property finder (or
which sits alongside Herault, or the buying agent). They know the area, its
Haute-Pyrenées, which is considerably properties (including those that aren’t
cheaper than neighbouring Haute- officially on the market) and the local
Live sport in France

club to win the UEFA Champions
League. Relegated in 1994 because of a
bribery scandal, in 2010 they returned
and won the French championship.
OM’s majestic home ground is the
67,000-capacity Stade Vélodrome in
the south of the city.
Olympique Lyonnais (OL or Lyon)

The club only won its first Ligue 1 in
If live sport is your bag, then it may
2002, but then put together a record-
be important for you to know what
setting streak of seven successive titles.
city, town or region is best for your
Lyon have also won five FA Cups.
particular favourite.
They have participated in the UEFA
Champions League 12 times, reaching
Football
the semi-final in 2009–10. OL play
Ranked fifth in Europe, Ligue 1 has their home matches at the 59,186-
been improving year on year. Here are seat Parc Olympique Lyonnais in the
the five most renowned clubs: Décines-Charpieu suburb.
Paris St. Germain (PSG) FC Girondins de Bordeaux

Have won six Ligue 1 titles, ten FA (Bordeaux)
Cups and six League Cups. Playing at The club has six Ligue 1 titles, four
the Parc des Princes since 1974, Qatar FA Cups, and three League Cups.
Sports Investments became the club’s Since 2015 they have been based at
sole shareholder in 2012, making it the 42,115-seat Nouveau Stade de
the richest club in France and among Bordeaux.
the richest in the world. This only
enhanced the intense rivalry with our Football Club de Nantes (Nantes)
next team. Eight Ligue 1 titles, three FA Cups,
and one League Cup, Nantes are
Olympique de Marseille (OM or nicknamed ‘the Canarie’ for their
Marseille) green and yellow home colours. Since
Nine times Ligue 1 champions, and 1984 the 38,004-capacity Stade de la
ten-time FA Cup winners. In 1993 Beaujoire-Louis Fonteneau has been
they became the first and only French their home.
france 41
Rugby Union Cycling

The Top 14 is the top division Everybody has heard of the Tour de
rugby union club competition in France, but the country hosts many
France. With twelve of the fourteen of the greatest annual road races:
teams based across the south (the Grand Prix d’Ouverture La
other two are in Paris), the league is Marseillaise – this single-day race held
probably the strongest and richest in in February around the city opens the
Europe. French cycling season
The competition saw an enormous Paris-Nice – the ‘Race to the Sun’
rise in popularity from the mid- over eight days in the first half of
2000’s, and the player financial March
benefits are such even the best English Paris-Roubaix – raced mid-April,
players are prepared to give up the ‘The Hell of the North’ is the last of
opportunity of national selection to the cobbled classics. Deemed the most
play here. heroic one-day cycling event of the
year.
The best teams include: Critérium du Dauphiné Libéré –
Toulouse run over eight days during the first
Toulon half of June in the Dauphiné region in
Stade Francais (Paris) the south east of France.
Biarritz Tour de France – running for just
Castres over three weeks in July, the route
changes annually, but the format stays
the same with time trials, the Pyrenees
Tennis
and the Alps, and the finish on the
Tennis is hugely popular in France, Champs-Élysées in Paris, after roughly
and it hosts many of the main events 3,500km.
on the mens’ ATP tour including: Bretagne Classic – a one-day race
Open Sud de France, Montpellier held in late August on a circuit near
(February) the small Breton village of Plouay
Open 13, Marseille (February) Grand Prix de Fourmies – held
Monte-Carlo Masters, Monte in mid-September in the Fourmies
Carlo, Monaco (April) commune of northern France.
Open de Nice Côte d’Azur, Nice Paris-Tours – one-day ‘Sprinters
(May) Classic’ held every October. From the
French Open, Paris (May) outskirts of Paris to the cathedral city
Moselle Open, Metz (September) of Tours.
Paris Masters, Paris (October)
market backwards, saving you a lot grandeur, you’d need to look around
of wasted time visiting properties and €1m-plus – there is little scope to build
areas that looked good on paper and anything entirely new.
prove dire in reality. You can also find plenty of
There are many English-speaking stylishly renovated apartments in
property finders as it’s a job that old Haussmanian buildings, which
expatriates can do relatively easily. offers the best of both worlds for
The property buying process in overseas buyers, who want the classic
France broadly matches the UK one, Parisian, historic exterior and more
but make sure you take into account internationally modern interiors.
the fees you need to pay when buying. Around 45% of the French
They amount to around 8% of the population live in apartments.
property price, including stamp duty, Think of the classic Parisian
estate agent’s fees and notary fees. apartment with its high ceilings, tall
windows and huge living room perfect
Types of property for hosting soirées, but you are unlikely
There is a huge choice of property to have any outdoor space.
available in France from centuries-old For detached properties, the choice
châteaux to high-tech ski chalets – and is limitless.
there’s a lot of land in France, too, so
you can find many opportunities to
buy large rambling country properties.
Healthcare
Much as that might seem like the You may be fit now, but it may be a
dream, you shouldn’t underestimate different story in ten or 20 years.
the ongoing costs involved in The good news is that the French
maintaining a sizeable property. healthcare system is regarded as one
of the best in the world. Its public
Old or new and private hospitals offer a similarly
Few foreign residents in France high standard of care, there are no
consider new-build properties in the significant waiting lists for operations
way they do in Spain, for example. and no fight for hospital beds.
There are, of course, exceptions
including magnificent modern villas EU citizens in France
on the Cote d’Azur or palatial Alpine France has a very high standard of
chalets – both of which can cost universal healthcare, and is among the
millions of euros. best across Europe.
In Paris – where the tiniest studio In January 2016, a new, universal
apartments start at €300,000 and system, known as Protection
for something with a sense of period Universelle Maladie (PUMA), which
france 43
grants an ongoing and automatic right

to healthcare to all its legal residents
including foreigners, was introduced.
Coverage for all is assured, which
means anyone who has permanent
residency, has lived in the country
for a period of three consecutive
months and intends to settle in France
is eligible to apply for free public
healthcare coverage. This revision is
Top three places for
very encouraging news for expatriates,
retirees to live in France
especially those who are looking at
France as a retirement option. 1 Hautes-Alpes
Wine, sun, lavender fields and
Non-EU citizens beautiful mountain scenery plus several
Another advantage of PUMA is that it airports, train and motorway links
equalizes the rights of EU and non- make this a popular choice for retiring
EU citizens applying for their health Britons in France. Property prices can
insurance card (carte vitale). In the be high, particularly in the ski resorts.
past, EU nationals had to wait for five
years before they were eligible. 2 Corrèze in Limousin
Getting into the French healthcare A place for outdoor pursuits and rural
system is a straightforward process but tranquility among mountains and
can take a while. You must submit a pretty villages. The main towns are
copy of your filled application, along Tulle, Brive-la-Gaillarde and Ussel.
with all the required paperwork at Property prices are relatively low and
your local CPAM office. Once your typical house types include stone
application is approved, you must cottages and ‘longère’ houses with
request a Carte Vitale (which carries granite walls and red-tiled roofs.
the information that you require for
making a claim). 3 Aveyron, Midi Pyrenees
The majority of retirees using the Set in the northern part of the
French pubic healthcare system pay Languedoc-Roussillon-Midi-Pyrenees
8% of their net income towards their region, with Rodez as its main town,
coverage. In 2016, the minimum Aveyron is la France profonde, full
threshold for an individual was set at of lakes and rivers, bastides (ancient
€ 9,611, with 8% due on any income walled towns) and castles – but not a
over this amount. lot of people, relatively-speaking.
This will allow you a 70% Source: Telegraph Expat
reimbursement for any doctor, dentist

or specialist fees. You are also entitled
to a reimbursement on about 80% of
hospital costs and 100% of medication
costs.
Most expatriates opt for top-up
insurance offered by private health
insurers known as Mutuelles. Private
health insurance reimburses the
remaining 30% of general medical
costs, including emergency treatment.
Private health insurance

If you are not entitled to receive free
healthcare in France, you will need
private health insurance. If you live
in France, this will be a ‘voluntary
insurance’ policy (assurance volontaire).
Stone farmhouse with blue shutters
The national health service covers the
cost of all treatment for life-threatening implications or your specific situation
illnesses and accidents. and obtain specialist expatriate tax
As a guide to how much private advice.
health insurance will cost, AXA You are considered tax resident if
International quote €5,920 per person your main home (foyer) is in France.
per annum for a Comprehensive Cover You would also be considered a tax
Policy with no excess and inclusive of resident if you either spend more than
taxes – based on a couple aged 65 and 183 days in France during the French
in good health. tax year (the calendar year), if you
spend more time in France than in any
Finance other country, if your principal activity
is in France, or if France is home to
France has a reputation as a high your most substantial assets.
tax jurisdiction and while President Many of France’s taxes sound the
Hollande was in power, some wealthy same as ones you may be familiar with
French nationals chose to move to in the UK, but they are calculated
the UK and Portugal, enticed by their completely differently. There are
fiscal sweeteners. But France can be a some that do not exist in the UK,
tax-efficient place to live for retirees, such as wealth tax and, for some,
providing you understand the tax healthcare charges.
france 45
Are your investments tax Exit tax

efficient for you? France recently introduced an exit tax
Income derived from ISAs, PEPs and on the value of certain assets like stocks
Premium Bond wins are free of tax and shares. The same French compliant
for UK residents – but only when you structures used to reduce income
are resident in the UK. If you move to tax, capital gains tax, wealth tax and
France, all such investments are subject succession taxes will also reduce your
to French tax, so it is important that exposure to any exit taxes if at some
you take all this into account with your point in the future you decided to
advisor when planning your move. leave France.
All investment income – including
capital gains when you sell shares and Succession tax
securities – face a big tax burden if you French succession tax works differently
do not structure how you hold it in the to UK inheritance tax and French
most efficient way. succession law dictates how your
To reduce taxable income, many French estate is divided among your
French people invest via tax-efficient heirs. It also favours couples who are
financial vehicles available to residents married over those who are not.
of France. They can also help minimise Since 2015, new EU Succession
wealth tax, estate taxes, and are Regulation means British nationals
beneficial for French succession law who live in France can choose to apply
purposes. UK succession law to their assets in
A farmhouse kitchen
France, rather than the French forced exposure in both countries, but the
heirship rules if they elect for this Estate Tax Treaty between the UK and
in their French will – but French France should mean you do not pay
succession tax will still be payable these taxes twice.
by each respective heir on what they
receive. It is also the case that in these Wills
particular circumstances, the UK’s exit Wills are a complicated area. A UK
from the EU should not change the will may be effective in France, but
application of these rules. it can be a costly process to get it
France and the UK have a double translated and notarised before going
taxation agreement for inheritance tax through the French probate process.
(one of only 19 the UK has), so if you Equally, though, a French will may
retire to France, any non-EU property, inadvertently revoke an existing UK
bank accounts or assets avoid UK will, or be at odds with it, giving a
inheritance tax (IHT) of 40% (though huge headache to your executors.
UK IHT will be payable on UK assets). Take the right advice in advance
This treaty lays down a basis of rules in and your UK and French wills will
dealing with cross-border estates. be complementary. This will aid your
If you own property or any other executors in quickly passing your assets
assets in France, they will be subject onto heirs and paying any estate taxes
to French succession tax when you due in each jurisdiction.
die. They will also count towards your The level of French succession tax
estate when it comes to calculating payable is determined by the size of the
your UK inheritance tax liability – but estate, the amounts bequeathed to each
your heirs won’t be taxed twice. beneficiary, and the relationship of the
If you own a property in France and beneficiary to the deceased – the more
are resident in the UK (or vice-versa), distant the relationship, the quicker
then you will have an inheritance tax the acceleration of tax rates, with
often a higher maximum percentage –
anything up to 60%.
Occupant tax
Once resident in France, you will need
to pay occupant tax (taxe d’habitation)
on the property you live in, whether
you own it or rent it. The rate is set
by local governments, applied to the
official land registry rental value, and
paid yearly.
Boulangerie window
france 47
case study: Retiring to France
Rob Kay from Blevins Franks her main residence, and then sell it. On
on the Cote d’Azur is currently this basis, no tax should be payable.”
dealing with a British client who The client also has investments in
Oman. “If she realises them before
is looking to retire to France from
she leaves Oman, she won’t be liable
Oman. She owns property in the to French tax,” says Kay. “France taxes
UK and Nice. on a partial year basis. If you move to
“If she moves back into her UK France today but realised your gains
property then sells it, she will pay yesterday, you are not liable to tax. If
Capital Gains Tax (CGT) for the you move to the UK, you are walking
period it was a rental property. If she back into a tax liability because you
makes the Nice property her main will be returning during the current tax
residence, then sells it, she won’t pay year.”
French CGT on the gain accrued when The French system also allows for
it was rented out,” says Kay. a ‘period of reflection’, says Kay. “She
“She knows she doesn’t want to can move from the Middle East to her
live in her Nice home full-time – it’s house in Nice for up to 183 days to see
a holiday home, but doesn’t suit as a if she wants to settle there. If she stays,
permanent home. But she can make it she is French resident from day 184.”
Above: Seafront at Nice
Property tax
Property owners pay an annual
property tax (taxe foncière). This, too,
varies from commune to commune
and is based on official land registry
rental values.
Selling a property
The good life
If you are a French tax resident and
sell a UK property, you will be subject capital gains, and at a rate of 7.4% on
to French capital gains tax at 19%, pension income.
plus 15.5% social charges, though
the tax payable will be discounted Retirement and pensions
for the length of time it has been EU residents
held. You could also be liable for UK Social security contributions made
capital gains tax. The UK-France tax towards a state pension in any EU
treaty should mean double taxation is country count towards a state pension
avoided, with a credit for the tax paid in any other EU country. A UK state
in the UK (up to 28%) against the pension can be paid to you by the UK
French tax liability – though with no authorities and paid into a French or
set-off against the social charges. UK bank account. Unlike in some
There are exemptions for the main countries, and while the UK remains
home in both the UK and France, but part of the EU, the amount you receive
these rules are complicated and differ is index-linked and increases in line
in each jurisdiction, so you may get with inflation rates in the UK.
relief in one but not the other. UK citizens can also benefit from
ROPS (Recognised Overseas Pensions
Social charges Scheme), to which you can transfer
French income tax and capital gains tax UK pension funds and mitigate having
are not the only regular annual taxes to pay UK death taxes on the fund.
faced by those with earnings, pensions The new UK pensions freedoms
and investment income. France has mean you can encash the whole of a
another layer of taxes, known as the UK private or company scheme in one
‘social charge’, but actually made up single payment. If you decide to take
of five different taxes. They now raise this route, France would have the taxing
more than income tax, and are payable rights under the UK-France double
at a rate of 15.5% on all forms of tax treaty. Therefore, no tax should be
investment income, including interest, payable in the UK, and in France you
gross dividends, rental income and would only be subject to 7.5% income
france 49
tax (plus 7.4% social charges which are The cost of living in France – as
waived in the majority of UK national in much of Europe – has increased
cases). So, it might suit you to take this dramatically in the past decade.
payment once you have become tax Housing is between 70%-95% pricier
resident in France. in Paris than in southern cities such
as Perpignan, Marseille and Nice.
Cost of living Transport, food and entertainment
are similarly far more expensive in the
There are the day-to-day costs, capital.
including food, car, utility bills, rent Utility costs vary in France.
or mortgage. There are also the long- Electricity and mains gas are cheap
term considerations such as how your compared with most of the EU,
income or pension will be affected by a but water costs are among the most
change in the currency rate. Brexit has expensive in the world and vary hugely
affected the value of sterling, but UK from region to region.
expatriates already experienced near Some elements remain cheaper than
parity of the euro and pound during in other Northern European countries,
the global financial crisis, and the including property, food, alcohol,
pound recovered, so it may do again. public transport and entertainment.
Blevins Franks publishes expert guides to key locations in Europe,

among them Living in France and a Guide to Taxes in France.
You can obtain these guides by going to
www.blevinsfranks.com
Contact Blevins Franks in France

We help clients throughout France Nîmes
and can be contacted at Novotel Atria Nîmes
[email protected] 5 boulevard de Prague
or any of the offices below. 30000
Tel: +33 (0)4 93 00 17 80
Valbonne
WTC 2 Niort
120 route des Macarons Sophia 43 Avenue de la Rochelle
Antipolis 79000
06560 Tel: +33 (0)5 49 75 07 24
Tel: +33 (0)4 93 00 17 80
Mérignac
Bergerac Parc Innolin
Appartement 14, étage 1 3 rue du Golf
7 Rue du 14 Juillet, 24100 CS 60073 33701
Tel: +33 (0)5 53 63 49 19 Tel: +33 (05) 56 34 75 51
Béziers Monaco
283 Allée des Charmes Palais de la Scala
34500 1 avenue Henry Dunant
Tel: +33 (0)6 14 24 61 29 Tel: +377 97 77 55 74
Aix-en-Provence
350 Avenue JRGG de la Lauzière
31 Parc du Golf
CS 90519 13593
Tel: +33 (0)4 88 78 21 03
Bridge at Béziers
france 51
Moving there
EU nationals can live and work in Non-EU nationals with a British
France with just a valid passport. spouse may still enter France without a
There is no need for a visa or residency visa provided they have a valid passport
permit. You must register with the and a UK residence endorsement, as
town hall (mairie) in the commune long as they are joining their spouse in
where you live within three months of France.
moving there. You will need to show Non-EU nationals wishing to move
proof of identity, residence and of your to France need a carte de sejour.
financial means to support yourself.
Canary Islands
Spain 53
Spain
Overview
Spain has been enticing the
British to move to its shores since
the 1970s. In essence, it is an easy
place for foreigners to relocate and
retire to. The standard of living
and life expectancy are high, and
the cost of living is relatively low.
© Graeme Churchyard, flickr
Most expatriates enjoy a relaxed

lifestyle, in what is regarded as
the best of year-round climates,
among a warm and generous
indigenous population.
Malaga Cathedral, City Hall and Alcazaba Citadel
An advantage for retiring Britons is before? Or do you prefer the ready-

that so many other British people made option of a resort or town where
are already there, and have been you can more easily slip into the kind
for decades, providing ready-made of lifestyle and convenience you are
networks for social life, and tips and used to?
advice on how to make the most of life The vast majority of British residents
in Spain. in Spain choose the Costa del Sol in
There are believed to be more the south and the Costa Blanca in the
than one million Britons living in east, both coasts that offer something
Spain permanently, and more British to suit every lifestyle and a reliably
pensioners in Spain than in any other good year-round climate.
country outside the UK. Each coast has its attractive main
The locations favoured by British city (and international airport) of
emigrés have varied little over the Málaga and Alicante, respectively, and
decades. It is the big cities and popular resort towns such as Javea
best-known coastal towns that have and Denia on the Costa Blanca and
bounced back best economically from Marbella, Mijas, Nerja and Estepona
the 2008 financial crises and it is to on the Costa del Sol. If you drive
these that people will always want to slightly inland, you can enjoy unspoilt,
return to and live. traditional Spanish villages and towns,
Again, it all comes down to ease. still within easy reach of the coast, such
Do you want to be a pioneer in a spot as Ojen, Benahavis and Antequera
that few Britons have ventured into in Andalucia and the likes of Xativa
Spain 55
and Bocairent in the Alicante region. These arid, empty plains, which see
Some towns have become magnets for consistently warm, sunny weather,
expatriates. South of Alicante, 20% of were used as the setting for various
residents in Orihuela and 13% of the spaghetti westerns. Best known
population of Torrevieja are British. among Britons is the city of Almeria
On the Costa del Sol, Fuengirola itself, the hilltop town of Mojácar
offers a similar home-from-home feel and gaining in popularity is the
– albeit a sunnier version – for British small, traditionally Spanish town of
residents. Vera. The neighbouring region of
Spain’s Mediterranean coastline is Murcia has a similarly warm, sunny
hugely diverse, however, and each coast microclimate that many British retirees
has a distinctly different look and feel find attractive. There are no sizeable
to what most people experience on the expatriate hubs, but the coast’s famous
Costa del Sol and Costa Blanca. The La Manga Resort is a year-round
Costa Brava, which stretches north home for a number of British retirees.
of Barcelona to the French border, The Desert Springs Resort near Vera
is characterised by its more rugged in Almeria has a similar appeal. On
landscapes, small coves and fishing the Costa del Sol, wealthy expatriates
towns set around tranquil bays. Its choose the private golf, polo and tennis
proximity to Barcelona is also a major estate of Sotogrande.
attraction and its main town of Girona Beyond the mainland, there are
has a mini Barcelona-like appeal. Spain’s two island archipelagos – the
Or there’s the largely undeveloped Canaries and the Balearics – both
Costa de la Luz – particularly the popular holiday destinations but which
stretch between Tarifa and Cádiz, offer island life with a very different
where much of the land is protected look, feel, appeal and accessibility.
and the coastline features vast sandy The Canaries, popular with winter
beaches that are deserted for most of sun-seekers, sees its British population
the year. There are picturesque hilltop in Tenerife and Lanzarote concentrated
towns such as Vejer de la Frontera,
the bigger sherry-producing town of
Jerez, or Cádiz itself. Bear in mind
that you’ll need to speak some Spanish
if you move away from the main
holiday resorts, though Chiclana, near
Cadiz, is home to a sizeable expatriate
community.
In the Almeria region, the
landscapes change dramatically.
Los Hervideros, Lanzarote
Five cities with beaches

Barcelona
Best for: Style, culture, football and
nightlife. Fabulous architecture, superb
cuisine, cutting-edge bars and clubs,
museums and a beach. No.1 of top ten
©dreamstime.com
city beaches in the world according
to National Geographic and the
Discovery Channel.
Culture: More UNESCO World
Park Guell, Barcelona
Heritage Sites than you can shake a
stick at, Antoni Gaudí’s unfinished most visited museum in the city, with
church of the Sagrada Família, the 1.5m visitors (2013).
National Museum of Art of Catalonia, Worst for: Most popular Spanish city,
Cosmocaixa, European Museum of the but also densely populated, so summer
Year (2006), FC Barcelona Museum, will be hot, humid and crowded.
Malaga
Best for: Modern art lovers, summer of art’. Has its own Pompidou Centre
parties. Leafy boulevards, gorgeous in the new port development. Museo de
gardens, impressive monuments and Picasso, in the 16th century Palacio de
great museums. Nearest beach is Playa Buenavista in the old quarter. Also see
de la Malagueta, lined with restaurants the cathedral and Castillo de Gibralfaro,
and bars, a short walk from the city with stunning views. Holy week
centre. celebrations, and the Feria de Malaga.
Culture: Has rapidly emerged as the Worst for: Will depend on your wants,
province’s city of culture with its ‘mile but British bars are not so numerous.
Malaga harbour
Spain 57
Valencia
Best for: Fiesta lovers and sailors.
Combines a classic, smaller city with
©Pedro Layant Flickr

fewer tourists and a developing beach
culture. Beach is a short taxi ride away.
Brand new marina.
Culture: World’s largest fireworks
festival, Las Fallas, in March. Blend
Above: Guggenheim museum, Bilbao
of modern architecture and historic
heritage, for instance futuristic Cuidad
Bilbao
De Las Artes y Las Ciencias. The
Museo de Bellas Artes is one of Spain’s Best for: Art, food and drink. Head
finest museums. for the Casco Viejo, Bilbao’s old town,
Worst for: Pickpockets, particularly for great eating and drinking. An
during the festivals. almost totally rebuilt dynamic city
centre. Good beaches a short metro
ride away, Las Arenas (sunbathing),
Ereaga (surfers).
Culture: Frank Gehry’s Guggenheim.
Nearby is Museo de Bellas Artes (Goya,
El Greco, Zubaran, Van Dyke and
Gauguin).
Worst for: The oceanic climate may
not be for you, with no defined dry
summer. Rains are October to April,
with November the wettest.
View from Pope Luna’s castle, Valencia
Alicante
Best for: The beach, Playa del Postiguet,
is metres from the city centre. Mildest
winter in mainland Europe
Culture: Sixteenth century Castillo de
Santa Bárbara, contemporary Spanish
sculpture collection, highest point in
the city with a lift to beach
Worst for: July-August when the
chic-est from Madrid descend.
Alicante harbour
in Los Gigantes, Playa de las Americas culture and relative hustle and bustle.
and, to a lesser extent, Guia de Isora. The south west, where around 35%
In Lanzarote, famous for its of residents are non-Spanish, attracts a
dramatic volcanic landscapes and well-heeled British crowd. The north
reliable year-round warmth, the best- around Pollensa is, as one expatriate
known resort areas are Playa Blanca, puts it, “little England”, but it is some
Puerto del Carmen and Costa Teguise distance from the airport and closed in
on the south coast. Some Britons winter.
prefer the quieter life offered by Ibiza – beyond the clubbing scene
northern coastal areas such as Arrieta. centred on Ibiza Town – has a more
British residents in Lanzarote speak laidback feel and appeals to those
of how it is more like living in a drawn to peaceful island life. The
friendly community than on an island, countryside around the small town of
with a strong family atmosphere and Santa Gertrudis has become a hub for
support network. British expatriates who have moved for
The Balearics are totally different peaceful island life with a like-minded
again. Majorca is a wealthy, community at hand.
sophisticated island whose capital, As one of Europe’s most
Palma, has one of Spain’s busiest decentralised countries – which
airports, with regular flights to all over means that each of its 17 autonomous
Europe and the UK. There is great communities takes care of its own
diversity of landscape and lifestyle; if administrative affairs, has a distinct
you want urban life, it has to be Palma, sense of identity and, in some cases, its
the only option on the island for own language – Spain is vastly varied.
Majorcan street
Spain 59
are the bedrock of Spain’s cultural

calendar. Add to that the big sporting
events and many music festivals, from
flamenco to hard rock and techno.
They see young and old celebrating in
the streets long into the early hours.
©Tom, flickr
But there is far more to Spanish
culture than just its festivals. If you
want a regular injection of the arts –
Flamenco dancing, Seville
films, theatre, music, dance – then you
So choosing an area to suit you takes will want to be within striking distance
some exploration. of a major city such as Barcelona,
The seasonal difference is less Madrid, Alicante or Valencia. Malaga
marked in the Canaries, whose year- is a new contender (see Five cities with
round warmth sees a steady flow of beaches).
visitors, but some popular Spanish Even Marbella, best known as a
resort towns – Javea, for example – holiday resort, now has an annual
have a sense of shutting up shop as International Film Festival, the Starlite
soon as September comes. And inland music festival, and a burgeoning year-
villages, can appear less attractive round art scene.
when temperatures drop and everyone Elsewhere, culture is inextricably
retreats behind closed doors for much linked to history, and nowhere more
of winter. so than in Andalucia’s great historical
cities of Granada, Córdoba and Seville,
Lifestyle and culture where the sense of the past is tangible
as you wander the streets, or in the
Spanish culture is underpinned by region’s Moorish white hilltop fortress
three elements: family, food and towns – most famously the likes of
festivals – often enjoyed all at the Mijas and Gaucin in the Malaga
same time. A classic Mediterranean
mix, that influences many facets of
Spanish life, it determines the shape
of the days (siestas and late nights),
embodies Spain’s core values (a sense of
community and religion) and gives the
Spanish every opportunity to do what
they do best – enjoy themselves.
Wherever you choose to live in
Spain, you will soon spot that festivals
La Mezquita, Cordoba
Top five areas where Britons live

Valencia
Valencia city centre
Andalucia
Cadiz
Spain 61
Canary Islands
Los Gigantes, Tenerife
Balearics
Sant Antoni de Portmany, Ibiza Majorca
Catalonia
Girona
province, or Vejer de la Frontera near

Cadiz. For those who want properties
and ways of life infused with local
history, tradition and culture, such
towns are the place to look.
Those core strands of family, festivals
and food exist throughout Spain, but
with a different flavour, depending on
What’s your vision of an ideal
the region. Catalonia prides itself on
Spanish home?
its distinct cultural heritage from the
rest of Spain and in Barcelona, culture
Five Things to Consider
spills out from every corner, whether it
1 City apartment, villa on a resort, is street performance or high art.
old townhouse, coastal cottage? Head up the coast to Costa Brava
Location-wise, the manicured towns such as medieval Begur, a
tranquility of a golf course or the popular location among wealthy foreign
morning hubbub of a Spanish village – buyers, and the population indulge
babies, cockerels, mopeds and all? in a wild weekend of celebration of
the town’s Cuban heritage for one
2 Country isolation sounds weekend every September. Meanwhile,
wonderful, but may not be so nearby Peralada attracts world
attractive in reality. famous performers to one of the most
picturesque settings for a music festival
3 Do you want to be able to stroll to – an amphitheatre set in the clifftop
an English-speaking bar or sit with the gardens of an ancient castle.
locals over a café con leche? Catalonia’s gastronomy is also
cutting edge, with chefs such as Ferran
4 Be realistic about what’s important Adrià having paved the way for a new
to you – particularly if you speak good generation of ground-breaking Spanish
Spanish. cuisine. Now, Andalucian chefs such
as Marbella-based Dani Garcia are
5 Consider what each place is like in following his lead by elevating regional
winter. Cities will continue unabashed, dishes to the level of world class
as will Marbella and Fuengirola, if cuisine.
a little quieter. Resort life can be all For most British residents in Spain,
year round, but it might feel a little proximity to the coast is a high priority
seasonal and transient if you are a full- – but that doesn’t preclude having great
time resident surrounded by empty culture on your doorstep too.
holiday homes in the off-season. Barcelona and Valencia have the
Above: Alicante
Spain 63
magical mix of being great cities by the find that even if you try to speak in
sea. They offer the complete package Spanish, the reply comes back in
for year-round living as real, working English – which you will find either
cities with a diverse cultural offering, frustrating or a huge relief.
great architecture and a holiday feel But do you want to just get by
with their miles of golden sands. On and limit yourself to being able
a smaller scale, the cities of Alicante, to communicate only with other
Malaga, Cadiz, Marbella and Palma expatriates?
combine old town charm, modern city Something to consider in Spain
attractions and beach life. is the number of languages that are
If a city is not for you, it doesn’t take spoken throughout the country.
long to find peaceful solace but still Castilian Spanish, or castellano, is the
with a sea view. On the Costa del Sol, standard language spoken in most of
historic villages such as Ojen and Mijas Spain. You will hear it – with varying
are a short drive inland from Marbella, accents – in the bulk of Spain apart
set among the mountains with views from the northern and eastern coasts.
across the Mediterranean. Even the There are a number of other languages,
best-known holiday resorts such as including Basque, Galician and
Estepona have a truly authentic feel to Catalan in the north and variants of
their backstreets. Catalan in Valencia and the Balearics,
There is a romance to living off the while the Spanish spoken in the
beaten track, but the reality can be Canaries has influences from Latin
difficult. Rural/village life in Spain may America.
offer a sense of local community, cheap The one that is most likely to be
property and a low cost of living. But relevant to those thinking of moving
is the broadband fast enough to send to Spain is Catalan. In Barcelona,
emails or stream British TV? Finding the Costa Brava and to some extent
anyone who speaks English, can Majorca, it is the language you will
become trying. hear everywhere, far more than
Language and
immersion
As many a British expatriate in Spain
demonstrates, you can get by without
any knowledge of Spanish. There are
©SBA73 Flickr
plenty of places where that is entirely

possible, from Barcelona to Marbella
to Palma to Benidorm. You will often Catalan protesters
Why choose Spain?
1 The lifestyle is easy-going, safe and 6 The cuisine is world-class, with a

child-friendly. Spanish restaurant ranked top in the
world six times in the last ten years.
2 The climate suits all tastes, from
snow and cold winters in the 7 It’s a haven for outdoor sports lovers
north to the sub-tropical climate and the outdoor life in general.
of the south.
8 Spaniards have the longest life
3 Spain has more Blue Flag beaches expectancy in Europe and the
(681) than anywhere else in the second longest worldwide, after
northern hemisphere. Japan.
4 Spain has 44 UNESCO World 9 The property market has hit its
Heritage Sites (that’s third in the bottom, so now is a good time
world behind Italy and China). to invest.
5 The cost of living is below the 10 Tourist figures are at an

EU average. unprecedented high, suggesting
that Spain is clearly doing
Above: Cadaques, Costa Brava something right.
Spain 65
more readily revert to their own

language. If you want to integrate in
©Sandra Vallaure, flickr

Catalonia, you will want to learn at
least some Catalan.
If you decide to head to the
Basque Country – which few Brits
do, although the coastal city of San
Sebastian is becoming very popular
Seville
as a holiday destination because of
Spanish. Everyone can speak both its gastronomy, beaches and lively
languages, but because of the Catalans’ old town – you will face the far
pride and sense of identity, they will greater challenge of getting to grips
Major airports in Spain
with the Basque language, where its looking for something different from
preponderance of xs and zs makes road your move to Spain.
signs almost impenetrable. To ease the transition, there is a
Help is at hand in some regions, huge range of English expatriate clubs
however, as many town halls have in Spain. Barcelona is awash with
Foreign Residents departments. them, from professional networking
In the Malaga province, they groups to the Barcelona Hash House
include Mijas, Marbella, Fuengirola, Harriers, which defines itself as ‘a
Estepona, Benalmadena, Coin, drinking club with a running problem’.
Nerja and Benahavis. On the Costa There are clubs specifically for female
Blanca, there is a similar department expatriates in Barcelona, Valencia and
in Orihuela, where 38,000 of the Madrid, English Speaking Club in
90,000 population are non-Spaniards, Malaga, plus clubs related to specific
including 19,000 from the UK. activities whether it’s golf, cricket,
Such departments will deal with tennis, dining or books.
residents’ enquiries in English and Eurogolf on the Costa Blanca is
other languages, helping expatriates a golf club purely for expatriates –
to navigate the bureaucratic quagmire mainly British. Members clubs include
that can be so confusing in a foreign The British Society in Benalmadena
language. on the Costa del Sol, which offers a
A glance at local English language range of social and sports activities.
newspapers such as Sur In English, In Majorca, there’s Calvia Lions,
the Costa del Sol News or the Costa NEW LACE, ABC Majorca business
Blanca News will give you an idea of network… There’s no shortage of
all the clubs and activities available to opportunity in Spain to meet like-
English speakers. minded English speakers.
But is that enough or do you need
further stimulus? In retirement it can
be harder to naturally become part of
Accessibility
a local community – your options will Wherever you are abroad, proximity
clearly be far wider in towns and cities to an international airport comes high
than they will be in small villages or if up on the list of requisites, to make
you live in a mainly expatriate resort. life easier for you to visit family and
Think about how you will integrate if friends and for them to come and see
you live in your chosen location – and you. If you are buying a property too,
what integration means to you. If you it will be an important factor when
are used to expatriate life, you may you come to sell as most future buyers
be entirely content with having an want a home within an hour’s drive of
expatriate social group. Or you may be an airport.
Spain 67
Cultural highlights
Museums
Prado Museum; Thyssen-Bornemisza
Museum; Reina Sofía National
Museum known as the ‘Paseo del Arte’,
or Art Walk, (Madrid)
Picasso Museum (Barcelona)
©Maribelle71
Dalí Theatre-Museum (Figueres)
Museo de Bellas Artes (Seville)
Guggenheim Museum (Bilbao)
Palau de las Arts Reina Sofia IVAM Museum (Valencia)
Opera
Teatro Real Theatre (Madrid)
Gran Teatro del Liceu Theatre
(Barcelona)
Palau de les Arts Reina Sofia Theatre
©Keith Ellwood, flickr

(Valencia)
Campoamor Theatre (Oviedo)
Euskalduna Jauregia Conference and
Music Centre (Bilbao)
Or alternatively, try an Opera
Spanish fiesta
Festival: The Las Palmas de Gran
Canaria Opera Festival, the Mozart
Festivals
Festival in La Coruña, the Santander
International Festival and the season at Carnival of Santa Cruz (February,
La Maestranza Theatre in Seville. Tenerife)
Semana Santa (Easter, almost every
Spanish city and town)
San Isidro Festival (May, Madrid)
San Juan (June, best on the Andalucian
©Antonio Tajuelo, flickr
coast)
Sonar Music Festival (June, Barcelona)
Ham and Water Festival (June,
Granada)
San Fermin Fiestas (July, Pamplona)
La Tomatina (August, Bunol, Valencia)
Teatro Real Madrid
Madrid, Barcelona and Palma are just over the French border.
Spain’s busiest airports – and their Spain has also made major leaps in
passenger numbers are growing each recent years with its high-speed (AVE)
year. Malaga airport on the Costa del train network, which is the longest in
Sol is now Spain’s fourth busiest airport Europe and second only to China in
and recently saw a major expansion to the world. What does it mean for you?
include a new terminal and runway. It Firstly, the possibility that people can
sees daily flights to 100 European cities visit you by train. You can travel from
and direct flights to North America, London to Barcelona by high-speed
Africa and the Middle East in summer. train – with great views and no airport
Other major Spanish airport hubs security queues to endure.
include Gran Canaria, Alicante, But it also opens up Spain, wherever
Tenerife, Ibiza, Lanzarote and Valencia. you are based. The Malaga-Madrid line
Year-round flights are vital to a brings the Costa del Sol to within 2.5
destination’s appeal – and no more so hours of the capital – the same time it
than island locations, which otherwise now takes to get by AVE from Madrid
risk being cut off in winter if there are to Barcelona.
no direct flights out of season. The Driving is something else to
Balearics have seen a steady rise in consider. You can live car-free in
popularity as a relocation destination Barcelona or other major cities and
since they introduced year-round rely instead on walking everywhere and
flights – including, in Ibiza’s case, using public transport, which is cheap
flights to London City airport, which and efficient in Spain. But, life on the
means easy access to central London. Costa del Sol relies on driving, with
Most regions also benefit from most shops, restaurants and residential
various smaller airports, which opens developments located on either the
up your options for flights. Besides sea or mountain side of the main
Malaga, Andalucia has Granada, coastal road.
Seville, Jerez and Almeria airports –
and there is also Gibraltar airport, with
flights to the UK, handy for homes on
Climate
the western side of the Costa del Sol or Think of a typical winter’s day in Spain
Costa de la Luz. Murcia and Almeria and how do you see yourself – wearing
can be reached by Murcia San Javier, t-shirts and shorts on the beach, or
Almeria airport or Alicante-Elche tucked up cosy in a restaurant next to a
airports. And the Costa Brava region roaring fire?
has Barcelona and Girona airports at On the whole, southern Spain
its disposal – or even, for those in the remains mild in winter with bright,
north of the region, Perpignan airport blue skies and sunshine that makes
Spain 69
Modern villa, Majorca
Christmas Day on the beach a distinct the west by the Pyrenees mountains.
possibility. Summer temperatures The region also comes face to face
frequently border on baking hot, with weather systems crossing the
though they are unlikely to quite reach Atlantic, however, which can lead to
the dizzying heights of the Middle some unpredictability. Some bays have
East. Extreme summer temperatures microclimates depending on the way
in the Costa del Sol could reach 40C. they face.
The Costa del Sol registers a mighty Majorca also sees some fluctuation
16 sunshine hours a day in July and throughout the year – and, as a
almost no rain. mountainous island, differences
On the Costa Blanca, the rainy between the warmer, drier south and
season starts in September, typically the slightly rainier north. Summers
with the days starting clear and bright are hot, autumn is typically warm but
then turning rainy and sometimes possibly wet and winters are usually
stormy. Temperatures also drop rapidly dry and bright, but the odd snowfall
in the autumn months and winter has been seen in recent years.
can fluctuate between cool and windy The main draw of the Canaries,
and pleasingly temperate. Summers, on the other hand, is year-round
however, are reliably long and dry. warmth, with little variation in
The Costa Brava enjoys long, hot summer and winter temperatures
summers and short, mild winters, and only six rainy days per month
protected from the wet weather in in winter. Gran Canaria rarely sees
temperatures dip below 20C. In population in major cities decamping

Tenerife, most of the expatriate to their second homes on the coast and
population in the south of the island in the campo for the month. It means
see hot, dry weather blown over from most of August is a write-off if you
the Western Sahara. Lanzarote – where hope to get anything done as shops
4% of the population is British – has close and bureaucracy takes a break.
a desert climate. Fuerteventura has
dry, windy summers (think wind/kite-
surfers) and mild, sunny though maybe
Property
rainy winters. About the market
If you don’t like rain, avoid northern After years of recession, 2015 marked a
Spain. It’s beautifully green, with turning point for the Spanish economy
landscapes more reminiscent of the and property market. Estate agents
Swiss Alps than Spain, for a reason – had been forecasting the bottom of the
because winter sees 16 days of rain a market for a few years, but it seemed
month and a dousing the rest of the there was always a little further to fall.
year too. But 2015 saw greater economic growth
Something to consider is the city than the EU average, record tourist
exodus in August, with much of the figures (68 million tourist arrivals in
How Spanish property prices slumped 2006 – 2016

120%
100%
80%
60%
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
You can see that average prices for some recovery since. In many areas,
Spanish property slumped nearly 35 property prices fell by half.
per cent between 2007 and 2014, with 2010=100. Source: Eurostat
Spain 71
2015) and, in some areas, a return than 60% of all purchases among
to more positive levels of property buyers from outside Spain (British
sales, mortgage approvals and new investors constituting about 25% of
construction. this group). Most buyers have cash,
Prices fell dramatically – by up to want prime locations and buy resale
50% on the Costa del Sol and Costa property, according to The Property
Blanca – after the 2008 global crisis, Finders, a buying agency that operates
and the number of empty properties in Andalucia, Catalonia and the
was believed to have hit one million. Balearics.
But in some areas, there is a sense Prices across Spain may not be rising
of business as usual with overseas sharply – but things are starting to
property buyers back in the market move in the right direction in many of
and movement in the domestic market, the areas that are of interest to British
with the increased availability of expatriates.
mortgages. Madrid and Barcelona are seeing
The British dominate overseas high levels of activity again, with
investment in Spanish property, with Barcelona in particular appealing to a
buyers from the EU making up more hugely diverse spread of nationalities.
15 picturesque Spanish
villages
1 Calaceite, Aragon
2 Pampaneira, Andalucia
3 Valderrobres, Aragon
4 Maderuelo, Castile & Leon
5 Morella, Valencia
6 Albaracin, Aragon
7 Santilla del Mar, Cantabria
8 Peratallada, Catalonia
9 Arcos de la Frontera, Andalucia
10 Handarribia, Basque Country
11 Cudillero, Asturia
12 Cadaques, Catalonia
©Neil Thompson, flickr
13 Ronda, Malaga

14 La Orotava, Tenerife
15 Soller, Majorca
Peratallada
Marbella recorded a 10% increase in might look at towns such as Peñsicola,

sales numbers in 2015, near boom Alcossebre and Oropesa, which will
2006 levels – but with prices still benefit from the opening of the new
10-20% below their peak. On the Castellón airport.
Costa del Sol, a ‘golden triangle’
exists between Los Monteros and Buy or rent?
Guadalmina, and Benahavis – a search You may decide that now is a great
area that takes in Marbella and Puerto time to invest in property and
Banus, and the best golf courses and already have a clear idea of what you
most luxurious developments. want to buy. But as discussed in the
Majorca and Ibiza weathered the introduction to this book, there are big
storm better than the mainland, due advantages in renting first.
mainly to their limited supply of Renting will enable you to take your
property, restricted new-build and their time and get a sense of the local area,
cachet among wealthy international and understand why there is a disparity
buyers. in property prices from one patch to
For panoramic sea views and an another. You will spend 10-12% of the
authentically Spanish atmosphere, but property price on additional buying
without the Marbella price tags, you costs and fees, so it’s not a process you
might look east of Malaga to coastal can afford to go through too often.
towns such as La Herradura and Renting will also give you time to
Salobreña. For those who prefer inland get to grips with the different types of
life, popular locations include Ronda, property available and their relative
Coin and Alhaurin. pros and cons. You may start your time
On the Costa Blanca, the golden in Spain wedded to the idea of living in
triangle takes in Javea, Denia and a characterful townhouse in a Spanish
Moraira. Those with lower budgets village, then after a few months realise
that your lifestyle is better suited to a
new-build property on a development
with communal facilities. Its not
unusual to end up in exactly the
opposite property to what you thought
was your ideal.
Many new-builds where the builders
went bust in the downturn have been
©dreamstime.com
taken over by reputable developers and

remarketed at highly competitive prices
– prices that were last seen over
a decade ago.
Apartments, Valencia
Spain 73
Ten tips for buying in Spain

1 Hire a qualified, registered lawyer 7 Compare the prices of new-
(abogado). Make this your first step builds and resales. ‘Resale’ can
before you sign anything or hand over include unoccupied properties that
any money. All registered lawyers can have come to the market having
be found on the database abogacia.es. first been repossessed. You will pay
a premium for a new-build but you
2 Be certain of the legality of your
won’t necessarily get a higher quality
property. Certain areas, including the property than a new resale.
Valencia region and Costa de la Luz,
have a high number of illegal rural 8 It’s all about location. Not just for
properties. Properties in Marbella investment potential, which will always
should also be checked carefully as, be far greater in a prime location than
until the town gets a new urban plan in a secondary one, but also for lifestyle.
(in 2018 at the earliest, according to There’s a reason that certain locations
the town’s mayor), 16,700 properties have become prime and that’s because
have been deemed illegal. they offer what everyone wants which,
in Spain, means a beachfront position.
3 Check plans for any vacant land
nearby. The selling agent may tell you 9 If you think Spanish village life
it can’t be built upon, but you need to might suit, try it out first. It may be
know for sure if something is going to harder than you think to meet people
block your view or make your house and be part of the community if you
unsellable. can’t speak good Spanish.
4 Don’t buy near busy roads, mobile 10 Don’t compromise. There is a high
masts or electricity pylons. They will supply of stock in Spain and you’re in
only become busier or more numerous. no rush to buy, so wait until something
you really want comes along. You’re in
5 Make sure your property gets
a strong position, particularly if you are
good winter sun. That’s a large part of a cash buyer.
the reason for moving to Spain.
6 Experience what the area is like
in the winter. Is it deathly quiet? Will
bars, restaurants, shops and other
attractions still be open?
Gaudi wall, Barcelona
Spain’s 15 best golf courses

With over 300 golf courses across the (El Saler, Valencia)
mainland, the Balearics, and the 7 Las Colinas Golf & Country Club
Canaries, agreeing on the best 15 courses (Orihuela Costa, Alicante)
is impossible. The following fifteen are 8 Tecina Golf (Playa de Santiago, La
not just based on the 18 holes, but also Gomera)
factors including maintenance, the 9 La Galiana Campo de Golf
clubhouse and the facilities the serious (Carcaixent, Valencia)
golfer would be expecting. 10 Lumine Mediterránea Beach &
Golf Community (La Pineda,
1 Real Club Valderrama (Sotogrande, Tarragona)
Cádiz) 11 Golf Costa Adeje (Adeje, Tenerife)
2 Golf Son Gual (Majorca) 12 Desert Springs Golf Club (Villasol,
3 Finca Cortesin Golf Club (Casares, Almería)
Málaga) 13 Club de Golf Peralada (Peralada,
4 PGA Catalunya Resort (Caldes de Girona)
Malavella, Girona) 14 Marbella Club Golf Resort
5 Club de Golf Alcanada (Puerto de (Benahavis, Marbella)
Alcudia, Majorca) 15 Abama Golf Resort (Guía de Isora,
6 Club de Golf del Parador de El Saler Tenerife)
©Pablo Herrero, flickr
Valderrama
Spain 75
The apartments in these schemes like this will be in a good condition

have also often been developed to and within walking distance of
a higher level of quality than their amenities. Go 10km inland and for
original designs allowed for. Buyers’ €400 a month you can rent a large
tastes and expectations have stepped up four-bedroom finca with a big garden
a few notches since the off-plan boom or land – but don’t expect the mod
in the early 2000s. Most buyers now cons, and do expect to have to drive to
want modern architecture, big, open- get to the shop.
plan spaces and mod cons such as wi-fi On average, expect to pay 25%
and underfloor heating. more in Madrid or Barcelona than
Many of the properties that remain in other cities –and don’t expect
unsold were built in secondary much space for your money. If you
locations as speculative investment are looking on the coast, try to avoid
properties that hit the market at the hunting for a long-term rental in
wrong time, or whose developers went summer as property owners will be
bust during the downturn. There is seeking to cash in on far more lucrative
also a huge amount of bank-owned high season holiday lets.
stock that is heavily discounted – but A typical long let runs for a year
this is a higher risk investment (you – during which time, you are not
often won’t be able to vet the property permitted to leave – and the contract
before you commit) and these are can be renewed for up to five years.
tricky waters to navigate if you don’t The landlord can only increase the rent
speak Spanish. by the rate of inflation. Expect to pay
a month or two’s rent up front along
Renting: what to expect with a month’s returnable deposit.
Only about 17% of Spaniards rent Short-term lets cover lets between
(most young people live with their one and 11 months and, if you use an
parents as moving out is too costly), agent, they will usually charge two to
but Spain is very pro-tenant, with the four-weeks’ rent in commission.
law coming down heavily in favour of
those who rent. Buying: what you should know
So what can you expect when Spain’s diversity also lends itself to
renting a property in Spain? Well regional differences in its property
firstly, prices vary massively not just laws. There are no restrictions on what
from region to region but within a or where foreign nationals can buy
relatively short distance within each or rent property, but different buying
location. Take, for example, a two- costs and taxes apply depending on the
bedroom townhouse in Marbella autonomous community.
which costs €1,000 to rent. A property Property purchases in the Canary
Islands incur the local IGIC tax, which

is lower than the VAT (IVA) found
elsewhere in Spain. But prepare for
the fact that you will see a property
advertised at different prices by
different agents, so you need to see
the property, do your homework and
decide what the real value is.
©dreamstime.com
Transfer tax (the fee paid by buyers
of resale properties) varies according to
region, as do estate agents’ fees, which
are paid by the vendor and typically
Santa Polla bull sign
range from 5-10%.
Anyone who is intending to Amendments to the scheme now
become resident in Spain will need allow greater flexibility. Partners
a Tax Identification Number (NIE). – whether married, unmarried or
It’s also a necessity for almost every in a civil partnership – can now
bureaucratic process in Spain, from benefit from the ‘golden visa’, which
buying a car to getting a mortgage. You previously required a €500,000
can’t buy or sell a property in Spain investment individually. The residency
without one. The simplest way to get permit now also gives you the right to
one is to find a lawyer to do it for you, work in Spain.
usually for around €150.
Golden visa scheme Healthcare

Spain’s ‘golden visa’ scheme, launched Around 85% of Spanish pensioners are
in 2013, is open to non-EU citizens – looked after by their families, but you
which may, at some point in the next will need to be aware of the healthcare
few years, include British citizens. If options available to you.
you invest at least €500,000 (without Emergency cover in Spain is
finance) in property, you are entitled to available to anyone, whether you are an
receive a one-year temporary residency EU or non-EU citizen. To qualify, you
visa which can be renewed twice for will need to register on your local town
two-year extensions. After five years, hall’s census (padrón), which brings
you are entitled to apply for permanent a variety of other benefits including
residency, which requires that you discounts on your IBI tax (which is
live in Spain for at least 183 days a similar to the UK’s council tax), the
year. After ten years you can apply for right to vote and free or discounted
Spanish citizenship. access to municipal services such as
Spain 77
sports centres and libraries. in the UK.

If you live in Spain and receive a UK Some taxes sound similar to ones in
state pension or long-term incapacity the UK but are calculated completely
benefit, you may be entitled to state differently. Some Spanish taxes do not
healthcare paid for by the UK. You exist at all in the UK, such as wealth
will need a Form S1, which must be tax, the notional rental income tax
obtained in the UK and certifies that and succession and gift taxes between
you are of retirement age and have paid spouses.
all the necessary social security taxes in It is also important to understand
the UK. You will then be entitled to where you are tax resident. In Spain,
the same benefits as a Spanish national. you are considered to be a tax resident
You will also need to apply for a SIP if you spend more than 183 days in
(sistema de información poblacional), Spain during the Spanish calendar year,
which you will be required to show or if your family, main professional
when you visit a medical centre or activity or most of your assets are
pharmacy. based in Spain. There is no split year
If you do not qualify for free state treatment, so you are either resident or
healthcare, there are two options. You non-resident for a whole tax year.
can take out private health insurance, The UK introduced a new definition
or pay the full cost of any medical of tax residence called the Statutory
treatment. AXA International quote Residence Test from 6 April 2013, so
€6,600 per person per annum for you will need to make sure you are
Comprehensive Cover with no excess not in danger of being resident in
and inclusive of taxes, based on a both jurisdictions under each of
couple aged 65 in good health. their domestic laws.
Another option is the Spanish health It remains possible to be tax resident
scheme called the convenio especial. in both jurisdictions at the same time,
If you have been registered on the which while the UK-Spain double
padrón at your town hall for a year, tax treaty should mean you do not
then you can participate in a state pay double the taxes, you may end up
insurance scheme for a basic monthly paying more tax than you need to.
fee (about €60). If you are a Spanish resident, you
will be liable for tax on your worldwide
Finance income and gains. Non-residents of
Spain will be liable for Spanish income
Spain has a reputation for high tax only on Spanish-sourced income
taxation, but this is not always true. and capital gains.
With the right advice you may find Spain is divided into seventeen
you could pay less tax than you would different autonomous regions, and
each takes the tax rates, reliefs, and Disposing of your assets: If you are
allowances laid down at state level, Spanish tax resident and you sell shares
and is allowed to vary them (within held in PEPs or ISAs, there will be
reason). It is therefore important to Spanish capital gains tax to pay.
establish which of the autonomous
regions you will be resident in, to Keeping cash off-shore: Spanish tax
know what set of tax rates, reliefs and residents are subject to tax on their
allowances will apply to you. worldwide income. Under the new
Common Reporting Standard, which
Making your investments tax began in January 2016, nearly 100
efficient in Spain countries now automatically exchange
Once you become a Spanish resident, information. This means the Spanish
all income from investments such authorities will receive details of all your
as ISAs, PEPs and Premium Bond bank accounts, investments and other
winnings are subject to tax in Spain, financial assets held outside Spain.
so you should consider what steps
you can take before your move to Rental income from a UK property:
save you paying tax. Also, you cannot You may have one or more UK
contribute to an ISA once you are no properties that you rent out. You must
longer a UK resident. continue to report these properties
Other issues to consider with on a UK tax return every year as the
investments are: income remains taxable in the UK.
But the income is also taxable in Spain
Receiving dividends from UK shares: once you become a Spanish resident,
The gross dividend income is taxable in though the UK tax can be offset
Spain, as in the UK. against any Spanish tax liability.
Rental income from a Spanish

property: You may also own a holiday
home in Spain that you rent out. The
net rental income (less deductions) for
non-residents is subject to tax in Spain
at a rate of 19% or 24%, depending
on whether you are an EU or non-EU
resident. Spanish residents pay tax on
the net rental income at progressive
scale rates.
Whether you are a Spanish resident
or not, if you have a Spanish property
Nerja village
Spain 79
that is not your main home and

you are not renting it out, there is a
deemed notional rental income – called
imputación de rentas inmobiliarias
– calculated as 1.1% of the official
value of the property. This notional
rental income also applies to overseas
properties owned by Spanish residents.
Selling a property: You do not pay tax

Costa Adeje, Tenerife
on the capital gain from the sale of
your Spanish home if you are over 65 spouse and any children.
and have been living there for at least Spanish inheritance tax is payable
three years, or you are under 65 and by the beneficiary, unlike the UK,
reinvest the whole proceeds in a new where it is payable by the estate, unless
main home. specified otherwise in the UK will.
There are alternative methods of The percentages, rate bands, reliefs
investment available to residents of and exemptions also vary from region
Spain that are much more tax-efficient. to region. The Canary Islands used to
Even if you are not selling a property, have one of the highest IHT burdens
it is worth taking advice to see if in Spain, but they have announced that
there is anything that can be done to spouses and children receive a 99.9%
mitigate taxes. reduction for succession and gift tax.
In some Spanish regions – the
Black money Balearics, Catalonia, Andalucia and
Previously, it was typical for Spanish Canary Islands – unmarried couples
property transactions to involve a benefit from the same tax reliefs as
brown envelope containing money that spouses. In other regions, they don’t and
was not declared in the deeds but paid the estate taxes can be much higher.
in cash. The practice has now largely Whichever part of Spain you
been stamped out, and our advice is to intend to move to, you should seek
never pay (or charge) black money. professional advice that is relevant
to that region. You will also need to
Inheritance understand how inheritance tax will
Spanish succession law (impuesto sobre affect your family and impact on
sucesiones y donaciones) is different to each of your heirs, including your
UK succession rules. Spain laws of spouse, and you need to know how it
succession are based around forced interacts with UK inheritance tax as
heirship, which dictates that certain both Spanish and UK IHT apply to
percentages of an estate are left to a worldwide assets.
Contact Blevins Franks in Spain

We help clients throughout Spain Girona
and can be contacted at Carrer del Rin Guell 58
[email protected] Edifici CINC
or any of the offices below. 17001
Tel: +34 972 940 905
Mijas Costa
Urb El Lagarejo Majorca
Calle Higeuras del Lagarejo No 6 Gran Via Piug des Castellet 1
29650 Bloque V, Local
Tel: +34 952 198 029 1 Boulevard Santa Ponsa
07180
Estepona Tel: +34 971 719 181
Gran Hotel Elba Estepona
A7. KM151 Canary Islands
29680 Centro Comercial Aquamall
Tel: +34 952 809 212 Urb. Jardines del Duque
Avda. Moscu, Local 5B
Benijofar Costa Adaje
Avenida Federico Garcia Lorca, 53A 38660
03178 Tel: +34 922 716 079
Tel: +34 965 705 502
Altea
Nerja Local 73, Puerto Campomanes
Plaza de Espana 9 Greenwich Marina
Apartamentos Plaza 03599
Portal 1, 3 C Tel: +34 966 888 122
29780
Tel: +34 952 522 660
Javea
Jardines del Sol 1
Avenida de los Fueros
03730
Tel: +34 965 793 561
Mijas
Spain 81
You should also consider the most There is no blanket spouse-to-spouse

effective way to hold your assets and exemption – this will depend upon the
investments so they can be easily autonomous region concerned.
transferred to your beneficiaries. UK nationals in Spain are also
likely to be liable to UK inheritance
Making a will tax as well as Spanish succession tax.
If you own a Spanish property, You won’t pay twice, but you need
you should make a Spanish will to understand how the two regimes
(testamento) to avoid leaving your interact. You also need to understand
beneficiaries with a bureaucratic the best solutions if the surviving spouse
headache and a big inheritance tax bill remains in Spain or returns to the UK.
that is payable within six months of There can also be costly implications
your demise. In a slow property market, if you are not married (same-sex
it may be impossible to sell the property marriages are recognised in Spain), or
in that time frame – and without a related by blood to the person set to
will, the estate’s executors would face inherit. Be particularly careful around
the additional cost and delay of getting step-parents, step-children, and gifts to
your UK will and death certificate friends.
translated and notarised.
Your Spanish will should only Modelo 720
concern your assets in Spain and serve Spanish residents must submit an
in addition to your UK will. Make sure annual Modelo 720 report, which
each will clearly states what assets they declares their non-Spanish assets,
cover, so that one does not invalidate including property, securities, shares
the other. If you want the freedom of and insurance products that exceed
passing your assets to whoever you €50,000 and are located abroad.
please, then you can utilise the new EU Modelo 720 is not a tax, nor is the
succession regulations, introduced in information given part of any tax
2015. You will need to specify in your return, but it is a requirement to
Spanish will you want the succession report information about your
rules of your nationality (i.e. the UK) overseas assets and property.
to apply. This will mean you will avoid
Spain’s rules on forced heirship. Wealth tax
No-one is exempt from paying Spanish wealth tax is effectively an
inheritance tax in Spain. It applies if annual tax on the value of your capital
the asset being inherited is in Spain – assets, rather than a tax on income or
regardless of whether the recipient is capital growth, and it is payable by
resident or not – or if the recipient is residents and non-residents of Spain.
resident, regardless of where the assets Spanish residents are liable on their
are located. worldwide assets while non-residents
are liable to wealth tax on their Spanish restaurant. There are still many places in
assets only. Spain where you can buy a glass of wine
or a small beer for €1.
Pensions If you are eating out at Michelin-
For the 100,000 or so British starred restaurants or fashionable
expatriates who officially claim their beachfront places, then you would
UK state pensions in Spain, the main expect to pay the highest prices. But
benefit is they are index-linked (though the ‘menu del día’ is widely available
Brexit may affect this). all across Spain and it’s the way the
Spanish get to enjoy a two or three
Cost of living course meal for €10 or less. Restaurant
prices overall are 52% lower in Spain
The cost of living in Spain remains than the UK, and 30% lower than in
significantly lower than in the UK Dubai.
in many areas. Travel is far cheaper, As an overall guide, you would need
including the cost of petrol, train tickets only 59% of what you would need in
and public transport. So is drinking, Dubai to have the same standard of
whether it’s the morning cappuccino or life in Marbella, assuming you rent in
buying alcohol in a supermarket, bar or both cities.

among them Living in Spain and a Guide to Taxes in Spain.
Spain 83
Moving there comunitaria) within weeks. You also

If you are an EU citizen, you need a NIE, as discussed previously,
automatically have the right to live from your local Policia Nacional.
in Spain but you must still apply If you are not an EU citizen, you
for residency. That simply means cannot stay in Spain beyond 30 days
presenting your passport, and four (90 days for US, Canadian or Japanese
photos, and proof of income at your nationals). You will need to get a visa
main police station. You will then from the Spanish consulate in your
receive your residency card (tarjeta home country before you enter Spain.
© Waywuwai, flickr
italy 85
italy
Overview
If one region epitomises the
Italian dream for many foreigners
– and has done since the English
upper classes made it an essential
part of their life-enriching Grand
Tour in the nineteenth century –
it is Tuscany.
Tuscany
You may have marvelled at the ancient trees or lined with vines, of ancient
monuments at every turn in Rome, hilltop towns such as Montepulciano
been hypnotised by the romance of and San Gimignano and of cities
life on water in Venice or struck by the whose streets overflow with history
majesty of the duomo in Milan, but such as Florence, Siena, Pisa, and
when it comes to choosing somewhere Lucca.
to live, Tuscany sits immutably at the It is the fundamentals that have
top of the list. There are 66,000 British always drawn foreign visitors to
residents in Italy – and although there Italy: the art and architecture, the
is no official breakdown of where they joyful appreciation of food and
live, it’s a reasonable guess the majority wine, the landscapes, language and
are in Tuscany. the welcoming, heartily-embracing,
It’s an image of Italian paradise wildly-gesticulating conviviality of the
perpetuated in books – and the Italians.
ensuing films – from E M Forster’s When the area of central Tuscany
A Room With A View to Francis – nicknamed ‘Chiantishire’ because
Mayes’ Under the Tuscan Sun. Rose- of its appeal among wealthy Britons –
tinted as these visions of Tuscany may became too expensive for many British
be of golden fields in perennial soft property-hunters and Russian buyers
focus, they are grounded in a reality began to snap up its trophy estates, the
you will readily find in this region neighbouring region of Umbria rose to
bursting with mesmerising landscapes the fore.
of gently rolling hills dotted with olive Umbria remains one of the most
italy 87
popular areas for expatriate settlers (the main town, Pescara, has one of
in Italy, offering a similar way of the best city beaches in Europe), Puglia
life and exquisite charm as Tuscany (home to some of the best beaches on
and – although the gap is rapidly the mainland) and the islands of Sicily
closing – cheaper property prices. The and Sardinia.
Niccone valley, Perugia and, to the Some of these locations offer the
south, Orvieto and Todi are the most dual pleasure of sea and ski. Abruzzo
requested Umbrian locations among has the Apennine ski slopes at hand,
overseas buyers, according to Knight and the Le Marche region – where
Frank estate agency. your property budget will stretch
A love of the countryside, culture further than in Tuscany – has also
and cuisine dominate British buyers’ become a popular area to live among
talk of Italy. But beaches, or lakes, British expatriates, offering access to
also play a big part – and there is no mountains (the Sibillini range) and sea
shortage of exceptional waterfront, from its attractive hilltop villages.
given several thousand kilometres of The Ligurian coast (or Italian
coastline that straddles two seas – the Riviera) stretches from southern France
Mediterranean and Adriatic – and to Tuscany and has a long history of
the world famous lakes of Como, attracting British expatriates to its
Maggiore and Garda and the lesser shores.
known Trasimeno, Orta, Iseo and Its western stretch has the great
Bolsena. benefit of being within easy reach of
Regions that beach lovers might Nice airport and the many charms of
want to consider are the Italian Riviera France’s Cote d’Azur, but without the
(which has two distinct sides), Tuscany astronomical prices or intense summer
(its Maremma area is particularly loved tourist crowds. Coastal towns such
by beach-seeking Italians), Abruzzo as San Remo and Bordighera have an
English elegance to their Art Nouveau
villas and hotels and offer a more
down-to-earth and affordable way to
live on the Italian continuation of the
French Riviera.
Liguria’s eastern stretch, within
striking distance of Genoa airport,
is most famous for pastel-coloured
Portofino, a fishing village that is
equally used to super-yachts as fishing
boats. More affordable options nearby
include Camogli, Sori and Arenzano –
Varenna, Lake Como
and beyond that is the picture postcard

Cinque Terre, a UNESCO World
Heritage Site of five ancient fishing
villages, Riomaggiore, Manarola,
Monterosso Al Mare, Corniglia and
Vernazza, whose houses tumble down
the hillside into the bay.
Unfairly perhaps, southern Italy has
typically been looked down upon as
the country’s less sophisticated side –
more laidback and less cultured than
Tuscany, and without cities of such
Trulli houses, Alberobello
world renown. But it has much to
attract those who are looking to move climate, slow pace of life (some liken it
to Italy. to England in the 1950s), the relatively
The UK estate agency Jackson-Stops low cost of living by modern Italy’s
& Staff reports that property enquiries standards and a more authentic feel,
for Puglia in Italy’s sun-kissed heel away from the high-spending, culture-
overtook those for Tuscany for the seeking masses that flood the likes of
first time ever, attracting 40% of all Florence in summer.
property enquiries for Italy in 2015- Alongside Puglia’s famous trulli,
2016. The vast majority of interest conical-roofed cottages like hobbit
is for holiday homes rather than houses seen in abundance in towns
permanent relocation, however, and such as Ostuni and Alberobello,
Puglia still lacks a significant expatriate invasions by the Greeks, Romans,
community. Normans and Spanish have left their
Puglia’s attractions are its warm architectural legacy in other ways too.
The traditional, fortified farmhouses
called masserias, which have a Moorish
feel, are a good example.
Best known among overseas buyers
in Puglia are the Adriatic port towns
of Bari and Brindisi and, in between
them, the coastal town of Monopoli.
The hilltop town of Martina Franca
also forms part of a golden triangle
with Brindisi and Monopoli – though
good houses rarely come on the market
and sell quickly when they do. Some
Portofino
italy 89
towns are highly seasonal, including Most of Sicily’s population lives

the tourist resorts and sailing meccas around its two main cities of Palermo
on the Salento peninsula, where the and Catania. British property owners
Adriatic meets the Ionian Sea. But tend to head to its attractive coastal
towns such as Lecce, Manduria, Oria towns of Taormina on the east coast
and Gallipoli offer far more in the way and towns such as Céfalu, Castellamare
of year-round life. and Erice on the north.
For a different flavour of Italy again, Sardinia – an island the size of
there are the largest islands in the Wales and where expatriates (mainly
Mediterranean: Sicily – the ball that is Eastern European, Chinese and South
kicked by southern Italy’s boot – and American) make up 2% of the 1.7
Sardinia, which sits between Corsica million population – is best known
and the north coast of Tunisia. for its Costa Smeralda, the northern
Sicily, home to active Mount Etna, coast that glitters with gloriously blue
has a warm Mediterranean climate, sea and the diamonds belonging to
craggy mountains and white sand the super-rich who holiday there each
beaches. It also has a distinct melting summer.
pot culture and population. Settlers Some expatriates in Sardinia choose
over the centuries include the Arabs, less intensely touristy areas such as
some 1,200 years ago, and you will Santa Teresa Gallura in the north for
see their legacy in elements such as the the simple, rural lift amid spectacular
cuisine and language. nature (think mountain walking,
Taormina, Sicily
Italy: A world of outdoor festivals

Festa Della Sensa:
Best location: Venice
Why: The main event, the ‘Wedding
with the Sea’ is a heritage boats parade,
©Gnuckx, flickr
starting in St Mark’s Square. Colourful
Venetian-style rowing boats and festive
Sensa market.
Taormina opera festival When: 19 – 20 May.
Music L’Ardia di San Constantino

Best location: Sardinia
Lucca Summer Festival, Lucca,
Why: The most well-known horse
Tuscany (from 22 July)
riding festival in Italy, undertaken since
Umbria Jazz Festival, Perugia, Umbria
the Roman era. The race symbolically
(from 9 July)
celebrates the victory of Constantine
Puccini Festival, Torre del Lago,
on Mulivan Bridge in 312 AD.
Viareggio (from 16 July)
When: July
Taormina Opera Festival, Taormina,
(June to September)
Festa di San Marco
Ravello Festival, Ravello (June to
Location: Venice
September)
Why: A festival to mark the feast day
Estate Musicale Chigiana, Siena (July
of Venice’s Patron Saint. During this
to August)
festival, Venetian men present their
Verona Opera Festival, Verona (June to
loved women with a red rose in a
August)
tradition Italians call bocolo.
MITO Settembre Musica, Milan and
When: 25 April
Turin (throughout September)
Festino di Santa Rosalia
Other
Location: Palermo
Epiphany and Befana Why: A thanksgiving festival for Santa
Best location: Rome. Rosalia, the patron saint of Palermo.
Why: The Vatican City takes on a A procession of a huge triumphal
great deal of colour, with thousands cart (either a gigantic warship, a big
of people in medieval dress heading chariot, or a fortress) through the
towards the Vatican. Widely regarded streets, is followed the next day by a
as one of the top festivals in Italy. spectacular firework display.
When: Twelfth day of Christmas When: 13-14 July
italy 91
Game of the Bridge Battle of the Oranges

Location: Pisa Location: Ivrea
Why: A famous sporting occasion Why: Locals remember their liberation
dating back to the sixteenth century from the tyrannical rulers, the Ranieri
when opposing forces battled over the family, with the largest food fight
bridge on the Arno River. Groups in in Italy. The Battle of the Oranges
typical eighteenth century costume involves teams on foot throwing
parade to the bridge from all areas oranges against the tyrant’s supporters
of Pisa and then fight over a wooden in carts. The battle involves thousands
trolley that has to be pushed to the of townspeople in nine teams.
opponent’s side to ensure the win. When: February, ending on
When: Last Sunday of June Shrove Tuesday
Corsa Dei Ceri Palio di Siena

Location: Gubbio, Umbria Location: Siena
Why: The ‘Race of the Candles’, is a Why: Ten horses and riders, dressed
festival to commemorate when the city in appropriate colours, represent ten
was spared from defeat at the hands of the 17 city wards. The races are
of Barbarossa in the twelfth century. preceded by spectacular pageants,
Men run the streets with wooden boxes including flag wavers in medieval
carrying candle lights and a saint statue costumes, and a squad of charging
to commemorate the death of Saint carabinieri on horseback wielding
Ubaldo, who sacrificed his life to save swords.
the city. When: Four days from 2 July, and
When: 15 May 16 August
Calcio Fiorentino (All dates are approximate)

Location: Florence
Why: Once widely played, this violent
sport may have originated in the Piazza
Santa Croce in Florence. Today, three
matches are played with a team from
each city quarter. The final is played on
the Day of San Giovanni, Patron Saint
©Janus Kinase, flickr
of Florence. It involves head-butting,

punching, elbowing, and choking.
When: 23-24 June
Palio di Siena
horse-riding and swimming). For generally the case in northern Spain

those who want culture, proximity and northern France – is more work-
to airports, a wide variety of shops orientated than the south. Southern
and the buzz of urban life, the main Italians tend to care less about that
options are the capital, Cagliari, and sort of thing. Wages are lower, work
the towns of Alghero on the west less pivotal to their daily lives and the
coast, whose Spanish-inspired gothic attitude towards time and business
architecture harks back to its Catalan more leisurely.
past, and Olbia on the east coast, with But there are factors that unite
its classically Mediterranean avenues Italians, wherever they come from.
and piazzas. For most Italians, the joy of life lies
in the simple things – good food, wine,
Lifestyle and culture friends and family.
The focus is the family – and
There are 20 regions of Italy, each this isn’t just an emotional tie but a
with its distinct culture, climate, food, financial necessity. As the cost of living
dialect in some cases, and sense of spirals and wages fall or stagnate,
identity. Such is the sense of pride, an it’s not so much the bank of mum
Italian will often identify themselves and dad propping up the younger
by their regional identity – Venetian or generation but the B&B of granny and
Neopolitan, for example – rather than granddad. It’s often the grandparents,
simply say they are Italian. They call who have lived frugally and saved over
it campanilismo: love for their home their lifetime, who are responsible for
town. the childcare, cleaning, laundry and
It is a sweeping statement, of course, providing properties, cars or holidays.
but northern Italian culture – as is Food, as in all southern
Rome and Portofino
italy 93
Food shopping
Mediterranean cultures, is the catalyst or American food, but that seems to be

for family to come together. That’s missing the point about being in Italy.
hugely important to the Italians as Shops generally close in the afternoons
mealtimes are a chance to talk, offer for a few hours, and on some days
advice and support and to celebrate – generally Wednesday or Thursday –
religious occasions. Nearly half of don’t re-open again after lunchtime.
Italy’s national holidays are Roman The main issue is city or country as
Catholic feast days and saints’ days that rural Italy varies enormously to urban
invariably involve a feast. Italy, just as it does in Spain, France or
It’s hard to exist in Italy for a day – the UK. Life will invariably be cheaper,
let alone live there – without becoming slower, more spacious (think big
immersed in the pride they take in farmhouses and land) and calmer in
their food. Cafés hum with life from the country. It may also start to seem
early morning. Every bakery, fruit shop devoid of the mod cons and cultural
and even petrol station cafés display life you crave after a while. And you
their food as if it’s an art form. It’s may feel a sense of isolation. The
something to be admired. likes of Bari and Brindisi in remote
Shopping is done regularly, ideally south-east Italy popped on foreign
at open-air markets such as Rome’s home-buyers’ radars when Ryanair
Mercati Generali on Via Trionfale, flights arrived in the region, but they
grocery stores and independent local floundered equally quickly when those
shops, rather than making weekly trips routes were in peril some years later.
to big supermarkets. You will find City life will be the opposite: busy,
shops in big cities such as Milan and fast-paced, living cheek by jowl with
Rome that specialise in selling English neighbours, but an existence that offers
great accessibility, endless options for and poetry and it is a language that
culture, eating out and keeping busy. never fails to sound passionate, even
Don’t forget the tourist hoards. Could if someone is merely describing what
you handle the millions of tourists that they have just eaten. So if you are given
flock to Florence, for example, or the the golden opportunity to learn it by
masses that pile into Tuscan hilltop living in Italy, you must seize it.
towns such as Montepulciano? English is widely spoken in cities
Maybe a compromise suits better and the major tourist areas. But many
– a smaller town such as beautiful expatriates from Le Marche to Puglia
Bergamo, near Milan and the Italian relate their surprise on moving to
Lakes, or Lucca in Tuscany, which is Italy to find how little tourism has
within easy reach of Pisa airport, the penetrated many areas – despite their
sea and the fast motorway to Florence. inordinate beauty – and, hence, hardly
anyone in smaller towns and villages
speaks anything but Italian. It sounds
Language and obvious, but it is something to bear in
immersion mind when you are choosing where to
live.
The sing-song quality of the Italian Italian can have its frustrations: the
language has a certain effect on sentences can seem back to front to
foreigners. It inspires instant English speakers. There are many more
associations with opera, romance ways to say a simple verb than there are
Casteluccio winding road with cypress trees
italy 95
in English and far more subtleties and

nuances. But that makes the language
all the richer when you do get to grips
with understanding and speaking it
– and it’s relatively easy to grasp the
basics.
The Italian language – which
will also serve you well in parts of
Switzerland, Slovenia and Croatia and
is widely spoken in Malta, Albania
and Monaco – is the third most widely
Florence
spoken language in the EU. Learn
standard Italian and you will make there are 250 or so golf clubs around
friends anywhere in Italy. the country, including the prestigious
Milano Golf Club and the Toscana
British clubs and communities Resort Castelfalfi in Tuscany.
in Italy It is trickier to pinpoint definite
No matter how good your knowledge expatriate communities in Italy in
of Italian, you may still be keen to the way you can in Spain or France.
join an expatriate social group. The As one English expatriate in Tuscany
Association of British Expats in Italy comments: “It would defeat the object
(britishexpatsinitaly.org) is Rome-based of living among Italians. Plus the
and welcomes all English speakers expatriate community would never be
of any age, to build up a network big enough in most places, other than
around Italy. Expatriates Living in in towns such as Florence.”
Rome (expatslivinginrome.com) is a Italy lacks the purpose-built
social community for all expatriates ‘urbanisations’ of the sort you find
in the Italian capital, and in Florence dotting Spain’s Mediterranean coast.
the British Institute offers cultural It also doesn’t really have towns that
programmes and language courses. have an overwhelming English feel
There are numerous Facebook groups to them, in the way there are on the
dedicated to expatriates in Italy – Costa Blanca, for example. But there
Foreigners in Florence, for example will inevitably be wealthy overseas
– and business networking groups such communities near international
as ToscanaIN. schools, which can be found in all the
Golf is another good meeting point. major cities, plus towns such as Padua,
The British introduced golf to Italy Monza, Trieste and Como.
in 1889 by setting up the Florence Cities naturally have the biggest
Golf Club (now called Ugolino) and expatriate communities. Florence
Major airports in Italy
italy 97
attracts many Britons and Americans Castelbianco, a once-abandoned hill

– though most are fairly transient, village that has been totally restored
living there for a year or so to study and attracts a diversely international
art or Italian before moving on. community of home-owners.
The city’s English news magazine,
The Florentine, details all expatriate
gatherings.
Accessibility
There was a growing trend Italy is well-connected to the UK
several years ago, just before the through low-cost airlines. It is possible
global recession struck, for property to fly from London to practically
developers to convert rural ‘borghi’ anywhere in Italy, including Sicily
– small, often derelict rural hamlets – and Sardinia, with Ryanair, Easyjet or
into boutique developments. It offers Vueling, and Italy’s national carrier,
overseas buyers a way of living in a Alitalia, flies to more than 100 cities in
historical and authentic Italian setting, six continents.
with the benefits of an international For those who want a variety of air
community, high-spec properties and routes and airports at their disposal,
communal facilities. the wine-producing Piedmont region
Upmarket examples include Toscana has a particularly strategic position, in
Resort Castelfalfi, which sits halfway a triangle that connects Milan (which
between Pisa and Florence, and on sees more passengers than any other
Lake Como, near Cernobbio, is Lake Italian airport), Turin and Genoa.
Como Apartments. The more mid- Tuscany is also well-connected with
priced options include Villa Arceno three airports – Florence, Pisa and
near Siena, which has some British Grosseto. If Lucca is your home, you
residents, and just inland from Albenga are ideally placed to fly from Pisa or
on the Italian Riviera is Colletta di Florence.
Southern Italy is served by airports
in Naples, Bari and Brindisi in Apulia
and Lamezia Terme in Calabria.
Sardinia has three airports: Alghero,
Cagliari and Olbia. Sicily has Catania
and Palermo.
The point is, you are never too far
©Giulio Nepi, flickr
from an international airport in Italy

(at most you will have a two-hour drive
if you choose to live in the relatively
sparsely populated area of the country
and coast between Naples and Lamezia
Castelfalfi
Ten pretty Italian villages to visit
3 Polignano a Mare (Puglia)

This shining gem on the Puglia coast,
sits atop a limestone cliff over the sea,
and dates back to the fourth century
BC. Charming, white-washed streets,
and beautiful old churches abound.
Visit one of the three panoramic
terraces for views of the Adriatic Sea
and coastline, and enjoy a coffee in
Atrani
Piazza Vittorio Emanuele II.
1 Atrani (Amalfi Coast) 4 Castelluccio (Umbria)
Located in Amalfi, this town is the
At 5,000 feet above sea level,
smallest in the south of Italy, and
Castelluccio is the highest village in
this beautiful municipality has even
the Appenine mountain range, and
featured in a Fiat commercial. Its
the most beautiful. It is backed on one
pastel-coloured buildings are stacked
side by snow-capped mountains and
one on top of another up the side of
on the other, by lush, fertile plains of
the mountains. Atrani is easy to spot
red poppies, violet, and rapeseed. The
from sea because of the beautiful
town has winding streets, charming
Collegiata di Santa Maria Maddalena,
piazzas and a quaint church.
with its yellow and green majolica tile
dome and striking bell tower.
2 Vernazza (Cinque Terre,

Liguria)
The most beautiful of all the Cinque
Terre’s villages, Vernazza has a
long history as a fishing village.
Sightseeing highlights include the
sixteenth-century Belforte Tower, the
eleventh-century Doria Castle and the
fourteenth-century Santa Margherita
di Antiochia church. The shrine at
Nostra Signora Di Reggio is worth
the hike. Piano Grande di Castelluccio
italy 99
8 Malcesine (Lake Garda,

Verona)
Malcesine is the main, and one of the
most attractive, settlements on Lake
Garda. Malcesine’s Scaliger castle is
a reminder of the strategic position
of the town, and Monte Baldo, the
mountain behind the castle is great for
walks in the summer and skiing in the
Cefalù beach
winter.
5 Cefalù (Sicily)
Cefalù has a lot for a small town, 9 Manarola (Cinque Terre,
including sandy beaches, winding Liguria)
medieval streets. excellent restaurant, A small fishing town that spills down a
and a unique Norman cathedral. ravine to the wild and rugged coastline,
Cefalù’s origins go back to at least this is one of the five tiny towns of
Greek times, when the town was built Cinque Terre, all connected by a
at the behest of the Norman King, walking path. Manarola is the oldest,
Roger II. The Sicilian Romanesque with the cornerstone the church, San
Cathedral dates from the twelfth Lorenzo (1338).
century.
10 Belluno (Veneto)
6 Alberobello (Puglia) Perched on high bluffs above the Piave
An inland village in the province of River and backed by the snowcapped
Bari, this is undoubtedly the capital of Dolomites, Belluno is one of northern
the Trulli house (ancient white, cone- Italy’s most scenic small towns. There
roofed dwellings), and has been made a are stunning views, and a historical
UNESCO World Heritage site. cenrre packed with Renaissance
buildings, palazzi, and Romanesque
7 Castelsardo (Sardinia) churches.
This old town, perched on a hill
beside the sea, has preserved its
medieval fortress structure, with
soaring bastions, steep stairways and
a maze of narrow streets and alleys.
Sights include the Doria castle, and
the fourteenth century cathedral of
Sant’Antonio Abate, with its dome in
coloured majolica tiles.
Belluno
in the south – not an area that is on 150km away. Expatriates also praise
many expatriates’ maps in any case). the exceptional train service along
If you are likely to be commuting this coast and the proximity of the
regularly, don’t forget to take into motorway to most coastal towns.
account factors such as the distance
and ease involved in getting from
the airport to the city centre. Milan’s
Climate
Malpensa is 53km out of town whereas Italy’s climate varies from north to
Rome’s Fiumicino is 24km west of central to south – less so in summer,
Rome and well placed for the Rome- when the disparity is less stark, but
Ostia motorway. Pisa has a railway certainly in winter when you can be
station within the airport complex, basking in 20C warmth in Sardinia or
with links to much of the country. freezing in Milan.
You may also look at areas whose Northern Italy – between the Alps
nearest airport is in another country. and the Tuscan-Emilian Apennines
The Western Riviera – which – sees harsh, cold winters and hot,
includes the popular coastal towns humid summers. Central Italy’s
of Ospedaletti and Bordighera – is seasons are less extreme: winters are
most easily accessed by Nice airport, less intense, summers are milder. The
55km over the border. Otherwise, the south and the islands see a typical
nearest Italian airport is Genoa, around Mediterranean climate of mild winters
Venice: the piazza
italy 101
and hot, dry summers. equipped for cold winters. Terracotta

Sicily’s summer temperatures can floors lack the warmth of carpets.
soar to mid-40s and Sardinia sees People tend to put on extra clothing
average summer temperatures of 30C, rather than turn up the heating. And
with the sun usually shining from no matter what the temperature, you
May to November. Winters can feel don’t have to wait long for blue skies.
cold, partly because Sardinian houses
aren’t built with insulation, so they can
become cold and damp. But winter Property
skies are still far more likely to be blue
and sunny. The market
Generally speaking, northern Italy Italy’s house prices have been falling
is wetter than the south and the west for several years and the latest figures
sees more rain than the east. The east suggest that they have fallen by 5-10%
also sees some strong winds, notably in most regions in the last year. Some
north of Pescara, which feels the brunt agents suggest they are now, at best,
of the Bora winds that blow across the bumping along the bottom of the
Adriatic from Central Europe. curve and unlikely to rise in the
As in much of the Mediterranean, immediate future. It may not be the
many older Italian houses are ill- brightest outlook, but the Italians’
Average property prices in Italy 2006 – 2016

120%
120
100%
100
80
80%
60
60%
40
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Italy’s house prices have fallen for several years, recently by 5–10%.
20
0
Ten tips for buying property in Italy

1 Are you a country or city person? 6 Don’t expect to have a low offer
Do you want to be able to walk into accepted. A 10% discount is usually
town for a cappuccino or see nothing as far as an Italian vendor will go
but hills from your window? (overseas vendors may be more
desperate to sell).
2 Think about what your ideal
property looks like – rustic or 7 Don’t organise viewing trips for
contemporary, detached farmhouse or weekends or summer holidays. Few
city apartment, sea view or mountains? agents will be around to help you and
vendors will have gone away.
3 Turnkey perfection or a renovation
challenge? The Italian idyll of 20 years 8 Always hire an independent
ago was to restore a ruin, but don’t English-speaking lawyer to assist in
underestimate the costs of taking on the purchase process. They act in your
a project – and don’t buy a recently- interests. A notary is just an official
restored property that’s not to your who records the sale.
taste as you will pay a premium for
someone else’s work that you may 9 You will need an Italian tax code
well undo. (codice fiscale) to buy property in Italy,
obtained from either the local tax
4 Take an Italian tour: every region office in Italy or the Italian Consulate
is different, so take time if you can in London. Your estate agent should
to sample a variety to discover what help you.
attracts you most.
10 Once you have signed the final
5 Old properties often have deed of sale, you must notify the local
multiple owners (through generational police authorities of the purchase
inheritance) which can pose difficult within 48 hours.
legal challenges.
Milan
italy 103
Chianti vinyard
conscientious attitude to saving, typically more expensive than any

stringent mortgage lending criteria other region, but the Italian estate
and lack of over-supply of new-build agents Gate-away.com suggest that
properties means the price falls have the typical British buyer’s requirement
been less dramatic than in the likes of of a farmhouse could be found in
Spain. Lunigiana, in northern Tuscany, for
Falling prices present good news less than half the price than it would
for property buyers, many of whom cost further south in Chianti or the
saw 2016 as the year to step back Maremma.
into the market – partly to make the Even in medium- to high-priced
most of relative affordability, but also areas, it is possible to find lower-priced
because those in search of a property properties because, say Gate-away.
to live in and enjoy, rather than as an com, the needs of British/overseas
investment, saw little reason to sit on buyers are different to those of Italian
the fence any longer. buyers – particularly retirees, who are
Some pockets of Italy’s property less concerned about needing to get to
market – notably Chianti in Tuscany, towns, the coast or shops as quickly as
and luxury properties in general – are possible.
influenced by international demand. You will also see property prices
But on the whole, Italian house prices drop dramatically as soon as you head a
are driven by domestic buyers. couple of miles away from a renowned
There are also huge variations in location – just 8km inland from Lake
prices within a region. Tuscany is Como, for example, but still with
lake views, can get you a refurbished,

detached house for low six-figures,
while prices on the shores can top a
seven-figure budget. Similarly, a drop
of 50% will result if you move 10-
15km inland from the coast.
According to statistics from Gate-
away.com, the most requested region
among British buyers is Tuscany, which
Cinque Terre
accounts for 14% of overseas enquiries.
Abruzzo on the Adriatic coast is hot depending on whether it is your main
on its heels, however, having overtaken home or second home, whether you
Puglia in popularity. In Abruzzo’s buy a resale from a private vendor or a
favour are low property prices and new-build developer, whether you are
great diversity of landscapes from resident or non-resident and whether
beaches to ski areas. it is classed as a ‘luxury’ home. Broadly
Puglia, in the south, comes next – in you should budget for 10-12% of the
particular, the Brindisi province – and purchase price, but it may be more.
in fourth place is Liguria, where nearly The key fees are buying taxes (purchase
three-quarters of UK buyers want to tax, land registry tax, cadastral tax),
be in the Imperia province near the notary fees of 1-1.5%, legal fees and
French border. Liguria also sees a high estate agent’s commission – the latter
number of enquiries, as the corridor paid by both buyer and seller).
between Tuscany and France.
British buyers like to be within Renting a property
easy reach of tourist areas such as the Italy is strongly pro-tenant. Rents can
Cinque Terre, but they prefer not to be freely negotiated but landlords can
live in them. In fifth place is Lake only increase the rent after the initial
Como in the Lombardy region, whose four-year contract. The landlord can
three most popular towns are Dongo, only serve notice to coincide with the
Tremezzina and Menaggio. As well as end of the four-year contract too.
the beauty of the lake, buyers choose Most rents are negotiable, so try
this area for proximity to Milan, Italy’s to get the landlord to agree to a
financial heart, which has good reduction. If you rent through an
low-cost international connections agent, you must pay the agent’s fee,
from its airport. which is typically 10% of a year’s rent
or one month’s rental. Landlords can
Buying costs ask for a deposit equal to one to three
Buying costs for Italian property vary months’ rent. Tenants will pay the
italy 105
utility bills and, if renting a flat, must in Italy, you have domiciled in Italy
have compulsory insurance and pay (Italy is your hub for work or family)
service charges to cover communal or if you are recorded in the Anagrafe
services such as rubbish collection, (the Records of the Italian Resident
garden maintenance and lighting. Population).
It’s also important to get a copy of
the building’s rules and regulations Tax on assets held abroad
(regolamento) and to make sure the Italian tax residents who own property
previous tenant paid all their utility abroad must pay the IVIE tax, whose
bills, as you will be liable for any debts standard rate is 0.76% of the purchase
they have left. cost. There is also the IVAFE tax on
financial assets held abroad. The rate
Healthcare is 0.2% of the market value of the
financial asset at the end of the year.
After three months, EU nationals must
register with the Italian health service Tax on Italian property
(Servizio Sanitario Nazionale). You will The municipal tax on real estate (IUC)
need a residency document, available is composed of three elements: IMU
from the local Commune, a ‘Stato (based mainly on the location of the
di Famiglia’ document, if you want property), Tasi (for municipal services)
to register family members, a Codice and Tari (for rubbish collection).
Fiscal, and an Identity Card. Generally, owners and tenants are
You then need to register with your jointly responsible for Tasi and Tari.
Agenzie Sanitarie Locali (ASL) office to
select a family doctor. Inheritance and gift taxes
Non-EU residents will need private Italy’s inheritance and gift taxes apply
health insurance until eligible for a to residents and non-residents and the
Permanent Residence Certificate, rates vary from 4-8%, according to
which can be applied for once
continuously resident in Italy for
five years.
Finance
You will be considered an Italian
resident for tax purposes if, for more
than 183 days a year, you have a
residence in Italy that is your habitual
abode, you spend 183 days or more
Venice lion
the relationship between the deceased/

donor and the recipient and the taxable
value of the assets. A 3% cadastral and
mortgage tax applies if immovable
property is inherited or given as a
gift (but is far lower if the property is
classified as a primary home).
To prevent double taxation of
estates, Italy has tax treaties with the
UK, US, Denmark, France, Greece,
Israel and Sweden.
Fish market, Palermo
Cost of living has risen dramatically in Italy in recent
Some ten or 20 years ago, you could years, to be one of the most expensive
confidently move to Mediterranean countries in the EU. There is still a big
Europe and live in comfort with a far disparity between the cost of living in
lower budget than was required in the the relatively prosperous north and
UK, but that is no longer the case. central Italy and far poorer south.
Property was cheap, you could eat out The standard of services from public
for a few euros and run a home for transport to medical care in the south
relatively little. is also likely to be poorer.
But the cost of housing, utilities, If you are thinking of retiring to
electrical goods and basic food items Italy, don’t underestimate the cost of
living. There are plenty of ways of
gauging the cost of items that will be
most relevant to you and your lifestyle.
You can gauge rental and purchase
prices online, particularly through UK-
based estate agents with Italian offices
such as Knight Frank and Savills, both
of whom also regularly produce market
reports and country insight guides. To
get an idea of what your utility bills
might amount to, look at websites
of phone companies and utility
companies. Online supermarkets such
as Esselunga can give you a notion of
the price of groceries.
Food stall
italy 107
case study: Cost of living in Italy
Wendy Thomson, who moved to diet with no frills. The next generation,
Tuscany during her degree in in comparison, had everything – and
1987 and now lives in Gaiole in everything has changed, although
heating is still very expensive.
Chianti, talks about the cost
What also struck me about the
of living. Italian lifestyle is they eat what is in
season, because that is how the shops
“When I first moved here, nearly 30 work. Markets or the big supermarkets
years ago, I was surprised how basic life are good places to shop (much cheaper
was. There was no heating in our house than the small villages). Coffee is so
– and when we did get it, via small gas much cheaper as are pastries, bottled
containers, it was very expensive so water, drinks in bars, pizzas and simple
we froze in winter. People had a frugal eating out.”
Gaiole, Chianti
Milan, Via Dante
City life will get through your

budget fastest, with housing
consuming the bulk of it. 25% of the
average Italian family’s budget is spent
on accommodation.
Milan is Italy’s most expensive
city, according to Mercer’s Cost of
Living Index 2015, which ranks it as
the 53rd most expensive world city.
Rome appears in 59th place (by way
of contrast, London is in 12th place,
Dubai in 23rd and Riyadh in 71st).
For the perfect balance between a
good level of service and a low cost of
living – combined with a temperate
climate – Gate-away.com recommends
central Italy, in particular Le Marche,
Umbria, Abruzzo and Lazio.
italy 109
Moving there
EU citizens can move to Italy with no and extensive financial resources
need for a visa. ‘which have to be one’s own, stable
Nationals of other countries can and regular and which, it can be
check precisely what documentation reasonably assumed, will continue
is needed on the Italian Ministry of over time from sources other than
Foreign Affairs’ website (vistoperitalia. paid employment’; and available
esteri.it). For example, a UAE citizen accommodation to be chosen as
choosing Italy as their ‘elective residence, owned or rented, with a
residence’ would need: an entry visa signed contract. You can obtain a visa
application form; passport photograph; at the Italian Embassy or Consulate in
valid travel document; documented your country of residence.
portugal 111
portugal
Overview
It has been half a century since
modern-day Britons latched on
to the easy and affordable life
that Portugal offers. They have
been following in the footsteps
of Britons who have had a
650-year close association with
the Portuguese – mainly over
the matter of port wine.
Douro River, Porto
British interest has largely focused on largest British expatriate community

the Algarve coast in the south – home in Europe after Spain and France and,
to dune-fringed sandy beaches and one uniquely in continental Europe, it
of the most temperate climates in the shares the same time zone as the UK.
world, with more than 3,300 hours of The country is divided into
sunshine, sunnier than anywhere else seven provinces or regions with the
in Europe. enchanting city of Porto and a craggy
But there is more to the country landscape of ‘montanhas e serras’ in the
than its sunny southern coastline, and frequently chilly north, and the balmy
there are other reasons why the British coastline of the Algarve in the south.
feel drawn towards it as a place to retire Within these contrasting landscapes
– one of these reasons more than six are central Portugal, which includes
centuries old. the ancient university city of Coimbra,
The near 650-year long alliance and south of it, the adjacent region of
Portugal has enjoyed with the UK is Lisbon in the industrial hinterland.
proof of the enduring mutual respect Further south and above the Algarve
between these two maritime nations is Alentejo, the country’s most
and part of the reason why so many agricultural area – a sleepy landscape of
Britons choose to live there. cork groves, vineyards and pine forests
Other incentives for choosing with crumbling farmhouses that have
Portugal include a relatively low cost of yet to be discovered by adventurous
living coupled with significantly lower retirees.
property prices. It also has the third In addition to mainland Portugal,
portugal 113
the country also includes two showcasing a living museum of

autonomous island territories in the architectural styles from the Moors to
Atlantic Ocean, the archipelagos of Art Nouveau, much of it influenced
Madeira and the Azores – vestiges of by centuries of global trading and
a sprawling global empire which once colonisation. Often described as the
embraced nearly half of the new world ‘city of light’, Lisbon has a surprise
including Brazil, large parts of Africa, around every corner: a hilly landscape
mainland China, India, and Indochina. of honeycombed alleys and paths one
Madeira is more likely to be of interest way, sweeping miradors over land and
to retirees than the remote and wind- sea the other, and everywhere you
scoured Azores, but appealing as it is, look a palette of brilliantly coloured
not even Madeirans would dispute buildings.
that it is a small and relatively crowded Lisbon’s coast also offers some
island. exquisite retirement spots in Cascais
Of the country’s regions the Algarve and Estoril, once home to aristocrats
is still by some distance the most and WW2 double agents, but now
popular choice for British retirees. elegant sanctuaries for those seeking a
But it isn’t the only choice. If you are quiet life with sea views.
drawn to living in a major city, then Porto, the country’s second city
the country’s stylish capital Lisbon and and UNESCO world heritage site, is,
its historic northern neighbour Porto like Lisbon, a seductive synthesis of
are among the most eligible candidates historic and contemporary attractions.
in Europe. The capital of the ‘Norte’ region, it is a
Lisbon is one of the great European thriving commercial and cultural hub
capital cities, a place of tangible history with much to offer art lovers – and
where trams rattle through cobblestone foodies – with seafood a particular
streets past richly decorated buildings speciality of Porto and its neighbouring
coastal resorts.
So to the Algarve, whose weather,
scenery and lifestyle offer something
for everyone but are particularly loved
by northern European expatriates.
Described by a US newspaper as ‘the
best place in the world to live or retire
that nobody’s talking about’, the
publication in question clearly hadn’t
consulted any of the many thousands
of Britons who currently live there and
have been talking about it for years.
Lisbon tram
The article highlighted Silves and

Lagoa, west of the Algarve’s capital
Faro, as ‘particularly appealing’,
but don’t ignore the gateway to the
region itself, Faro, which, like most
airport towns, is often overlooked by
holidaymakers and home-buyers in a
rush to the main resort areas.
It shouldn’t be. If you get past the
shabby outskirts, Faro is as authentic as
Five questions to ask southern Portugal gets, with a well-
yourself before buying preserved medieval quarter, a maze of
a home in Portugal narrow car-free lanes and alleys, lush
parks and elegant plazas. It is also
Where to start looking for a home?
on the doorstep of protected natural
You really need to ask yourself why
parkland, easily accessible beaches,
you want to move to Portugal, and
and some of the most exclusive golf
compile a checklist which includes
courses in the world. The hissing lawns
at least some of the following:
of the nearby exclusive Quinta do Lago
golf resort border some of the most
1 Do you want to live inland, in the
expensive real estate in Europe.
mountains, or by the sea?
With a large student community
at the University of the Algarve, there
2 Do you prefer the energy and
is a metropolitan buzz about Faro
bustle of a large town or city, or a
which is not found elsewhere in the
village community, or even a remote
region – with the possible exception
rural location off the beaten track?
of Albufeira, the main resort town of
the Algarve and a magnet for tourists
3 Do you want to be close to other
and revellers. In the opposite direction,
expatriates, or as far away from your
towards the Spanish border, it contrasts
fellow countrymen as possible?
with the elegant old town of Tavira,
an increasingly popular choice for
4 Is the availability of public
British expatriates drawn by its classical
transport a key consideration? And
architecture, including a famous seven-
proximity of shops and amenities?
arch Roman bridge, and access to a
beautiful island beach on the Ilha de
5 If you’re a golfer or sailor, how
Tavira.
close do you want to be to a golf course
The central Algarve between Faro
or sailing club?
and Sagres is the unquestioned centre
Top: Colourful houses of Porto
portugal 115
of the Portuguese tourist industry,

but the beaches are so plentiful that
there is little difficulty in avoiding While an unquestioning observance
the crowds. Within a short drive of of social and religious customs plays
the homogeneous cluster of villas and an important role in daily life, the
gaudy bars along the coast visitors Portuguese know how to let their hair
will stumble across enchanting hill down.
towns and the 300km Via Algarviana Evening meals start and end earlier
pilgrimage route, traversing the than in neighbouring Spain, but it is
breadth of the region. not unusual to eat as late as 10pm.
The western Algarve is another story While the afternoon nap (sesta) is less
– one more about nature and less about entrenched in daily routine than it is in
development – although its rugged Spain, it is practised in pockets of the
nature and exposure to Atlantic winds country nearer to the Spanish border.
may not be to every expatriate’s taste. In truth, the Portuguese are a
How important is the weather? Be hardworking people and are likely to
aware of very different climates in the be contemptuous of the notion of an
country’s regions. Porto is on the same afternoon ‘nap’. And, while Portugal
latitude as New York, which is likely to is blessed with a warm and sunny
mean colder winters and hot summers. climate, it avoids the debilitating
The Algarve has more consistent temperatures found in much of Spain
conditions year round and is warmer in summer by virtue of being cooled by
and drier than in other areas. west coast Atlantic breezes.
Typical street in Faro
Five top beaches in the Algarve

Praia da Marinha, Lagoa
Rated by the Michelin Guide as one of the 100 most beautiful
beaches in the world, and one of the top ten in Europe.
Golden sand, clear water, remote location, no crowds, no
bars, no watersports – just a haven of peace by the sea.
Marinha Beach, Lagoa
Praia do Anção,
central Algarve
Sharing the same stretch of
©Restaurante2passos.com
coast as Quinta do Lago, Praia

do Ancão is just minutes away
from the better known and
busier beach nearby. But this is
where the locals go.
Praia do Ancão Beach, Lagoa
portugal 117
Praia do Barril,
eastern Algarve
A blue-flag beach on an island
within the Ria Formosa Natural
Park. A mecca for windsurfers
and sailors. Five former
fishermen’s houses on the beach
are now simple restaurants
serving up superb fresh fish
direct from the sea.
Barril beach
Praia do Armado,
western Algarve
One of Portugal’s top

surfing beaches with its own
surf school. Sand dunes
and cliffs in abundance, not
forgetting big rollers. And a
beach bar.
Praia do Armado
Ilha de Tavira,
eastern Algarve
From Faro, take the main road
towards the Spanish border and
you’ll find this lovely old town
with its own sandbar island
whose pristine sands stretch for
over 10km.
Ilha de Tavira
On the other hand ‘Festa’ is a

different matter. Every town and
village in the country has an annual
festival when, in true Iberian fashion,
©Pedro Ribeiro Simoes, flickr

everything shuts down except bars and
restaurants. From February’s Carnival
through to October there is a huge
celebration marking every holiday and
saint’s day. They can be elaborate affairs
or simple ones, but you can always
expect music, food, drink and dancing
Festival, Lisbon
until the early hours. Attending local
festivals provides a unique insight into similarly creditable record in winning
local culture and is a great way to meet international trophies. That all changed
new people and immerse oneself in the in July 2016 when the national team
Portuguese way of life. became European champions by
The major international festivals beating France in the final of Euro
tend to take place in Portugal’s major 2016. The country’s three biggest
cities, notably the Festas de Lisboa – a football clubs, Porto, Benfica, and
series of events in the country’s capital Sporting Lisbon, have also enjoyed
which peak on St Anthony’s Day, June international success.
12-13, and St John’s Day in Porto In golf, the country has some of
on June 23-24. The latter has been the finest and most lavishly appointed
observed for over six centuries and has courses in the world.
acquired a reputation as one of the In the world of surfing, Portugal
liveliest festivals in Europe. boasts some of the most formidable
Although spectacular white beaches, waves in the sport, infamously the 100-
fabulous food, superb local wine, great foot monster at Praia do Norte, outside
golf courses, extensive watersports and the fishing village of Nazare, north
a delightful climate all play their part of Lisbon (see ‘Five of the prettiest
in the Portuguese lifestyle, there is villages in Portugal’).
one additional diversion which should If there is one universal musical
not be dismissed. Football plays a landmark that Portugal can truly claim
huge part in the nation’s life and new as its own it is the distinctive sound
residents might be expected to show a of ‘Fado’, the mournful lament that
passing interest in the national game. speaks of life, struggle and passion
Portugal has a reputation for which is heard in live performance
producing legendary footballers venues throughout the country.
(Eusebio, Luis Figo, Ronaldo), if not a Originating in the 1820s, every song
portugal 119
tells a story about the harsh realities distinctively patterned ceramics.

of everyday life, often with a sense of In a wider context Portugal has a
resignation about loss and longing. rich history in music and the arts, seen
Another distinctively Portuguese gift in the Celtic-influenced folklore of the
to the world is its extensive culinary north and in the Moorish architecture
influence. Not only are Portuguese and musical legacy of the south. Either
missionaries said to have introduced of the country’s major cities, Lisbon
‘tempura’ to Japan in the sixteenth and Porto, will satisfy any yearning for
century, but the British staple of fried a regular cultural fix.
fish (‘peixe frito’) came from Portugal a Porto is one of the oldest cities
century later. If that weren’t surprising in Europe and has world famous
enough, Indian food would be a lot performance venues including the
blander if the chilli pepper hadn’t been Coliseu do Porto and the São João
introduced by Portuguese traders to National Theatre. In 2001 it was
India around the same time. And it chosen European Culture Capital.
is no secret that Piri Piri sauce is a As would be expected of a capital
Portuguese invention. city, Lisbon has the majority of the
Just as unmistakeably representative country’s museums and galleries.
of the country’s cultural identity are Unquestionably, the greatest of the
the ubiquitous glazed tiles, ‘azulejos’, city’s museums is the Gulbenkian, a
which decorate facades in every city private and permanent collection of
and town in the country. In fact, it is exhibits that span over 4,000 years
rare to come across a church, palace, or from antiquity to the nineteenth
grand house that does not feature these century.
No whistlestop tour of Portugal’s
cultural tradition would be complete
without reference to the importance of
the Portuguese people’s ongoing love
affair with coffee. On Lisbon’s leafy
Avenida da Liberdade it is impossible
to progress more than a hundred
metres without passing a coffee hut or
café selling a cup of ‘bica’ for not much
more than one euro. The Portuguese
coffee culture brings people together,
and the tradition of taking a coffee
break mid-morning and/or after
lunch is firmly entrenched in the
national psyche.
Characteristic tiled wall, Lisbon
Seven of the finest golf courses

in Portugal
1 Penha Longa, Atlantic Course 2 Oceanico Courses, Victoria
(near Lisbon) & Old Course (Algarve)
An approach shot where you must Designed by Arnold Palmer, the
avoid a centuries-old aqueduct – that Victoria Course hosts the European
is the phenomenal experience of Tour’s Portugal Masters, and is a true
Penha Longa. The Atlantic course sits test with rolling hills, well-positioned
in the middle of a nature reserve with bunkers and water hazards. The
constant elevation changes and very Old Course has narrow fairways,
quick greens. intimidating tree lines, and has a classic
feel that will impress all challengers.
©www.penhalonga.com
Penha Longa
portugal 121
3 Monte Rei Golf Club (Algarve)

Monte Rei has a private-club ambiance
even though it’s a public golf course.
The clubhouse, perched atop a hill,
is simply stunning. Built on rugged
Portuguese terrain, this Jack Nicklaus
golf course will challenge you on
every shot.
4 Oitavos Dunes (near Lisbon)

Golf Magazine rates Oitavos Dunes
as one of the top 100 courses in the
©www.valedolobo.com
world. Located on elevated land
overlooking the ocean, this layout gives
the golfer a rugged feel with fast greens
and lush, groomed fairways.
Vale do Lobo Resort
5 Quinta do Lago, North and
South Courses (Algarve) 6 Vale do Lobo, Royal & Ocean
Known as the jewel in the Quinta do Courses (Algarve)
Lago crown, the South has hosted The Royal Course has arguably the
eight Portuguese Opens. Designed by most picturesque golf hole in all
William Mitchell, the South requires of Europe. Hole 16 overlooks the
target-golf accuracy off the tee and is turquoise ocean with a clay cliff
a favourite course of many European separating the green and the beach.
Tour players. But many believe the Ocean Course
has the better overall layout.
7 San Lorenzo Golf Club

(Algarve)
To play the San Lorenzo you must stay
at the Dona Filipa Hotel. Opened in
1988, it is one of the most popular
golf courses in Portugal. Undulating
©www.otiavosdunes.pt
pine woodland, and perfectly

groomed Bermuda grass fairways
are distinguishing factors, as are the
estuary and the saltwater lagoons in the
southeast corner of Quinta do Lago.
Oitavos Dunes, Lisbon
Language and
immersion
The Portuguese language is the sixth
most widely spoken in the world,
with some 230 million people using
it as their native tongue (190 million
in its former colony Brazil). It is the
official language of eight countries
on four continents and is the third
most spoken European language after
English and Spanish.
It is not the easiest of languages to
Portuguese pastries
master, but even the most rudimentary
grasp of it is appreciated and there are schools or organisations
acknowledged by native speakers. A that offer free or low-cost Portuguese
grounding in Spanish, Italian or French language classes, from beginners to
will help to decipher the written more advanced speakers. The local
word, but the spoken word bears little tourism office, school or library will
relation to fellow ‘neo-Latin’ languages. usually have details of these. Most
Although there are similarities between courses are held in the evenings and
Spanish and Portuguese, they are as well as helping new arrivals get to
fundamentally different languages. grips with the basics of the Portuguese
English is widely spoken in Lisbon, language, they are a great way of
Porto and throughout the Algarve meeting fellow expatriates.
and other tourist hotspots, but it is In expatriate communities
likely to be met by blank looks in throughout the world there are those
the rural Alentejo and the mountain who find comfort and reassurance in
communities in the north. It is sticking ‘with their own’. Some will
perfectly possible however to live in rarely venture beyond the perimeter of
contented retirement in many parts a gated development. Others will seek
of the country without knowing out a more rounded and holistic life,
much more than ‘obrigado’ (thank living among locals and limiting the
you) – it’s simply that having more level of exposure to other Britons.
than a smattering of common words Throughout the world, wherever
and expressions will lead to a more British expatriates have settled, their
rewarding immersion in the country clubs and societies have inevitably
and its culture. followed. Familiar accents can be
In many Portuguese communities, heard in bars, restaurants and golf
portugal 123
clubs throughout the region. There are planning to buy, or sell property in
upwards of 40,000 British residents Portugal, proximity to one of these can
who have made their permanent home adversely or favourably affect the price.
in Portugal, and the majority of them Any location within an hour’s drive is
are in the Algarve. The wealthiest have usually an acceptable distance. Beyond
chosen to live in luxurious enclaves like that, and it might have a negative effect
the Quinta do Lago estate near Faro. on value.
English language newspapers can Lisbon airport, also known as
be found in print and online, led by Lisbon Portela, is the country’s main
The Portugal News (theportugalnews. international and domestic airport
com) – the country’s largest circulation handling 14 million passengers a year.
title aimed at expatriates and tourists It has the considerable advantage of
established 40 years ago, and The being just 6km from the centre of the
Algarve Resident (algarveresident.com) capital. Main carriers from Britain
– and the online-only expatsportugal. include BA, EasyJet and Ryanair, and
com and portugalresident.com, both of the flight time from London to Lisbon
which feature lifestyle magazines. is roughly 2.5 hours, with no time
difference.
Accessibility Francisco Sa Carneiro Airport,
named after the Portuguese Prime
Flying to and from Portugal Minister killed in a 1990 air crash,
The majority of travellers from the UK is a futuristic complex better known
will choose to fly direct to one of the as Porto Airport. It is the country’s
country’s three major international second busiest and it is northern
airports: Lisbon, Porto and Faro. When Portugal’s principal base for budget
airlines including EasyJet and Ryanair.
It is located 11km from the city of
Porto and is served by the metro and a
24-hour airbus link.
The country’s third major airport
is Faro, serving predominantly
the Algarve and Alentejo regions.
Currently undergoing expansion, it is
located just 4km from the city of Faro,
and has direct flights operated by BA,
Ryanair and EasyJet. Since 2010 it has
been a hub for Ryanair, which bases
part of its fleet there.
Porto airport
Five of the prettiest villages

in Portugal
Monsanto
A small, fortified village
previously named the
‘most Portuguese village
in Portugal’. Houses and
streets in Monsanto are
packed tightly and carved
from the cliffs and boulders
that surround the town. The
castle overlooking Monsanto
provides an excellent
panorama of the plains and
nearby mountains of the
Serra de Estrela.
Monsanto
Monsaraz
This village still retains
its historic and medieval
atmosphere. Sixteenth and
seventeenth century whitewashed
houses are dotted across Rua
Direita. This street leads to the
main square, where a parish
church housing beautiful gilded
altars and painted pillars awaits.
A little hike takes you to the
castle, with great views across the
Alqueva Dam and olive groves.
Monsaraz
portugal 125
Nazare
Portugal’s most famous fishing
village, Nazare has always
attracted visitors to its glorious
beach and vibrant village life,
where the locals still wear
traditional dress. The fishing
boats continue to be painted in
Phoenician-inspired designs of
bright colours. This is also the
home of surfing in Portugal, with
frighteningly high waves.
Nazare
Obidos
One of Europe’s most romantic
villages, Obidos has colourful houses
and is filled with bougainvillea,
Gothic passageways, cobblestone
streets and whitewashed churches
leading to its twelfth century castle.
Visiting in July means you might
experience the Medieval Fair of
music, knights and historic theatre –
Portugal circa 1500.
Obidos
Marvao
Another medieval mountain-top
village with unspoilt charm. The
village retains its streets, houses
and churches and magnificent
thirteenth century castle. Look
over the walls for impressive
panoramic views.
Marvao
Travelling by train (overnight and operated by RENFE –

In any overview of rail travel on Spanish Railways).
the Portugal mainland, prospective An ambitious €7.8 billion plan
residents should be aware that it is a to link the two cities by high-speed
mixture of the good and frustratingly rail was shelved in 2012, with no
bad. The country is almost completely realistic prospect of it being revived.
isolated from the rest of the European There is however a fast and regular
rail network, and there is just one train service connecting the north of the
each day between Lisbon and Madrid country with the Algarve, at speeds
Major airports in Portugal
portugal 127
lane highways, usually broadening into

four lanes around towns and cities.
They are preferred to the four- to six-
lane autoestrada toll roads (prefixed by
the letter ‘A’) by most Portuguese who
consider the toll costs too expensive.
The consequence of this is a generally
rapid and congestion-free journey by
drivers prepared to pay for the privilege
Vasco da Gama bridge
of using them.
of up to 140mph using ALFA
Pendular (‘Pendolino’) tilting trains.
It is important to bear in mind that
Climate
Portugal’s railway network was scaled Given the close proximity of northern
down in the early 1990s, but the Africa to the Portuguese mainland,
affected lines were mostly local and approximately 200km across the
services between the major cities are eastern Atlantic, it is not surprising
relatively unaffected. that Portugal has one of the warmest
climates in Europe, with summer
Other ways of getting around temperatures in the south of the
Portugal’s bus network has grown country averaging around 28C (18C
as rail routes have contracted, with annually), and 20C in the north (15C
the majority of towns and villages annually). Portugal has a relatively
connected by local, regional and high rainfall for a southern European
express long distance services – most of country. At an average of 854mm per
them operated by private companies. year, it isn’t significantly lower than
The reality is however that most the UK’s at 1,091mm and higher than
expatriates will travel internally by Germany’s at 700mm.
car or taxi – in which case, the good Most of the rain falls between
news is that Portugal has recently October and March. Generally, you
benefited from considerable EU- can rely on sun during the months of
funded investment in a major road May to September across the country,
construction programme, particularly with the hottest temperatures found
the 3,000km motorway (autoestrada) in the country’s interior, sometimes
network connecting all the major reaching 40C and above. The Algarve
towns and cities. has a famously agreeable climate
The main roads, usually those with average temperatures of 28C,
prefixed with the letters ‘N’, ‘IP’ or rarely exceeding 35C at the height
‘IC’, are generally well-maintained two of summer, and cool Atlantic breezes
San Miguel, Azores
guaranteed to moderate any extremes

of heat.
Property
Conditions are different in the After several years of recession, which
island territories of Madeira and saw property prices fall by 30% on
Azores. The former lies 1,000km average in the Algarve, the turnaround
off the coast of mainland Portugal came in 2015. Spurred on by property
and 600km from west Africa, and prices that are still around 13% below
enjoys a temperate climate at sea their 2006/07 peak, British buyers –
level with summer temperatures who have long been the keenest – were
averaging around the mid 30Cs, back.
with more variable temperatures in Some major developers such as the
the mountainous interior. Rainfall Oceanico Group, which operates many
is unpredictable, and severe Atlantic of the Algarve’s golf courses, viewed it
storms occur a number of times every as the time to launch hundreds of new
year.The Azores, an archipelago of apartments, built during the recession
nine dispersed volcanic islands about and rented out as holiday flats until the
1,100km west of Lisbon in the mid- market improved. In the most sought-
Atlantic, have a mild climate where after areas and high-end resorts such
summer temperatures average around as Quinta do Lago and Vale do Lobo,
23C with a maximum of 27C. The whose prices were far less severely hit
only thing that is certain about the during the recession, there were signs
islands’ climate is its uncertainty. of house price growth.
Rain can fall at any time of year, with The highest property price rises year
some areas in the east experiencing an on year to January 2016 were seen in
average of 700mm annually. Barcelos, a small city between Porto
portugal 129
and Braga, where prices increased

by 10.5%. Then came Amadora, an
outlying municipality of the Lisbon
metropolitan area, which recorded
9.4%, and the university town of
Coimbra saw 4.5% rises.
Such areas are not dependent
on overseas buyers, but Britain’s
referendum vote to leave the EU
has swiftly skewed the picture in
Algarve villa
areas that are. Since the referendum
announcement in February 2016, Scheme, which offers the perks of
British demand for property all no tax on pension income for ten
but dried up on the Algarve while years and income tax capped at 20%.
prospective buyers waited for Scandinavians continue to be keen
clarification over what it all meant. buyers on the Algarve and a new
French buyers have stepped into market to emerge is the high-spending
their shoes, driven almost entirely by Swiss, who are benefitting from a
Portugal’s Non-Habitual Residents recent increase in direct flights from
Average property prices in Portugal 2006 – 2016

120%
120
100%
100
80
80%
60
60%
40
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
After several years of recession, which saw price falls of 30%, the turnaround
came
20 in 2015.
0 www.retiringtoeurope.com
Geneva and Zurich to Faro.

In general terms in Portugal,
prices have stabilised, the numbers
of transactions has increased and
buyers will always be drawn to the
warm, temperate climate, low cost of
living, laidback life, pension perks and
inexpensive property. From a buyer’s
perspective, there are still bargains to
be had – particularly if you are looking
for a new coastal apartment as many
have remained unsold since the 2008
Carvoeiro, Algarve
crash.
Portugal is also considered to can apply for Portuguese nationality.
be a safe destination, an important The requirement to spend time in
consideration in today’s uncertain Portugal is minimal – just seven days in
climate. It is also a country that is the first 12 months and 14 days a year
easily accessible from the rest of for the following four years. Investors
Europe and the UK. cannot sell their property for at least
five years and to obtain Portuguese
Golden Visa Scheme citizenship, you need to demonstrate
Portugal’s Golden Visa Scheme, which an ability to speak the language and,
launched in 2012 as a way of attracting less easy to qualify, show that you have
non-EU buyers, was the first of its made the effort to integrate.
kind in Europe. It requires a minimum Although British buyers will be
investment of €500,000 in property eligible to buy properties through the
(or for properties older than 30 years, Golden Visa route after the UK leaves
or situated in urban regeneration the EU, the scheme was set up largely
zones, the minimum investment is to attract wealthy non-European
€350,000). buyers from the likes of the Middle
Alternatively, you can invest €1m East, Russia and China, with the
in Portuguese companies, set up a cost of obtaining the visa alone being
business that creates ten jobs or invest €30,000.
at least €350,000 in scientific or
technological research. Non-Habitual Residents
In return, investors receive a Scheme
temporary one-year residency visa, Portugal’s Non-Habitual Residents
which can be renewed for up to five Scheme (NHR) is available to those
years in total. After six years, the holder who establish residence in Portugal
portugal 131
for the first time or who have not because public health care is necessarily
been resident in Portugal in any of the a bad choice, but like the UK’s own
previous five tax years. Qualification NHS the speed of consultation,
entitles you to beneficial tax treatment treatment and follow-up care can
for ten years. sometimes be found wanting.
The scheme is particularly of interest On the plus side, state-provided
to retirees with a UK pension scheme healthcare in Portugal is available to
(or with any pension from a country British expatriates on exactly the same
that has a dual tax agreement with basis as it is to Portuguese citizens –
Portugal), as there is a potential tax although it might not include all the
exemption from most foreign-source treatment and medication that you
income, including pension income, would expect to get free of charge
provided you meet certain conditions. from the NHS, and you might have
British citizens’ eligibility for the to make a patient contribution to
scheme is unaffected by the UK’s status the cost of your care. The Portuguese
in the EU. Serviço Nacional de Saúde (SNS)
is the equivalent of the NHS,
Healthcare providing hospital and local health
centre services. It can sometimes be
Access to the Portuguese health system exasperating, sometimes excellent.
is based on residence. So if you are Expatriates with residency in Portugal
formally resident in Portugal (having must obtain a SNS user card in order
registered with your nearest Town to take advantage of the free public
Hall or the Immigration authorities healthcare system. This can be done
and obtained a Residence Certificate), at a local health centre with a passport
you are entitled to register with your and residency card.
local health centre and receive state Long waiting lists and cancelled
healthcare. appointments are the exception
Most doctors in Portugal are fluent
in English. Indeed, a growing number
of doctors in the country are English,
especially in areas with a high number
of expatriates such as the Algarve,
where they are likely to be working in
©Hugo Cadaves, flickr
the private healthcare sector.

Although both public and private
options are widely available, the
latter is growing in popularity within
the expatriate community. This isn’t
Hospital de Sao Teotonio, Viseu
rather than the rule in private health Here are some of the issues to
clinics and hospitals, and doctors and consider
clinicians are generally able to allocate You are considered to be a tax resident
more time to patients. The private in Portugal if you spend more than
medical care industry is growing 183 days a year in the country. The
rapidly in Portugal, commensurate UK’s own Statutory Residence Test,
with the growth of the expatriate which was introduced in 2013, helps
community. The Quinta do Lago clarify an individual’s UK residence,
and Vale do Lobo golf resorts in the based on the number of days you
Algarve each have British-owned and spend there and your ties to the UK,
run medical centres in their estates. such as family, accommodation or
employment.
Finance The UK-Portugal tax treaty means
that the same income or gain will not
There are many issues that face UK be taxed twice, but if you do not know
nationals who are looking to move the rules, you can end up paying more
to Portugal. Many of these issues tax than you need to.
can be dealt with easily, provided
you take advice from an expert in Residence
both Portuguese and UK tax law, as As an EU citizen, you can remain
something that can save you tax in the in Portugal for up to three months
UK can have the opposite effect in without registering your residency. If
Portugal – and vice versa. you intend to stay longer, you must
Loule village
portugal 133
to it once you are no longer a

UK resident.
It is important to speak to an expert
before you change tax residence as
there may be steps you can take ahead
of your move to save you paying tax
that could have been avoided.
For residents of Portugal, there
are tax-efficient investment vehicles
Wine bar tile work
that can reduce taxable income – and
apply for a registration certificate from hence income tax. They can also have
the Town Hall in the area where you a beneficial impact on Portuguese
live within four months of arrival. taxes on death, particularly if you are
This certificate will be valid for five not married or are leaving assets to
years from the date of issue, or for someone unrelated to you.
the period of intended residence.
After that, you can apply for a Portugal as a tax haven
permanent residence certificate from In 2009 Portugal introduced the
the Immigration authorities (Serviço Non-Habitual Resident tax regime for
de Estrangeiros e Fronteiras). For new tax residents who are either non-
entitlement to local services such as Portuguese nationals, or Portuguese
healthcare, you must register with the nationals who had not been resident
relevant authorities. for five years. The benefits of the
scheme apply for the first ten years of
Making your investments tax tax residence.
effective This system was designed to
While income you earn from ISAs encourage people to come and live and
and Premium Bond winnings are free work (and therefore spend money)
of tax while you are a UK resident, in Portugal. It has proved hugely
once you move abroad – including to successful in attracting new residents,
Portugal – they are likely to be subject and has in particular supported the
to tax. Income from ISAs can be taxed Portuguese house building industry in
at either the scale rates of tax or a the Algarve.
flat rate of 28%, and Premium Bond One of the main benefits is any
winnings may suffer tax at up to 48% non-Portuguese pension income or
in Portugal. lump sums received in the first ten
You must also bear in mind that years are not taxable in Portugal. The
while you can still hold an ISA fund if UK’s new pension freedoms mean you
you live abroad, you cannot contribute could receive all of your pension fund
in that period by way of lump sums, if they suspect any black money
and the UK would not tax these under exchanged hands.
the UK-Portugal tax treaty, unless you
returned to the UK within ten years. Inheritance
Portuguese succession law applies to
Offshore bank interest the worldwide assets of Portuguese
Portuguese tax residents not benefitting residents (with the exception of
from NHR are subject to tax on their real estate that is located outside of
worldwide income, including bank Portugal). It also applies to Portuguese
interest from anywhere in the world. real estate belonging to non-residents
Interest income is taxed at a flat rate of of Portugal.
28% in Portugal or it can be added to For Portuguese nationals, the rules
your other income and taxed at scale of ‘forced heirship’ apply, which
rates. But if the bank account is held in means that children and the surviving
a jurisdiction on Portugal’s black list of spouse automatically inherit a certain
tax havens – which includes Gibraltar, proportion of the deceased’s assets.
the Isle of Man and Channel Islands – Since Portugal implemented the new
interest is taxed at 35%. Brussels IV EU regulation in August
Bear in mind, too, that under the 2015, non-Portuguese nationals have a
Common Reporting Standard, which choice. Portuguese succession law will
began in January 2016, nearly 100 automatically apply if your country of
jurisdictions around the world will ‘habitual residence’ is Portugal, unless
now exchange information for tax you have stated in your Portuguese
matters. That means the Portuguese will your wish to apply the law of your
authorities will receive information nationality, i.e. the UK. As a result,
each year on all your bank accounts, forced heirship would not apply, and
investments and other financial assets
held outside Portugal.
Black money
As in Spain, black money in Portugal
formed an element of many property
transactions until relatively recently.
The full amount was not declared
on the deeds and the difference was
handed over in cash.
The practice has been largely
stamped out now and you risk an
investigation from the tax authorities
Tiled chapel ceiling, Nazare
portugal 135
beneficiaries, and that of the assets

concerned.
It was commonplace over the past
20 years to see an expatriate use an
offshore company to acquire their
Portuguese holiday home, but recent
Portuguese tax legislation has in most
instances made this structure less
attractive, compared to owning the
property directly, particularly if you are
Cork trees, Alentejo
a non-resident of Portugal. You should
you would be free to set out in your take advice on any ownership structure
will who you would want to benefit based on your circumstances, prior to
from your estate. buying your property.
These rules only apply to succession
law, and not the actual inheritance Wills
tax or estate taxes payable – these will A UK will may be effective in Portugal,
still depend upon the location of the but it will need to go through the
deceased on death, the location of the probate process in the UK first before

among them Living in Portugal and a Guide to Taxes in Portugal.
Portugal’s wines and regions

Douro
One of the most beautiful wine
regions in the world, the Douro
quickly emerged as the country’s
premium wine region. No longer
seen as a distraction from port, it has
Port wine
been the port shippers who have seen
If you enjoy a little tipple, then the potential of their grapes to make
Portugal could be for you. exciting full-flavoured reds and fresh
Portuguese wine-growing has dry whites. The Douro Valley is a hot
undergone a quiet revolution over the and arid region of spectacularly steep
last 20 years. A reluctance to follow terraced slopes.
trends and plant international grapes
is now delivering a new breed of Vineyards:
full-blooded, fruit-filled wines that Quinta de Nápoles (Niepoort)
are more than able to compete on the Quinta do Vallado (João Ribeiro)
world stage. Quinta das Carvalhas
Many of the vineyards suggested Quinta da Pacheca
have hotels or guest-rooms available. Quinta de La Rosa
Bairrada
Bairrada is dominated by just one
grape, the Baga, with 80% red. This
thick-skinned, highly acidic, tannic
variety is left with long stems in the
fermentation vat. With 4,700 registered
growers, and an average plot size of
only 0.2 ha, it means the cooperatives
dominate the region’s production.
Vineyards:
Casa de Saima
Luis Pato
Quinta das Bágeiras
Quinta de Baixo Douro valley vineyard
portugal 137
Dão
Since 1990 there has been massive
improvement in Dão wines. Located
inland, this region has cold wet winters
and mild, dry summers. The granitic-
soiled vineyards at altitude could be
described as ‘Portugal’s Burgundy’
region.
Vineyards:
Quinta dos Roques
Quintas do Pellada
Quinta da Agueira
Dão Sul
Harvest of black grapes
Alentejo
The Alentejo is a huge area of flat style that has been such a huge
plains covering almost a third of the commercial success.
country. Up against cereal production,
it is the large, professional outfits who Vineyards:
dominate. José Maria da Fonseca’s José de Sousa
Two distinct styles exist: the (old)
traditional Alentejo style of Cartuxa (old)
fermentation in clay pots, which Estremoz (João Portugal Ramos) (new)
provides leathery, herby, sweet-spice Esporão (David Baverstock) (new)
complexity, or the almost new-world
Alentejo vineyard
Ribatejo
A long-time provider of bulk wine, wines are made.
the Ribatejo is now emerging as an Foreign varieties such as Cabernet
exciting source of modern-styled Sauvignon and Merlot do well.
commercially astute red wines.
The fertile alluvial soils on the Vineyards:
banks of the river Tagus produce Caves Dom Teodósio
soft-textured, drinkable reds in the Falua
quantities and price points that Pinhal da Torre
excite supermarkets. Further up, Casa Cadaval
on the stonier soils more serious Quinta do Casal Branco
Ribatejo vineyard
Estremadura
A long, thin strip running up
the Atlantic coast from Lisbon,
Estremadura has struggled in the past.
While still a mixed bag, there are
some impressive wines emerging at the
quality and volume ends of the market.
Like Ribatejo, there are international
grape varieties planted here.
Vineyards:
Casa Santos Lima
Adega Cooperativa de S. Mamede da
Ventosa, CRL
Adega Cooperativa do Cadaval, CRL
DFJ Vinhos
Ripening grapes
portugal 139
it is translated, notarised and put gift or as a bequest – is liable to pay the

through the Portuguese probate process tax (unlike in the UK where the estate
– all of which means time and money. pays the tax, unless specified otherwise
You should draw up a Portuguese in the will).
will for your Portuguese assets, but be Finally, even though you may have
careful – it can inadvertently revoke lived in Portugal for many years you are
your UK will, leaving your UK assets likely to have remained UK domiciled,
intestate. It is important you choose so on death, your worldwide estate
lawyers who understand the legal remains subject to UK inheritance tax.
interaction between the UK and Therefore, certain assets may be subject
Portugal. to estate taxes in both the UK and
Portugal. The UK will give unilateral
Who pays the tax when you die? relief against these assets so there is no
Inheritance tax – which, rather double taxation.
confusingly, is called Stamp Duty in
Portugal – is a tax on lifetime gifts and Unmarried couples
assets passing on death and it applies If you are not married to your partner
only to assets located in Portugal. when you die, Portuguese Stamp Duty
Spouses and children are exempt and is 10% on Portuguese assets inherited
the rate for everyone else is just 10% or gifted between you. This will also
(far lower than the UK maximum affect assets passing between step-
of 40%). parents and step-children.
The person who receives an asset However, after two years of living
from the estate – whether as a lifetime together, a couple (whether opposite or
Contact Blevins Franks in Portugal

We help clients throughout Portugal Cascais
and can be contacted at Rua Armando Villar, 42
[email protected] r/r esq 2750 – 777
or at the offices listed. Tel: +351 214 819 999
Loule
Edificio Ansifi EN125
Sitio das Pareiras 8100 – 316
Tel: +351 289 350 150
Cascais
case study: Relocating to Portugal
Ian Yarwood, in his fifties, worked me, the area near Sintra, north west of
for an oil company in the Middle Lisbon, is a little paradise.
East for ten years before moving
Is there a big expatriate community?
near Lisbon in Portugal.
I’ve met a lot of people who lived here
Why Portugal? years ago then left, and now they have
I first lived here in 1988 when I come back again. That’s how good it
moved here with Castrol to set up is here. There are quite a few Britons
operations. I also set up a boating here and enough social clubs to keep
business, but then decided to go back you busy all the time. I’m on the
into the corporate world and lived committee of the Royal British Club,
in various countries in the Middle which has lots of black tie events.
East for a decade before living and There’s the Dutch Society, Germany
working in the US for five years. I’m Society, the Women’s Royal Voluntary
now taking what my son calls a ‘senior Service, International Women of
gap year’, doing up our Portuguese Portugal and lots of sporting clubs.
property, which we bought years ago, Unlike in the Middle East – or even on
before I get back into work, probably the Algarve – expatriates in this area
consulting in the Middle East. For are dotted all over rather than living
Top: Sintra
portugal 141
in expatriate communities. It makes lived there for so long. These were all
a big difference socially if you speak benefits of living in Portugal.
Portuguese, but you don’t need to as
people speak good English. Are you entitled to a UK state
pension and Portuguese state
What are the major elements to healthcare?
consider when making a move from I didn’t pay National Insurance
the Middle East to Europe? contributions while in the Middle
Lifestyle is the key thing. If you are East, so I wouldn’t be entitled to a full
used to living abroad and travelled UK state pension. But I know a lot of
often, as I did, it can be difficult to put British people out there who did, in
roots down in one place. Weather is case they wanted to go back. I was told
an important consideration as you get that once I’d been away for seven years,
older. So is the cost of living, safety and I probably wouldn’t go back to the
accessibility – my children live in the UK for 20 or 30 years and that seems
UK, so it’s important for us to be close to hold true for most people I know.
by so they can fly out here easily and Some people on expatriate deals in the
we can fly back. Portugal is also a very Middle East will have their national
child-friendly place, so it’s wonderful insurance contributions paid for them,
when our baby granddaughter visits. but your employer might feel, as they
The financial benefits are a bonus, did with me, that it’s not worth it if
but they aren’t what I would base my you are going to be abroad for a long
decision on. time. I have a private health insurance
which costs €2,500 a year for me,
What are the financial benefits to my wife and our youngest son. Most
living in Portugal? expatriates take out a private policy, but
I’ve applied for the Non Habitual they can also access free healthcare too.
Residents scheme, which is another
big positive. It means that when my Any fears for when Britain leaves
pension comes through at 60, it will the EU?
be tax-free for ten years and if I do No, I’m not fazed at all by Brexit.
consultancy work overseas, that will be Portugal’s economy is still not that
tax-free too. I’ve been learning about strong and it relies on tourism and
domicile and principally inheritance its foreign expatriates. There are a
tax (IHT). I wouldn’t want to take a lot of Britons here and a lot of
job in the UK again, knowing what I Portuguese in Britain. I can’t see the
now do about IHT. I also recently sold Portuguese government doing anything
my property in the UK and managed to jeopardise the situation for all
to avoid capital gains tax as I hadn’t those people.
same sex) can be treated as a married

couple for tax purposes. This allows
you to ‘pool’ income and utilise both
partners’ lower rate tax bands.
Tax on trusts
It is common in the UK to use trusts as
part of your estate planning. Previously,
Portugal had a favourable tax regime
for trusts, when it was possible to enjoy
distributions from them free of tax
while living in Portugal. You must apply for a registration certificate from your
This all changed in January 2015, local Town Hall
when distributions from trusts became
taxable, at a rate of 28% on Portuguese the latter.
resident beneficiaries, or 35% if the However, the average cost of food
trust was resident in a ‘blacklisted’ and drink in Portugal is significantly
jurisdiction, like Jersey, Guernsey or the lower than other western European
Isle of Man. countries. Fresh fruit and vegetables,
especially if bought at local markets,
Cost of living are remarkably good value. So is
seafood, testament to Portugal’s near
Portugal has traditionally been seen 1,800km coastline and its vibrant and
as enjoying a low cost of living – a productive fishing industry.
compelling reason for retiring there. Other goods and services are much
But low prices do not apply across the more expensive than you might expect.
board, and the reality is that – apart The cost of imported consumer goods
from in certain key sectors – Portugal and domestic fuel is high, as are
is not a particularly cheap country to international and regional telephone
live in any more. calls, new and second-hand cars and
In common with most other the cost of prescription medicines.
countries on the European continent, Rents, however, are remarkably low,
the cost of living is much higher in the and this single factor helps to underpin
cities than in rural towns and villages. the notion that the cost of living across
The disparity between Lisbon and a the country is relatively low.
rural community in the Alentejo is In general terms, the cost of living
confirmation of this, with the cost of in Portugal – not taking into account
basic commodities and utilities in the rent – is 32% lower than the UK, and
former likely to be as least twice that in Rent is 51% lower than in the UK.
portugal 143
Moving there
Permanent residence is available to sufficient funds to support yourself in
EU nationals and nationals from retirement.
countries where Portuguese is the Expatriates should note that there
official language who have lived legally is a legal requirement in Portugal for
in Portugal for five years. Permanent people to be able to show some form of
residence permits should be renewed identification if requested by the police
every five years or whenever the or judicial authorities. A Portuguese
person’s personal information changes. national would be expected to show
To obtain a registration certificate, his identity card. For UK nationals
you will be required to show your a passport will suffice, but a driver’s
British passport and make a sworn licence or credit card would not be
declaration to fulfil the conditions considered sufficient.
of residence – namely that you have
united kingdom 145
united kingdom
Overview
If you have been an expatriate
and last lived in the UK over
a decade ago, you will see
some dramatic changes. Those
returning to London will be
dumbstruck by its property
prices and by the still rapidly
changing skyline, particularly on
the riverfront. Areas that were
written off twenty or even ten
years ago are now sought after.
London street scene
Britain’s transport infrastructure has atheist. Of those who associate with a

changed significantly. Prices are high, religion, only 18% actively practise it.
the trains still can’t cope with the The UK – and London, in
wrong kind of leaves on the line – but particular, where one-third of residents
there are now far more ways (in theory) are foreign-born – has one of the
to move speedily around Britain’s cities most internationally, ethnically and
and through its countryside than ever culturally diverse populations on earth.
before. Some things, of course, remain If you are returning to all of this, there
reassuringly the same: the royal family will be more that is instantly familiar
and the familiar icons of Westminster, than alien, but there are a few key areas
the currency and the climate. Besides to consider.
the weather, the topics that Britons
are most concerned about, according Property prices
to polls, are Brexit, terrorism, The Brexit referendum vote has seen
immigration, the cost of housing and a softening in prices, but London
the state of the NHS. remains one of the most expensive
Most people are working harder cities in the world for property. For
than ever and striving to find the those who haven’t house-hunted in
fabled work/life balance. the capital recently, the relative quality
What about religion? A third of and space you get for your money can
population say they are Church of come as a shock.
England, 10% Catholic, 3% Muslim, Vast differences exist across the
2% Hindu, 1% Jewish and 21% country, however – the north-south
united kingdom 147
divide in house prices is bigger than Population growth

ever – and you don’t even need to London operates at full speed all the
move far out of London to see property time. It is a hectic city full of people
prices fall dramatically (though areas who live life at a faster pace to the
with transport links into London rest of the country – which leads
of under 45 minutes have also risen them to need to escape regularly – or,
in value at a not-so-quick, but still ultimately permanently – to slow
alarming rate). down. London’s population stands at
over 8.5 million and is predicted to
Transport rise to 13 million by 2050. Add to that
From new high-speed train links to about 31 million tourists each year,
smart motorways that manage traffic mostly concentrated in a few square
flow, major transport upgrades are miles of the centre. Is that where you
changing how and where we live. want to retire? That said, London is a
As London’s house prices force city of villages – and it’s easy to have
people to look further afield, the a semi-rural feeling while only a few
improvement of regional transport miles away from Big Ben.
links is making other areas of the The UK as a whole is seeing
country far more desirable. They are population growth, with 65 million
often still within easy reach of London, people currently and most likely a
if required, but offer a more affordable further ten million in the next 25
and, some may argue, better quality of years. Fly over Britain and you will
life. It also means that rural or coastal see vast rural swathes that are sparsely
towns that were once cut off are far populated – which means that certain
more accessible and attractive as places places are taking more than their
to retire. fair share, notably London, Greater
Manchester, West Midlands, West
Yorkshire and Greater Glasgow, to
name the top five most populated
urban areas in Britain.
The most densely populated city
is Portsmouth – just above London.
Leicester is third, followed by Glasgow
and Bristol.
What does this mean for you? Be
prepared for just how busy life can feel
in London in particular. Driving may
be a challenge for those who may have
been last on the roads there 25 years
High speed train
ago. The fight for parking spaces and – may be important. If you have old
Tube seats can create a pressure cooker networks of friends dotted around
feel at times. The flipside is that the the country, good train links and
social and cultural life is unrivalled, proximity to motorways might be part
there is an energy, buzz and always of the equation.
something to do. These are all things to The choices broadly boil down to
consider if you are wondering whether whether you want country, coast or
London – or any big city – is the best city – and if city, London or elsewhere?
option in retirement.
The English countryside
Lifestyle The quintessential English idyll exists
in many areas: the wisteria-clad cottage
You may have ties to the UK through in a historic village, with a pub and
property or family, so the decision as church overlooking the green and duck
to where you will move to is possibly pond, and the thwack of willow on
already made. But if you are returning leather on a warm summer’s afternoon.
to a relatively blank canvas – clearly You can find it all over the Surrey Hills
your budget, needs and tastes will all and the Cotswolds, dotted around
make their marks on it – you may Devon, Cornwall and Dorset, hidden
approach the decision of where to live in the Kent countryside and the
completely differently to when you Yorkshire Dales.
were last here. Among the country villages
Work – or at least the need to be regularly voted the most beautiful in
near a particular workplace – will no Britain are Castle Combe in Wiltshire,
longer be the driving factor. But being Hawkshead in the Lake District,
near an airport – if you have family Blanchland in Northumberland, Lower
dispersed around the world, or you Slaughter, the archetypal Cotswolds
want to travel frequently in retirement chocolate box village, and Shaftesbury
in Dorset, whose cobbled Gold Hill
is said to be one of the most romantic
views in England, immortalised in the
Hovis advert of the 1970s.
Questions to consider with the
English idyll: do you want bucolic
beauty (but endless tourists and film
crews)? Will you tire of being in a
small village without a wide choice of
restaurants or leisure offerings? How
do you feel about a place that may
Gold Hill, Shaftesbury, Dorset
united kingdom 149
Thames skyline
be dominated by holiday homes that wealthy Londoners enjoy the peace

are empty for much of the year? If and anonymity of the surrounding
country life calls, are you drawn to countryside, with bohemian Frome
the history, romance – and ongoing on the doorstep. Oxfordshire villages
maintenance – of an old property? Or such as Chipping Norton, where Soho
might a purpose-built development of House recently opened its country
new-build properties suit better? Some outpost Soho Farmhouse, hold similar
capture the beauty and tradition of a appeal – a zip along the M4 from
village, even down to the village green West London, but blissfully pretty
and duck pond, but with the benefits and peaceful. Further north, similar
of all-new interiors and no previous refinement – and wealth – can be
owners. found around Harrogate and York.
When looking for appealing
alternatives to the capital, the ‘Down City life
from London’ crowd have paved the Central London is going through one
way for the most desirable. These of its biggest periods of change in
are the places where they buy their decades, its skyline now dominated
weekend homes – before realising the by the 95-storey Shard and many new
weekends are increasingly morphing residential towers whose penthouses
into Wednesday and it’s time to make a are among the highest-priced property
permanent move. in the city. From Putney to Greenwich,
Somerset is the prime catchment, there are now more opportunities
including Bruton, a small town than ever for riverfront living along
with a high profile thanks to the this central stretch of the Thames. It is
Hauser & Wirth art gallery that hard to beat London-living with a river
opened there recently. Celebrities and view, though it’s never cheap.
Country walks to remind you of the

UK’s beauty, away from the crowds
Don’t try to choose; they are each as
beautiful as the other in their own way
(www.cornwalltouristboard.co.uk).
The Rumbling Kern

This is one of the best walks in England
– from the Rumbling Kern at Howick
to Dunstanburgh Castle. For a longer
Land’s End
walk, follow the coast from Alnmouth,
passing Seaton Point, Boulmer, the
Land’s End and the Lizard
Rumbling Kern and Craster before the
Britain’s most westerly and southerly stunning walk up to the castle. Park
points, Land’s End and the Lizard, at Howick to explore the great rock
battle it out for the tourist’s attention. formations of the Kern, and walk from
While Land’s End is now home to a there. If you want a much shorter,
tacky theme park, it is only a small simpler walk, start from Craster.
blemish on the beauty of what is
Cornwall at its rugged best. If you Coleridge Way
want a photograph with the guy next
Opened in 2005, this 36-mile footpath
to the Land’s End signpost – fine – but
stretches through Somerset’s glorious
please walk the three miles of cliffs to
countryside, from Porlock in the
Porthcurno. You’ll be spellbound by
west, via Exmoor, the Brendon and
the scale of it all, and the power of the
Quantock Hills to Coleridge’s old
waves below.
stamping ground of Nether Stowey
Lizard Point is a very different,
(check out the route-planner at
perhaps less impressive beast to behold
www.quantockonline.co.uk).
(best to get some inner warmth first,
from a steamy tea or coffee from the
tiny café), but the forces of nature
are more subtle here. The lighthouse,
now a youth hostel, tried its best over
the centuries, but the footpath from
Rosenithon leads to the Manacles – a
rocky ‘graveyard of ships’ – with little
bays, full of quicksand.
Exmoor, Somerset
united kingdom 151
The South Downs Way

Running over 100 miles of rolling
chalk downland from Winchester
in Hampshire to Eastbourne in East
Sussex, the South Downs Way is a
National Trail, open to walkers, cyclists
and horse riders. Although it never
Ben Nevis
rises higher than 700 feet, the horizons
stretch 40 miles over land and sea. of Fort William. But if you’re lucky,
on a clear day you can see everything
Kinder Scout from the Cairngorms to Ben Lawers
in Perthshire, Ben Lomond down
Kinder Scout is midway between south, the peaks of Jura, Skye, Mull
Manchester and Sheffield. These and much, much more (www.visit-
open moorlands had until 1932 fortwilliam.co.uk).
been the grouse-shooters’ private
domain, but Kinder was opened to the The Tarka Trail
public in 1953, and enshrined in the
Henry Williamson used his experiences
Countryside and Rights of Way Act
of caring for an abandoned otter cub in
of 2000.
his classic novel, Tarka the Otter. The
At 1,970 feet above sea level, there
name ‘Tarka’ has since been adopted
are stunning views. The National Trust
for a railway line (running between
is trying to maintain their beauty with
Exeter and Barnstaple and following
the planting of over 150,000 cotton
the Taw river) and a walking and
grass plants and the re-seed of bare
cycling route – as well as dozens of tea
peat with heather. The National Trust’s
shops in the region.
website (www.nationaltrust.org.uk) has
Unspoilt countryside can be seen
a downloadable walk sheet and map.
throughout the impressive 180-mile
Tarka Trail. Take a train to Eggesford
Ben Nevis
to join the route, which loops in a
Ben Nevis can be inhospitable – gale- figure of eight from Barnstaple south
force winds, rain and snow. Visibility to the rural heartland of the county,
is often so poor that you’re lucky to north to the cliffs and beaches of
see more than a few metres in front the north Devon coast and east
of your nose at the 4,409-feet summit into Exmoor. For 32 miles between
plateau. Most visitors go up the ‘tourist Braunton and Meeth, it follows a
route’ – an unremittingly long slog disused railway line – flat and free of
from Glen Nevis, behind the town traffic – perfect for cycling.
London is a city of villages, though,

and anywhere within a few miles – and
a 45-minute or so commute – of the
centre has become expensive. But such
areas can offer the best of both worlds.
They are ‘villages’ that have charm,
character, green spaces and genuine
sense of community, within easy reach
of all the entertainment, shops and
culture you could want in central
London.
They exist all over the city, both
sides of the river, from Highgate and
Bath
Hampstead in the north to Dulwich
and Blackheath in the south; from Oxford has Summertown, Edinburgh’s
Chiswick and Richmond in the west to equivalent is Stockbridge, Cardiff’s is
Victoria Park and Dalston in the east. Llandaff, in Newcastle there’s Jesmond
High house prices mean new villages and Exeter’s village is St Leonards.
are always emerging around them too, They often benefit from proximity
benefitting from the uplift brought to beautiful countryside too. South
about by their more glamorous London is close to the Weald of Kent
neighbour. and Surrey Hills; Sheffield’s affluent
Such city villages aren’t the preserve Ranmoor sits on the doorstep of the
of London. For that sense of village Peak District; wealthy Harrogate has
life within the city, Bristol has Clifton the Yorkshire Dales at hand; genteel
Village, with views over the Suspension Bath sits at the foot of the Cotswolds.
Bridge, Cambridge has Newnham, Not all cities have the hectic feel of
London. Bristol sees high numbers of
relocating Londoners in search of its
more relaxed, bohemian lifestyle. It’s
walkable, family-friendly and creative,
there are many parks and green
spaces, and it’s well placed for getting
to London, the Cotswolds, Wales or
south to Devon and Cornwall. Oxford
and Cambridge similarly draw those
who want city life without London
– but their house prices reflect their
prestige to the well-off.
Camden houses, London
united kingdom 153
Language and Christchurch in Dorset, King’s Lynn

immersion in Norfolk, Poole in Dorset, Wealden
in East Sussex, South Lakeland in
You may be amazed to learn that Cumbria and the East Devon towns
more than 300 languages are spoken of Budleigh Salterton, Exmouth and
in London. English is no longer Sidmouth.
the first language in many schools Look carefully, too, at the year-
in Birmingham, Sheffield, Bolton, round community in towns. Most
Bradford, Oldham and Rochdale. British coastal towns become deathly
In 2014, the UK population was quiet in winter and, unlike in Spain or
13% foreign-born and Polish people Portugal, you can’t rely on having blue
account for 15% of overseas citizens skies and warm sun to see you through.
living in the UK, so don’t be surprised An exception (though not necessarily
by the plethora of Polish delicatessens, climate-wise) is Brighton, which sees
bakeries and supermarkets on high many relocating Londoners looking for
streets. city-style buzz with a beach.
Something to consider when Rural communities – which may
returning to the UK is how to have little or no public transport
reintegrate after years abroad. At other services – may also have the feel
stages of life, you can rely on the links of hibernation in winter, plus the
forged through work or school, but in possibility of being completely cut
retirement it is a different matter. The off if it snows. It is also a common
British are also well-known for their phenomenon of small village life that
reserve, so you may need to actively everyone knows your business. In
develop new friendships and social return, you get beautiful houses, space,
networks, through local clubs, be they tranquillity and views.
sporting, leisure or cultural.
It’s one thing to feel you are around
like-minded people and quite another
to feel you have just joined the queue
in one of God’s Waiting Rooms on
the south coast. Attractive as it is,
with an elegant seafront and historic
pier, Eastbourne is the first town in
the country to have a population with
an average age over 70 (the national
average is 39.7).
Other areas in which the majority
of residents are over 65 include
Brighton and Hove beach huts
Beside the seaside
Fowey, Cornwall
The coast is never too far away in west equivalents. Exceptions are Deal,
Britain – and a sea view still represents near Dover, popular with Londoners
the notion of ultimate luxury for who leave in search of the quiet life,
many Britons; the thing they long for and Rye in East Sussex, with the
most when it’s time to take life a bit golden miles of Camber Sands nearby.
easier. The Essex coast remains largely Boat-lovers head to well-heeled
overlooked, despite its proximity to Lymington, on the edge of the New
London, but there is good value to be Forest, or Chichester, which offers
found and some attractive towns such history, harbours and the wilderness
as Burnham-on-Crouch, or Leigh-on- of the South Downs and easy-to-reach
Sea, which ranked highly in a survey of beaches.
the best places to live in Britain. The Sandbanks peninsula
The Kent coast also offers value for overlooking Poole Harbour is a
money. Many of its beaches are shingle multi-millionaires’ enclave, with
rather than sand, and its towns – some of the highest property prices
though slowly regenerating – lack the in the world. Salcombe, set on the
picture-postcard beauty of their south Kingsbridge estuary in Devon’s South
united kingdom 155
Woolacombe Tenby
Hams, is similarly sought-after by is similarly popular, where wooden

wealthy holiday home buyers. And, beach huts sell for a fortune.
although the region itself is among the The North Norfolk coast has
poorest in Britain, Cornish villages grown in desirability – again, among
such as Rock (dubbed Kensington-on- wealthy Londoners – in recent years,
Sea) and Fowey have high property in particular its seaside villages such as
prices – largely because of their appeal Wells-next-the-Sea, Sheringham and
as holiday homes to wealthy west Blakeney, where seals laze around the
Londoners. estuary. Other gems dotted around the
North Devon has remained British coastline include Tenby on the
less expensive due to its relative beautiful Pembrokeshire coast in West
inaccessibility, yet it’s hard to Wales, Bamburgh in Northumberland
find a more glorious setting than and Whitby in North Yorkshire.
Woolacombe, a small, unassuming
town but with a beach voted the best
in Britain. Nearby Croyde has been
the best-performing coastal market in
recent years, seeing 4.1% growth
in 2015.
Out of season, however, such places
are deserted. Broadly, the further north
you travel, the more you will get for
your money – though there are always
prized pockets that defy the regional
average. They include Aldeburgh in
Suffolk, a firm favourite of sailors, and
music lovers who attend the annual
Aldeburgh Festival. Nearby Southwold
Whitby
It also benefits parts of Berkshire,

Buckinghamshire and Essex and has
already lead to soaring house prices
in areas within reach of a Crossrail
station.
Crossrail 2, to run from Surrey to
Hertfordshire, is also on the cards,
though far from certain, partly due to
controversy over its proposed route
through historic buildings in London’s
Paddington station
Soho.
Accessibility Fast Javelin trains, which travel at
140mph from London St Pancras to
New transport links, upgrades and Ashford have brought areas of Kent,
costly new infrastructure projects have including Canterbury, Margate, Dover
made it far easier and faster to travel and the Medway towns within far
around Britain, helping to reduce the quicker travelling distance of London
reliance on London as the epicentre (though with far higher fares than the
– from a lifestyle perspective, at least, slower routes). The high-speed trains
if not economically. Entirely new travel on the same route as the Eurostar
means of transport have cropped up from St Pancras to Paris.
since you last lived in the UK – new The electrification of the Great
urban metro, tram and train routes, Western – to be completed by mid-
public bike-sharing schemes, even 2019 – will bring similar benefits to
rickshaws. Travelling by river is one of the west country and south Wales,
the more pleasurable ways to commute speeding up travel time to London
in London with Thames Clippers,
and Uber has made catching taxis
far easier and cheaper in many cities,
including London, Birmingham,
Manchester, Bristol and Cardiff.
Crossrail, the country’s biggest
transport development – and one of
Europe’s biggest infrastructure projects
– is a new 118-mile train line that
saw its first trains run through central
London on the Elizabeth Line in 2017.
It significantly speeds up journey times
in the capital and to Heathrow airport.
Stansted airport
united kingdom 157
Paddington from Cardiff, Bristol, Bath,

Oxford and Reading.
There is also HS2, the planned high-
speed railway that will link London
with Birmingham, the East Midlands,
Leeds, Sheffield and Manchester. The
project is the subject of huge debate,
however, with some suggesting that
the proposed HS3 rail line between
northern cities should take priority
over the HS2 link from London, to
Eastbourne pier
focus on boosting the north.
New bypasses have also turned There are 40 regional airports in
previously busy towns into desirable total, dealing with 55,000 (Land’s End)
locations. The Surrey village of to 75 million (Heathrow) passengers
Hindhead has seen its appeal – and a year. The five busiest outside
property prices – increase since a London are Manchester, Edinburgh,
bypass was built beneath the local Birmingham, Glasgow and Bristol. If
beauty spot, The Devil’s Punchbowl. It you are heading to Cornwall for the
was a similar story in the small, historic weekend from London and can’t face
market town of Coggleshall in Essex, several hours in a car or train, you can
a former ‘village of the year’ winner take the one-hour flight to Newquay
and home to 300 listed buildings, and from Gatwick or Stansted.
antique shops (the filming location for Debate still rages over the possible
the BBC’s ‘Lovejoy’ TV series). expansion of Heathrow or Gatwick
The skies over the UK have also airports, but the growth of City
changed in the last two decades, Airport – which was recently given
with low-cost airlines opening up the green light for further expansion
new regional hubs, including Leeds- – has proved a success. Located just
Bradford airport, served by Jet2, and a few miles from Canary Wharf and
Southend, a new Easyjet base. The the City, it’s London’s most accessible
emergence of smaller regional airports airport by far and has lead to a growth
– which were once little more than in cross-continental commuters. It
sheds – has brought a new dynamic to also makes it feasible to hop to Geneva
the regions and makes it far easier and for a weekend’s skiing in the Swiss or
cheaper to take domestic flights within French Alps.
the UK and to travel to holiday France has also become easier to get
homes abroad without needing to go to thanks to the EuroTunnel. Now you
near London. can live in Kent and pop to Le Touquet
for lunch by taking your car on the for the next month, it goes some way
train that hurtles through the tunnel to explaining why the British go quite
from Folkestone to Calais. It usually so mad in making the most of a hot
works like clockwork and is as cheap as spell, abandoning work to pack out
frites out of peak times. pavement tables of pubs and turning
a shade of lobster in their one and
Climate only chance in months to lessen their
vitamin D deficiency.
What can you say about the British If you want to maximise the chance
weather? Much, clearly, as its of seeing warm, dry-ish summers and
predictable unpredictability continues limit the chance of freezing winters,
to make it the leading topic of then generally the further south you
discussion among British people. It’s are, the better.
the perennial ice breaker, the over-the- There is a reason the elderly migrate
fence conversation among neighbours. to the south coast towns of Eastbourne
It’s the way to start almost every and Bognor Regis, as they hold the
interaction. record as the sunniest places in the
What drives the British mad is the country, protected by wind and rain
inability to plan anything with any by the South Downs and the Isle
certainty. Summer parties must always of Wight.
come with a plan B – and a marquee. The wettest parts of Britain are
Opportunities to go camping or enjoy the most mountainous regions –
barbecues or picnics must be seized at a Snowdonia, the Lake District and
moment’s notice. the Scottish Highlands – which see
With it permanently in mind that more than four metres of rainfall a
this may be the only hot, sunny day year. Dartmoor, Exmoor and Bodmin
Moor, all elevated areas of south west
England, are also particularly rainy.
Flooding has been a serious issue for
parts of the country in recent years –
and before you buy or rent a property
in Britain, find out whether it is sitting
on a flood plain (the Environment
Agency website can tell you the flood
risk of a given address or area). Homes
in Cornwall, Cumbria and North
Yorkshire were hard hit in January
2016 and around 208,000 homes in
Wales are at risk of flooding from the
Tewkesbury flooding
united kingdom 159
Cambridge: punting on the Cam
sea or rivers, according to Floodlist. June 2016. More affluent buyers have
The pretty Gloucestershire town of also been deterred by new stamp
Tewkesbury has also been inundated duty rates, which mean higher rates
twice in recent years. for properties worth upwards of £1
million. An additional 3% stamp duty
Property surcharge on buy-to-let properties and
second homes has led to fewer buyers,
The UK, like most countries, is made fewer properties on the market, and
up of hundreds, possibly thousands, falling sales prices.
of micro-markets, with huge disparity Other cities have shown themselves
in property values between north and
south, areas of great wealth sitting
alongside areas of relative deprivation.
London has left the rest of the
country behind with house price
growth, with 17.6% growth in the year
to June 2016. Some London boroughs
have seen property prices grow 30
times faster than wages in five years.
The upward trend has been
dampened by the Brexit vote, which
saw house prices dip in London since
Houses in Dartmouth, Devon
Average property prices in the UK 2006 – 2016
150
140%
120%
120
100%
90
80%
60%
60
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
30
British property prices have climbed but Brexit may prove a dampener.
2010 = 100. Source: Eurotat
0
Bristol harbour
united kingdom 161
to be strong, including Bristol (which

saw nearly 15% house price growth
in the year leading up to June 2016),
Cambridge, Oxford, Winchester and
Bath.
Would-be property buyers and
vendors are adopting a wait-and-see
attitude towards Brexit negotiations
and how they affect the UK economy
and housing market.
Average house prices in the north
of England are still nearly half of that
in the south. Cumbria and the north
Padstow harbour
east are the cheapest, and in parts of
west London the average price per Bristol is a good example. Residential
square metre is nearly six times the areas such as upmarket Clifton and
national average. family-friendly Redland continue to
thrive, but its transformed waterfront
Coastal homes – with apartments and restaurants in
A survey of British seaside towns converted riverfront warehouses – has
showed seven of the top ten to be made the city centre a newly attractive
in Devon or Cornwall, including place to live. Leeds, Liverpool,
Salcombe, Padstow, Fowey and Manchester and Newcastle have all
Dartmouth. Sandbanks in Dorset was similarly overhauled their waterfronts.
the most expensive. Lymington in London is also opening up new
Hampshire also makes an appearance. areas of waterfront, mostly east of the
The ten least expensive seaside City, such as Barking, whose plans
towns in Britain are all – bar one – in for riverside redevelopment are being
Scotland. The exception is Newbiggin- described as ‘Barcelona-on-Thames’.
by-the-Sea in Northumberland, where In London, properties come at a
the average house price is about a premium price (typically at least 20-
seventh of the average cost 30%) if they are within a ten-minute
in Sandbanks. walk of a Tube or train station, have
a park or river view or are within the
City living catchment of an outstanding school.
The rise in popularity of city centre That applies to both rental and sales
living has been a phenomenon in prices. If none of those elements is of
recent years – but that will almost particular importance to you, then
certainly mean living in an apartment. avoid paying the premium.
People will also pay a high price

for ‘connectivity’, according to Savills
estate agency, which found that the
price of a four-bedroom house falls by
more than half between zone 2 or 3
in London and home counties towns
such as Sevenoaks, Beaconsfield or
Guildford, within a 30-minute train
ride of a London station.
Water views also come at a high
price – 71% more than an equivalent
property a mile inland, according to
Knight Frank, in relation to prime
coastal properties in sought-after
Devon scones
areas of Devon, Dorset and Cornwall
such as Rock, Salcombe, Padstow and in Buckinghamshire, Three Rivers
Falmouth. in Hertfordshire and Cherwell in
Another factor that influences UK Oxfordshire are all predicted to be
house prices is what’s known as ‘the hotspots that will see house prices
Waitrose effect’. Proximity to the increase, according to Savills, as people
supermarket much loved by the middle move away from London in search of
class can add a 50% premium to your attractive, lively nearby towns.
property’s value, according to Savills. Outside the south east, Bath
Similarly, if Waitrose announce they and Chippenham will benefit most
are opening a new branch in a given from the faster train line to London,
area, it is a sure sign that the area is on according to Savills.
the up.
As house prices rise in London and Stamp duty
other major cities – recent reports If you have been out of the UK
show that Manchester, Leeds and property market for a while, you will
Birmingham are similarly becoming not only be surprised by the cost, but
too expensive for first-time buyers – also by the amount of stamp duty
areas surrounding the city are naturally payable on purchase.
becoming in greater demand and more You must pay Stamp Duty Land
desirable. Tax (SDLT) if you buy a property or
The Hampshire towns of land over a certain price in England,
Winchester, Basingstoke (the first Wales and Northern Ireland (in
stop on Crossrail), plus towns such as Scotland, you pay Land and Buildings
Horsham in West Sussex, Wycombe Transaction Tax).
united kingdom 163
You pay the tax when you: in the UK, then you would have to
Buy a freehold property. pay a further 3% on top of the normal
Buy a new or existing leasehold. SDLT rates on purchasing the second
Buy a property through a shared- property.
ownership scheme. You will not have to pay the extra
Are transferred land or property in 3% if the property you are buying
exchange for payment, e.g. you is replacing your main residence. If
take on a mortgage or buy a share in there is a delay in selling your main
a house. residence and it remains unsold on
the day you complete a new purchase,
The current SDLT thresholds are: you will have to pay the extra 3%
because you own two properties at that
Property or lease premium SDLT point (though you will be able to get
or transfer value rate a refund subsequently if you sell your
previous home within 36 months).
Up to £125,000 Zero
The next £125,000 (the 2% Using companies
portion from £125,001 to Companies were commonly used by
£250,000) non-resident and/or non-domiciled
individuals as a means of owning UK
The next £675,000 (the 5%
real estate and avoiding SDLT, UK
portion from £250,001 to
capital gains tax and UK inheritance
£925,000)
tax. As part of an overall clampdown,
The next £575,000 (the 10% a 15% SDLT rate was introduced on
portion from £925,001 to property purchased for more than
£1.5 million) £500,000 by a company.
The remaining amount (the 12%
portion above £1.5 million)
Higher rates for additional

properties
In April 2016, in an attempt to
encourage people to buy property to
occupy rather than rent out, a new
level of stamp duty was introduced.
From this date, if in buying a new
residential property, it meant you
would own more than one property
Terraced houses London
The ‘golden visa’ scheme

For those seeking British citizenship,
the UK’s residency scheme – launched
in November 2014 – offers residency,
then citizenship, for those who invest
at least £2m in the British economy.
In return, you will get a Tier 1
investor visa, which means you can
reside temporarily in the UK. After
two years, applicants can invest a
further £10 million in order to settle
permanently – or £5 million after
three years.
You can then apply for British
citizenship after five or six years of
living in the UK, which will also apply
to your spouse and to children aged
under 18.
The investment must be in a
qualifying scheme, including UK
government bonds, share capital or
loan capital in active and trading
UK-registered companies. Property
investment does not qualify.
Contact Blevins Franks in the UK

We help clients throughout the UK
and can be contacted at
[email protected]
or at the office below.
London
28 St James’s Square
SW1Y 4JH
Tel: +44 (0)20 7389 5220
united kingdom 165
Additional measures include an

annual tax based on the market value
Finance
of the property, and from April 2015, By carrying out tax and wealth
the imposition of UK capital gains planning before moving back to the
tax on the disposal of UK property UK, British expatriates can often
by a non-resident (commonly, no benefit from tax advantages that would
capital gains tax is payable if you sell a not ordinarily be achievable by UK
property in the UK you have occupied residents. If you are retiring to the UK
as your main home, which you owned from the Middle or Far East, in most
personally). cases it is going to be more beneficial
to rearrange your tax and financial
Healthcare affairs prior to taking up UK tax
residence.
The NHS operates a residence-based You are considered a UK resident
system, which means that your if you spend a minimum of 183 days
entitlement to free NHS treatment a year in the country. The UK has
depends on being ordinarily resident introduced a Statutory Residence
in the UK, not on nationality, Test, which depending upon your
paying taxes, NI contributions, being ‘connections’ to the UK, can mean you
registered with a GP or owning a are regarded as tax resident with far
property. fewer days than 183. This is a series of
If you are a UK or EEA citizen, detailed tests, and it is best you take
NHS care will be free, but you will be professional tax advice on your plans,
expected to pay for prescriptions and to establish if you will become UK tax
dental charges. resident.
It is helpful if you bring a copy of A UK resident has a tax-free
your current medical records with you personal allowance of £11,500 (in
from abroad. 2016/17) and couples living together
If you are a non-UK or non-EEA are individually entitled. Taxable
citizen, you should be charged for income includes earnings, pension,
hospital services (though the NHS property rental, bank interest, and
is poor at actually carrying this out). dividends. Taxable income is taxed at
If you wish to take out a private progressive rates from 20% to 45%.
insurance policy, AXA International Capital gains tax, paid on the gains
quote £7,220 per person per annum from selling a property, stocks and
for a Comprehensive Cover Policy with shares in the UK or elsewhere is taxed
no excess and inclusive of taxes – based at 18% or 28%.
on a couple who are aged 65 and in There have always been considerable
good health. tax benefits to be had from being a
‘foreigner’ resident in the UK, but be for the first 15 years of UK residence,
warned – loopholes have been closed, only your UK estate will be liable to
and the benefits which remain are UK inheritance tax. From year 16,
under considerable pressure. your worldwide estate will become
UK succession law and inheritance liable.
tax is different from the rest of Europe, The UK has 19 estate tax treaties
and much of the world. If you are with other jurisdictions, but cross-
UK domiciled then your worldwide border estates remain complicated, and
estate will be liable to UK inheritance it is best to take professional advice
tax, regardless of whether you are UK in respect of the assets you own, and
resident or not. the interaction of the UK with other
There is an exempt amount of jurisdictions’ succession laws and
£325,000 per estate, as well as no estate taxes.
liability whatsoever on any assets
passed to a spouse. If the exempt
amount is unused on the death of a
Cost of living
first spouse, the second spouse has London, no surprise, ranks as the most
£650,000 of exempt estate. expensive place to live in the UK, with
The UK does not have progressive Bath and Aberdeen following in second
scale rates of IHT, just one single 40% and third place, according to the cost
rate. There is no forced heirship in the of living index Numbeo.
UK, just complete freedom to whom London has the priciest public
you might want to choose as your heirs transport in the world and the
(though you will need to declare in third most expensive furnished
your will who, and what assets, you accommodation and utilities in western
would like to inherit your estate). Europe, according to Expatistan,
If you are not UK domiciled, then which calculates London’s cost of living
as 69% more expensive than Madrid,
19% more expensive than Paris, 89%
more expensive than Istanbul, but 8%
cheaper than New York.
Londoners spend two-thirds of their
income on rent, up from half six years
ago. In England as a whole, tenants
pay nearly half their income and
the average mortgage equals 23% of
income after tax.
united kingdom 167
Moving there
Anyone with a British passport is free return to the UK; will you need new
to enter the UK and remain for as long insurance policies, such as private
as they wish. If you have a non-British medical or life insurance; how will
spouse, partner or child under 18, they exchange rates and inflation affect your
may qualify for entry as dependants via income or savings.
a settlement visa (currently dependent If you are not a citizen of the EU,
on minimum income or savings). You EEA or Switzerland, you may need a
can find information on www.gov.uk. visa to enter the UK and will need to
Issues to consider are: whether apply for a visa to stay for longer than
you are entitled to benefits when you six months.
malta 169
malta
Overview
Malta offers British expatriates
the appealing combination of
familiarity and escape as a set of
three southern Mediterranean
islands – along with Comino
and Gozo – that were British
colonies for nearly two centuries.
This archipelago has been
independent from British rule
since 1964, but is still within
the British Commonwealth and
there is plenty to make British
people feel at home.
Marsaxlokk market with traditional Luzzu fishing boats
English is the second official language overseas families and retirees to move
and spoken by 90% of the population. to the island, and to neighbouring
There is a sizeable British population Gozo. The favourable fiscal regime
(around 7,000 residents hold a UK and leniency with gambling licences
passport, making British people is also turning this tiny republic into a
the biggest expatriate population in leading hub for gaming and financial
Malta). Signs of the colonial legacy services.
range from the British legal system and Malta’s strategic location in the
driving on the left, to red phone- and heart of the Mediterranean, its
letter-boxes. membership of the EU and stable
Malta is also a melting pot of other environment attract many relocating
international communities, with overseas companies, notably from
60,000 foreign nationals among its Scandinavia and Germany. There are
total population of 450,000. They around 300 gaming companies on the
contribute much to the island’s island, mostly based along a 5km strip
character and economy, but they are between St Julians and Ta’ Xbiex.
also drawn by the distinctly Maltese Foreign residents often live in the
culture that is part Italian and part nearby areas, including Sliema, Gzira,
North African in influence, with its Msida or Swieqi. This influx
nearest foreign land masses Sicily to of overseas professionals has also
the north and Tunisia to the south. turned what has traditionally been a
The relaxed and affordable way of summer destination into more of a
life and sense of safety draw many year-round island.
malta 171
Malta is a small island. At just the ancient walled capital city and
30km by 15km, it takes about 40 UNESCO Heritage Site, sits on a
minutes to drive from one side to the peninsula between two harbours,
other, and you are never more than a Marsamxett and the Grand Harbour,
few kilometres from the sea. Besides Malta’s major port.
its rural expanses and beautiful bays, Valletta overflows with handsome
Malta also has the highest density of palaces and piazzas, many dating from
population in Europe. Birkirkara is its the 1500s, but modern additions
biggest city, with 22,000 inhabitants, have emerged with Valletta being the
and Valletta, the capital, has European Capital of Culture 2018.
6,500 residents. The city is seeing a resurgence in
If you are someone who gets cabin popularity among overseas property
fever if based on a small island for too hunters on the island. Heavily bombed
long, Malta lacks the entertainment in WW2, it saw many of Malta’s
options that life in a city such as wealthiest families move out, but
Barcelona or Lisbon, or a major resort now its handsome, if faded, historic
area such as the Costa del Sol or the buildings are starting to garner interest
Algarve provides. again among buyers who want a
But you can find a home that renovation project.
offers city, coastal or rural life here – Nearby St Julians and Sliema offer
without being a great distance from the buzz and amenities of city life. This
the alternatives. You can also avoid is where Malta’s gaming community
the high premiums for beachfront tend to base themselves, among them
properties by heading a short distance high numbers of Scandinavians and
inland and still be within a short drive a growing population of Italians and
of the sea. Germans who want cafes, bars and
For those who seek the bustle and entertainment on tap.
convenience of city life, Valletta, Expatriates have tended to settle in
the north of Malta – in areas such as
St Paul’s Bay and Mellieha – which is
home to the best beaches. But overseas
buyers have become more scattered
now, with less defined communities of
foreign residents.
Southern Malta has long been
considered the poorer part of the
island, where fishing communities saw
little investment. That is changing,
with British expatriates in particular
St Josephs, Valletta marina
Ten reasons to move to Malta

1 The climate: hot summers, mild 5 Beautiful beaches: from busy St
winters and 300 days of sunshine a year. George’s Bay, lined by bars, restaurants
and shops, to secluded Peter’s Pool.
2 No language barrier: English is
widely spoken. 7 Maltese hospitality: the people
are known for their warm, welcoming
3 Low taxes: Malta has a top rate of character, as displayed in their
income tax of 35%, but UK nationals many festivals.
who live there can engage in simple
tax planning to significantly reduce or 8 It’s a high-tech island: internet
eliminate any tax liability. speeds range from 50MB at its most
sluggish to 300MB (compare that with
4 Laidback lifestyle: one for those Westminster in central London, which
who like island life. struggles to achieve 10MB).
5 Great history: there are three 9 Easy accessibility: Malta is a handy

UNESCO World Heritage Sites, and half-way point between Western
Valletta, the capital, is like a living Europe and the Middle East.
open air museum to its rich and
colourful past. 10 Excellent state healthcare system.
St Peter’s Pool, Malta
malta 173

The Maltese are known for their
warmth and friendliness. They will
always help where they can, they
love children and respect the older
generation. This spirit of family and
community makes for a place where
it is easy to feel welcome and have a
healthy social life.
Typical of southern Mediterranean
society, the Maltese are passionate
about their food, which borrows from
various other countries in Europe
and North Africa to create an eclectic
cuisine. The Maltese aren’t renowned
Gozo for their love of fitness, however. They
rank as one of the most overweight
branching out to more affordable
nations in the world and have among
beachfront locations such as laidback,
the most cars per capita.
traditional Marsascala, which includes
the upmarket development Ta’ Monita.
Smart City, a big new IT hub, with Language and
substantial office and apartment
developments, will also change the
immersion
area’s fortunes. Safe in the knowledge that almost
Neighbouring Gozo, 25 minutes everyone will speak English, few
away by ferry from Malta, also British residents in Malta get
has a growing foreign population beyond the basics of the island’s
(4% of Gozo’s 31,000 residents are national language, Maltese, which
expatriates), particularly retirees one expatriate likens to listening to
who like the slower pace of life and someone speaking Arabic with an
tranquility of this small, rural island Italian accent. It is not the easiest
(just nine miles by five). Gozo is largely language to learn, but nearly half of the
undeveloped and home to ancient vocabulary bears some resemblance to
temples and some of the best dive sites Italian and there are many borrowed
in the Mediterranean. Gozo also has a English words. Many Britons in Malta
rich cultural life, including two thoroughly enjoy an expat-centric
opera houses. existence; you can speak nothing but
English, socialise with other British
ferry from the port of Cirkewwa in

north-west Malta. There are also plans
to build a bridge or a tunnel between
Malta and Gozo, though nothing
definite has been agreed.
If small island life fuels a desire
to escape – for city life, culture,
shopping or a change in scenery –
Malta International Airport, 5km
Cathedral, Mdina
(3m) southwest of Valletta, is the
people, see English language films main hub for Air Malta and a base for
at the cinema and buy English food Ryanair and Easyjet. It sees around 35
items. There are also events organised airlines fly in and out to destinations
by the British Residents’ Association throughout Europe and the Malta-
(britishresidentsinmalta.org), which London Gatwick route is its busiest.
has been running for 40 years with Numerous new routes launched in
events from theatre trips to walking 2017, including Ryanair to Toulouse,
groups. Valencia and Brussels, but note that
But, if you want to participate in many routes are seasonal, including
your local Maltese community, the those of Air Malta’s routes to regional
best way is to get involved in the many UK airports such as Cardiff, Exeter and
‘festas’ and other celebratory events. Bristol.
Alternatively, you can catch the ferry
Accessibility to Sicily, and head overland through
Europe. Malta is in the Schengen area,
Malta is a small island with a whose countries have no passport
considerably upgraded road network, or immigration controls at their
thanks to EU funding, so getting common borders.
around by car is easy and nothing is far
away. There are no trains on Malta, but
the island’s bus system is reliable and
improving in its reach. Some areas of
the south are still inaccessible by public
transport and most people prefer to
catch taxis, which are a relatively cheap
form of transport.
Gozo, a far smaller island of low
hills and big vistas towards its central
capital of Victoria, is accessible by
Maltese guard
malta 175
Climate average temperatures of 15C.

The average rainfall is 568mm a
Malta has a typical Mediterranean year, with December to February the
climate, with an average of 12 hours wettest months, although showers
of sunshine a day in summer and six rarely last for more than a couple of
hours in winter. Summers are hot, hours. The sea stays warm enough to
dry and sunny with temperatures swim in well into winter, with the peak
of around 32C. Spring and autumn beach season typically lasting until the
are cooler, except when Africa’s end of October.
Sirocco wind blows, bringing high As in many Mediterranean
temperatures and humidity. Winters countries, older houses rarely have
are mild, with some short cold spells central heating and winters can get
brought by central European winds. chilly enough to need it to take away
February is the coldest month, with the feel of the cold.
Major airports in Malta
Malta’s festivals
Festivals or ‘festas’, are the lifeblood and villages commemorate the Passion
of the Maltese social calendar, in of the Christ with processions of statues,
particular from Easter to the end of each representing a particular episode.
summer. Here is a whistlestop tour of A change of mood on Sunday,
the different festivals across Malta. when church bells ring to announce
the Christ’s Resurrection. Easter day
is a time to visit relatives and friends,
exchange good wishes and presents, and
enjoy a special family lunch.
Malta International
Fireworks Festival
(late April)
Scarab, carnival The Malta International Fireworks
Festival is a spectacular event
Carnival commemorating Malta’s accession to
the European Union, and is held in
Carnival week takes on a traditional
Valletta’s Grand Harbour, and other
pattern; an extravagantly coloured float
locations around the island. The festival
procession, with children in costume,
includes firework displays designed by
often ending in Paceville, Malta’s main
foreign and local factories.
nightlife area. The main action during
the day takes place in Valletta, though
Isle of MTV (late June)
various towns and villages across the
island have their own festivities. MTV Europe’s annual music festival has
been held in Malta since 2007. It is now
Holy Week & Easter well established as one of the biggest
music festivals in Europe, attracting
Primarily of a religious character,
crowds of more than 50,000.
Holy Week commences on the Friday
preceding Good Friday, when the statue
The Malta Jazz Festival
of Our Lady of Sorrows is carried in a
(July)
procession through the streets of Valletta
and many other towns and villages. This takes place over three nights at Ta’
It continues on Maundy Thursday, Liesse in Valletta. The line-up is always
with the ‘seven visits’ to seven different a mixture of top international and
churches, to pay homage to the Altars Maltese artists, performing an eclectic
of Repose. Good Friday is more sombre, mix of jazz styles, and the Grand
and in the late afternoon, various towns Harbour creates a magical backdrop.
malta 177
their doors to delight patrons with

The Festa Season
visual art exhibitions and theatre
(May to September)
performances, while the piazzas
The festa season hardly has a weekend showcase local and international
when a town or a village somewhere is musicians and dancers. City Gate
not celebrating the feast of its patron to Fort St. Elmo comes alive,
saint. Banners and papier maché guaranteeing a memorable night.
statues on wooden columns decorate
the streets. The locals add to the mood Other Festivals
by decorating their balconies and
Medieval Mdina (April)
rooftops – blue, red, green – according
L´Imnarja Summer Folk (late June)
to the feast they are supporting,
The Farsons Great Beer Festival (July)
and flags adorn public and private
Delicata Wine Festival (early August)
buildings.
Independence Day (September)
A typical Maltese festa lasts three
Malta International Airshow (late
days or longer, and each village and
September)
town takes great pride in its own
Rolex Middle Sea Race (October)
weekend. The Maltese specialise in
Qormi Bread Festival
the manufacturing of fireworks and
Mgarr Strawberry Festival
the closing displays take inter-village
Mtarfa Military and Adventure Festival
rivalry to a new level.
These festivals, proudly organised
Festival Mediterranea
by regional councils, are particularly
(mid-Autumn)
popular with locals, and offer a great
An annual event on the island of opportunity to mingle with the Maltese
Gozo, Festival Mediterranea offers in a truly traditional environment.
cultural and artistic events across
the whole island. Opera and music
concerts dominate, but there are also
international conferences, walks and
talks in historic locations, field trips,
food and drink events and
art exhibitions.
Notte Bianca (October)

Notte Bianca is a spectacular nocturnal
celebration of people, culture and arts.
State palaces and museums open
Mellieha festa
Property
The market
While much of Europe saw property
markets crashes for a few years after the
2008 credit crisis, Malta merely stalled.
Prices fell by about 5% for three years,
then 2012 marked a turnaround when
the market began to pick up again.
Portomaso marina
In the first six months of 2016, John
Taylor Malta reported property prices to invest in additional properties in
rose by 6%, boosted by the launch of Special Designated Areas (SDAs),
the citizenship scheme in 2014 that has which include developments such as
attracted Russian, Ukrainian, Chinese Tigne Point and Portomaso. Non-
and Middle Eastern buyers. EU nationals must apply for a permit
Malta has been making big efforts to to buy, called an Acquisition of
attract foreign investors in recent years. Immovable Property Permit (AIP), and
EU citizens can buy property there they must invest a minimum amount.
providing they or their immediate The luxury end of the market
family reside there. It is also possible is represented by high-end new
Average property prices in Malta 2006 – 2016

120%
120
100%
100
80%
80
60%
60
40%
40 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Malta’s property market merely stalled after the crash, prices have risen since.
20
2010 = 100, Source: Eurostat
0
malta 179
developments including Tigne Point, including Fort Chambray in an old

Fort Cambridge in Sliema, and fort overlooking Mgarr harbour,
Portomaso in St Julians. All fall and The Hillock Residences near the
within SDAs. fishing village of Marsalforn, a popular
Those who are priced out of St spot for foreign buyers. The fishing
Julians or Sliema, or who prefer village and beach resort of Xlendi is
somewhere a little quieter, can find also sought-after by foreign holiday
affordable options in neighbouring home and retirement buyers.
Msida, Gzira or Swieqi, all still within
a 10-15 minute drive of Valletta. What you can buy
Holiday home buyers and retirees also Malta saw its first property boom
like north coast towns such as Qawra, in the 1970s and 1980s, when new
Bugibba and Mellieha. apartments sprung up in purpose-built
In Gozo, some 6,500 of the blocks. The Maltese are keen home-
37,000-strong population live in owners – about 80% of them own,
Victoria and many of the rest live in its compared with 63% in the UK. They
surrounding villages, such as Kercem, tend to prefer the convenient location
Xaghra and Ix-Xewkija. Typical and low maintenance involved in
property types are townhouses, ranging apartments and may have a rural
from the rustic to the contemporary. house or a Gozo apartment as a
There are a few new developments, holiday home.
Traditional Maltese street
Malta’s historic ‘houses of character’, island, including John Taylor Malta,

which can be hundreds of years Frank Salt, Chestertons International
old, hold little appeal to the local and Malta Sothebys International
population because of the upkeep Realty. The vendor pays the agent’s fees
and expense required, but they have a (typically 3.5%-5% of the property’s
magical charm to foreign buyers. They value) and the house-buying process
can be found in smaller villages such as follows the notary system found
Naxxar, Zurrieq, Zetjun, Qrendi throughout most of Europe.
and Mosta and are often set in Malta imposes certain limitations
picturesque alleys. There is often an over property ownership by foreigners.
internal, central courtyard and features You can buy anywhere on the island,
crafted by artisans. Many houses of but you cannot rent out your primary
character were converted in the 1980s residence if you are not there.
and 1990s. You must also wait until you have
Villas tend to be concentrated in lived there for five years continuously
areas earmarked for villa development, before you can buy an additional
such as the towns of High Ridge property. That property must be in
and Madliena in the Swieqi district. a Special Designated Area (SDA),
They are relatively high-priced but which include Portomaso and Pender
often come with gardens, parking and Place in St Julians, Tigne Point and
swimming pools. Fort Cambridge in Tigne, SmartCity
in Kalkara, Ta’Monita in Marsascala,
Buying in Malta Tas-Sellum in Mellieha and Metropolis
Two factors immediately help the Plaza in Gzira. On Gozo, the SDAs
property-hunting process in Malta: are Fort Chambray in Ghajnsielem,
distances are small and everyone speaks Kempinsky Residences in San Lawrenz
English. There are several well-known, and Vista Point in Marsalforn.
international agents on this small For non-EU buyers, there are
minimum values for property you
can purchase and you must have an
Acquisition of Immoveable Property
(AIP) permit from the Ministry
of Finance.
Buying costs during a property
purchase in Malta are typically up to
8% of the purchase price. The buyer
pays the notary’s fees, lawyer’s costs,
registration fees, AIP if applicable and
5% stamp duty.
Malta apartments
malta 181
Top tips on finding a rental

property in Malta
1 Look at websites purely to get rental 4 Negotiate down the asking price.
agents’ contact numbers. The houses They are more inclined to agree if you
shown on websites are rarely available. suggest a two-year lease. You may have
more bargaining power with properties
2 Contact several agencies and be advertised directly by the owner. Both
specific about what you want. Agents tenant and owner benefit financially
are paid on a commission-only basis so as an agent typically takes half of one
they will try to get you to rent the first month’s rent.
place you see and take you to places
outside your budget if you are not 5 If you don’t need to drive, try to
firm. stay within walking or cycling distance
to shops. Buses are packed in summer.
3 Take a holding deposit of around
€100 in cash when you view a property
and if you like it, put down that
deposit immediately. Otherwise, the
next person who sees it will.
Renting in Malta
Few Maltese people rent property;
their focus is to save up and buy (or
inherit). But most expatriates in
Malta begin by renting so they can
find the location they like most before
they settle.
Outside of Valletta or on Gozo,
rental prices are relatively low (you
will typically need to pay three months
up front – two months’ deposit and
the first month’s rent) and nearly all
properties are fully furnished.
The quality and price of rental
properties can vary greatly and
Poolside living
prices can change from one street to
another within the same village. But obtain an S1 from the International
everyone speaks English, so there is no Pension Centre in the UK and send it
language barrier to contend with when to Malta’s Ministry of Health.
negotiating. If you do not qualify for an S1, UK
Seafront apartments and houses nationals can still access free medical
with pools command the highest rents. care under the provisions of the Malta-
Sliema and St Julian’s are the most Britain Reciprocal Health Agreement.
expensive places to rent apartments. If none of the above applies to you
Cheaper options are further north in St and you are not covered for free state
Paul’s Bay or Mellieha. healthcare in Malta, you will need
It’s harder to find houses to rent and private healthcare. AXA International
the prices are less location-dependent quote €4,900 per person per annum
than for apartment rentals. for a Comprehensive Cover Policy with
no excess and inclusive of taxes, based
Healthcare on a couple who are aged 65 and in
good health.
If you are in receipt of a state pension Many people come to Malta
from the UK or other EU or EEA specifically for cosmetic surgery and
countries, or Switzerland, you will private treatment, because of the
qualify for an S1 certificate, which expertise and value offered. If you
means you can access Malta’s free decide to pay for healthcare on an
medical care system, which is regarded ad-hoc basis it should be good quality,
as one of the best in the world. You can and reasonably priced.
malta 183
Finance Those who work in certain

industries including aviation, financial
Understanding where you are tax services or gaming may also qualify
resident is important as it is usually the for a flat rate of 15% on their Maltese
country of residence that taxes you on earnings.
your worldwide income and gains. Overseas income is not taxable,
In Malta, there is no specific provided it is not brought into Malta.
legislation that defines ‘tax residence’, Overseas capital gains are not taxable
so you can technically be resident even if remitted to Malta.
even if you spend less than 183 days If you are an EU citizen moving
a year there, though the Maltese tax to Malta, you have a choice of tax
authorities appear to have adopted regime. You could utilise the generally
the norm of six months of physical attractive Maltese tax legislation,
presence. There is also a concept of where there are no minimum taxes
‘ordinary residence’, which indicates you have to pay (but we would
regular presence with a degree of recommend you pay some tax in
continuity, even if you spend less than Malta), or alternatively, you could
six months in a particular tax year in utilise a Maltese residency programme,
Malta. where there is a fixed 15% tax rate,
An advisor with a good and minimum annual tax liability.
understanding of both Malta and the Choosing between the two will
jurisdiction where you are currently depend upon your individual or family
tax resident will help you make the position, and your specific financial
most of any tax saving opportunities circumstances and needs.
available to you on changing your With specialist advice, you can set
residence status. up tax-efficient structures that will save
you a significant amount of tax. The
Taxes in Malta chances are that if you set yourself up
Malta’s tax regime attracts many correctly, you should expect to pay very
foreign nationals to the island. There little tax in Malta.
are no wealth taxes, rates or council
taxes. There are various residence
programmes for non-Maltese nationals,
which include a maximum tax rate
of 15%, and you may also be able to
benefit from Malta’s own ‘remittance
basis’ of taxation – where you only
pay tax on non-Maltese income if it is
brought into Malta.
Maltese cross
case study: Relocating to Malta
Cazzandra Bell moved from then on the waterfront in Sliema,

Australia to Malta with her where there are lots of shops, cafes
husband Simon and three sons and expatriates – but in summer the
noise and partying never stop. Now we
in 2013.
rent a penthouse apartment in Balzan,
a quiet area close to the San Anton
Why Malta?
botanical gardens. Our apartment has
We wanted to live in Europe and have
a large rooftop area and views over
an adventure. I run several online
medieval Mdina.
businesses, including the Women’s
Business Society (wbsociety.com) that
Tips?
I can run from anywhere in the world
They take their religious fiestas very
and Simon had a great job offer to
seriously and that’s something you
work for an iGaming company
must experience first-hand. Don’t
in Malta.
hide away; get out and enjoy the local
celebrations. Don’t just stick to the
Where do you live?
expatriate community. Also, it’s a
We originally lived in Swieqi, within
small island, but don’t expect to get
walking distance of St Julians, and
anywhere quickly, especially by bus.
Top: Mdina Carmelite church Get a car, bike or catch cabs.
malta 185
Pension income all of the income to Malta, as a ROPS

Malta has double tax treaties with most is not liable to any UK tax. This is a
countries, which means that pensions specialist area, and you will need to
and annuities are taxable where you are take professional advice around your
tax resident (except government service personal and financial circumstances.
pensions which remain taxable in the
country from which they are paid, e.g. Rental income
a UK teacher’s pension, which remains One way that many people boost their
taxable in the UK, even if you are tax income in retirement is by renting out
resident in Malta). a property – a buy-to-let property or
HMRC in the UK will check possibly their former main home.
whether you are remitting the full Rental income is always taxable
amount of any UK pensions into in the country where the property is
Malta so they are fully taxed there, located, so Maltese rental income is
before they allow the UK pension taxable in Malta if you reside there or
providers to pay these free of UK tax. not. If you did reside there, and had
An alternative could be to transfer UK rental income, it would be taxable
any UK schemes to a Recognised in the UK, and also in Malta (though
Overseas Pension Scheme (ROPS), if you utilised the remittance basis,
which will overcome the need to remit only if remitted to Malta).
Tax-efficient investment
structures
Once you are resident in Malta,
owning a UK buy-to-let property
may not be the most tax-efficient
investment. There are flexible and
tax-efficient structures that can be set
up for Maltese residents, which allow
your assets to grow tax-free and for
you to be able to remit funds to Malta
tax-free.
Inheritance tax
Blevins Franks publishes expert guides There is no inheritance tax or gift tax
to key locations in Europe, among in Malta, but there is a 5% Stamp
them a Guide to Taxes in Malta. You Duty on the value of real estate
can obtain this guide by going to transferred to heirs, though there
www.blevinsfranks.com are also reliefs. There is a €35,000
exemption on the deceased’s main
home, and a complete exemption if Malta’s residence programmes

it is passed to the surviving spouse The most relevant scheme for British
or descendants in the direct line, and expatriates in Malta is the Retirement
had been the deceased’s main home. Programme, aimed at EU, EEA and
UK nationals who are UK domiciled Swiss retirees and which limits the tax
are still liable to UK inheritance tax rate on Maltese source and remitted
on their worldwide assets regardless income to 15%.
of how long they have lived overseas. The minimum amount of tax
Domicile is highly complex, but it is payable is €7,500 a year. You must own
likely you will still have to pay UK or buy a property worth €275,000
inheritance tax. Maltese succession law (€220,000 in Gozo/South Malta) or
applies to property in Malta, even if pay annual rent of €9,600 (€8,750).
you are a non-Maltese national. The You should also be in receipt of a
spouse and children receive a certain pension that is received fully in Malta
portion of the estate and the rest may and that constitutes at least 75% of
be freely disposed of. your chargeable income. You must live
From 17 August 2015, new EU in Malta for at least 90 days a year and
regulations allow individuals to choose, you cannot work there.
through their will the succession laws of Other residence programmes
the country of their nationality to apply include:
to their whole, worldwide estate, rather The Global Residence Programme,
than where they reside (in this case, for non-EU and non-EEA nationals
the UK, rather than Malta). This is who buy high-value property and pay
welcome news for UK nationals living taxes in Malta to obtain a residence
in Malta who wish to avoid Maltese permit. You must also speak English
‘forced heirship’ succession laws. But or Maltese to qualify and own or
you should note, this does not alter rent a qualifying property and live
where estate taxes will be payable. in it as your primary residence. The
programme entitles you to a 15% flat
rate of income tax, subject to paying
at least €15,000 a year, on overseas
income that is received in Malta.
The Individual Investor Programme
is a citizenship-by-investment
programme aimed at encouraging
high net worth non-EU/non-EEA/
non-Swiss people to invest in Malta.
You must invest at least €350,000
in property or pay rent of €16,000+
Street with palms
malta 187
Five important tax questions to

consider when moving to Malta
1 Are you paying the right tax in 3 Would a QROPS (Overseas
the right place? Many people Pension Scheme) help you to avoid
move overseas and do not declare UK tax on pension income? It may
themselves to the tax authorities, be beneficial if you do not remit all
continuing to pay tax in their your pension income to Malta.
previous country of residence.
4 Are you receiving rental income
2 Are your investments tax efficient from a UK property? It may be
for you? Most UK tax-efficient taxable in both the UK and Malta.
investments are not tax efficient
overseas. You should therefore seek 5 Would it be beneficial to utilise
specialist advice about rearranging a residence scheme? Each targets
your financial affairs to be tax different nationalities/income/
efficient from a Maltese perspective. wealth levels and requires different
degrees and types of investment
in property and/or government
investment funds.
Evening in Valletta
a year. You must also contribute at and you must pass a fitness test and
least €650,000 to the Malta National be able to support yourself financially
Development and Social Fund and without recourse to Malta’s social
€150,000 in government-approved welfare scheme, with either an income
financial institutions for at least five of €100,000 a year or capital of
years. You receive Maltese citizenship €500,000.
for life, which can be passed down,
through your family.
The Malta Residence and Visa
Cost of living
Programme – open to non-EU The cost of living in Malta was once
nationals – is the most recent addition lower than elsewhere in Europe, but
to Malta’s residence programmes. It is prices are catching up. Incomes are
not a tax programme, but it gives the lower than the European average so
equivalent of the UK’s ‘indefinite leave people’s purchasing power is relatively
to remain’. low. It is still cheaper to live in Malta
Successful applicants to the Global than in many large European cities.
Residence Programme may apply Compared with the UK, it’s cheaper
and can benefit from the 15% flat in Malta to rent property, eat out,
income tax rate. You must invest at enjoy leisure activities, insure cars,
least €320,000 (€270,000 in Gozo/ moor boats and hire tradespeople,
South Malta) or rent for €12,000 from mechanics to cleaners. Taxis are
(€10,000) a year and you must live also cheap, with fixed fares. Some of
in that property for at least five years. the more expensive items are cars
You must also invest at least €250,000 and electronics.
into a qualifying investment scheme
Contact Blevins Franks in Malta

We help clients throughout Malta
[email protected]
Mriehel
Gasan Centre
Triq il-Merghat
BKR 3000
Tel: +356 2327 4000
malta 189
Moving there
EU citizens can live, work, study, retire
and own property in Malta. Within a
month of your arrival, you must report
to the police headquarters in Valletta.
After three months in Malta, non-
Maltese domiciles must apply for a
Registration Certificate, which has
no relation to taxation, but grants
the right to live in Malta. EU citizens
must still apply and show evidence of
economic self-sufficiency.
cyprus 191
cyprus
Overview
There are plenty of arguments for
choosing Cyprus as a retirement
destination. The value for money
in bricks and mortar is one of the
most compelling, as is the island’s
warm climate, genuine hospitality,
rich culture and history.
Aphorodite sanctuary
Occupying a strategic position in between 1878 and 1960 – a prosperous

the eastern Mediterranean, this is period for both nations. The
where east meets west. Cyprus can be occupation didn’t end peacefully, but
considered the easternmost point of Anglo-Cypriot relations have remained
Europe. It can certainly claim to be the largely positive ever since.
most easterly member of the EU. English is the semi-official language
Cyprus has straddled one of the spoken by more than three-quarters
major geographical, cultural and of the 1.18 million population, the
commercial divides between Europe Cypriot legal system is based on
and the Middle East since the first English law, the island’s banking
settlers arrived from Asia Minor during system is modelled on the UK’s, and
the Stone Age. Britons comprise more than half the
As the mythological birthplace of annual two million tourists. They
Aphrodite, goddess of love, there is no also represent the largest expatriate
little irony in the fact that ‘Aphrodite’s community – estimated to be more
Isle’ has subsequently seen more than than 65,000 permanent residents,
its fair share of enmity and strife – not although the Russians and Chinese are
least in the ongoing partition of the catching up fast.
island following the Turkish invasion The British currently own 35% of
in 1974. non-Cypriot owned property on the
Throughout its history it has seen island. Cyprus is a member of the
a succession of invaders, including Commonwealth (only one of three
the British, who occupied the island Commonwealth countries located in
cyprus 193
Europe). The three-pin electrical plugs From the top of the Kyrenian
are the same, and even the cars drive Mountains it is possible to see the
on the left. In many respects it is home coast of Turkey, just 47 miles across the
from home. Mediterranean. It is the proximity of
Both geographically and its Turkish neighbour that has loomed
geopolitically, Cyprus is a divided over every element of Cyprus’s political
country. Two mountain ranges, the history for nearly five centuries.
Troodos in the southwest and the Ethnic Turks have made the island
Kyrenia in the north, dominate their home since the beginning of the
their respective landscapes. They Ottoman occupation in 1570. For
are separated by the Mesaoria plain, many years the Greek and Turkish
extending from the westerly Morphou Cypriot communities lived side by
Bay to Famagusta in the east. side. That ended when Cyprus was
In its centre is the island’s capital, violently divided in 1974 and the
Nicosia, which is separated into Greek north-east became the so-called
and Turkish enclaves courtesy of the Turkish Republic of Northern Cyprus.
‘Green Line’ buffer zone policed by After more than 40 years, many
the UN. The line actually stretches for Cypriots from both sides are keen to
180km from Paralimni to Kato Pyrgos, dismantle partition, but it will be a
but it is at its most conspicuous in painstakingly slow and complicated
the capital. process.
This is also an island where you In the meantime, the great majority
can go from ski slopes – those in the of British expatriates live in the
Troodos Mountain Resort are high south of the island, spoilt for choice
enough to host international ski by golden sands, clear blue waters,
competitions – to beach in less than pine-scented forests, and a sun that
an hour. shines for more than 300 days a
year. According to the World Health
Organisation, Cyprus has one of the
healthiest environments in the world.
The most popular hotspots for buyers
are on the coast – notably Paphos
in the south west, 2017’s European
Capital of Culture. It is the fastest
growing area on the island in terms
of property sales and an increasingly
popular choice for those who can’t
afford the higher prices of Limassol 40
Troodos in winter
Paphos panorama
miles further east. biggest international airport. But just a

More than half of Cyprus’s short distance away is the beautiful salt
expatriate Britons live in the Paphos lake – home in the cooler months to a
region, drawn perhaps by numerous colony of flamingos.
familiar UK high street retailers, The island isn’t just a destination
including Debenhams and Lidl, but for older players; Ayia Napa on the
also undoubtedly by its beautiful south east coast is famously a party
beaches and scenery. city with a club culture to rival Ibiza.
Limassol, the second biggest city Today Cyprus is a young and energetic
in Cyprus, has seen big investment country, a mix of the determinedly
in recent years, with a new 600-berth contemporary and defiantly
marina attracting the Mediterranean traditional. Despite the various cultural
yachting crowd. But it has plenty of and culinary legacies bestowed by
history too. Richard the Lion Heart successive occupying powers, it is the
(King of England) took time off Greek influence that dominates in the
from the Crusades to marry Queen greater part of the island – but not, for
Berengaria of Navarre and crown her obvious reasons, in the north.
Queen of England at Limassol Castle
in 1191 – the only Royal Wedding and
Coronation to have taken place outside
of England. A frequently repeated mantra in
Larnaca, one of the oldest Cyprus is ‘Siga, siga’ (slowly, slowly).
continuously inhabited cities in the Cypriots believe that the finer things
world, will be the first taste of Cyprus in life – such as food – should never be
for many as home to the island’s rushed. It is fair to say that the country
cyprus 195
functions at the same speed as most a UNESCO World Heritage site

other countries in the region – slowly. and its Tombs of the Kings, a vast
But this doesn’t mean that lethargy underground necropolis dating from
is part of the national psyche. On the the fourth century BC, is among
contrary, the majority of Cypriots the island’s principal treasures. Just
are energetic and hardworking. An as impressive are the town’s famous
apparent lack of urgency is more like mosaics, discovered in a former Roman
the metaphorical swan gliding serenely dwelling in 1960. These remarkable
on a pond – there’s a lot of paddling insights into Cyprus’s past are just a
going on beneath the surface. small taste of the antiquities found
For those who want to escape the throughout the island. Cultural
fierce heat of the coast, the Troodos influences came from all directions,
Mountains are within easy reach of with many civilisations leaving their
most of the southwest of the island. mark on Cyprus, contributing to the
Here, amid the cool shade of pine- development of a rich and diverse
scented forests, is one of the largest cultural heritage.
groups of churches and monasteries Away from the resorts and holiday
left by the Byzantine Empire between centres, family life goes on with a
the fourth and twelfth centuries. particular emphasis on sitting down
Cultural antiquities are something together to eat – especially on Sundays.
that Cyprus has an abundance of, Don’t be surprised if you’re invited to
even in its main resorts. Paphos is join the family for a meal. Cypriots are
Tombs of Kings, Paphos
Beaches you might want to try

Pissouri Bay
This bay lies between Limassol and clean and safe, with a few tavernas
Paphos on the south coast of the serving traditional Cypriot food.
island. 2km long, the bay is made of The nearby Pissouri village has
sand and shingle, but unlike other retained its Cypriot character,
beaches in Cyprus, Pissouri Bay is laid- with tavernas, shops, restaurants
back, with a Cypriot atmosphere. It’s and bars.
©Andrew Hurley, flickr
Pissouri Bay
Fig Tree Bay

Fig Tree Bay is in the Protaras
area on the east coast and gets
its name from a lone fig tree that
stands there. The beach is ideal
for families, with golden sand,
©Glen Bowman, flickr
parasols and safe waters. It is one

of the prettiest on the island but
is very busy in summer.
Fig Tree Bay
cyprus 197
Lara Bay
Lara Bay on the Akamas peninsula is a
golden bay made of sand and rocks in a
rugged area of Cyprus where green turtles
still breed and lay their eggs. You can
only really access this beach in a 4×4, but
it is worth it for the wild landscape and
seclusion – you won’t find parasols or
hotels on this beach. Lara Bay is remote
and deserted – perfect if you want to get
away from it all.
Turtle crossing, Lara Bay
Coral Bay
Coral Bay beach in Peyia, located
on the west coast, has relatively
restrained crowds due to restrictions
on high-rise development. The
horseshoe-shaped beach with golden
sand and surrounding limestone
cliffs is a classic Mediterranean
landscape. When it’s time for a
©Bigstock.com
break from your R&R, the shoreline

is dotted with lots of trendy cafes
and bars.
Coral Bay
Konnos Bay
Those looking for a
chilled beach vibe need
look no further than the
southeast coast’s Konnos
Bay. A Blue Flag beach,
Konnos is sheltered
©cto zurich, flickr
from high winds by

a jagged, picturesque
rocky formation.
Konnos beach
famously hospitable and newcomers to

the island can expect to be invited into
Language and
their homes and warmly welcomed. immersion
When it comes to asking foreigners
There are two official languages in
about their background, anything
Cyprus: Greek, as spoken in the
goes – including details about your
Cypriot Republic in the south, and
personal wealth.
Turkish as spoken in the north. English
But avoid any discussion about the
is spoken by more than 80% of the
struggle for independence in the 1950s
island’s population and is effectively
and the Turkish invasion 20 years later.
a semi-official language. There are
Wounds still run deep and passions
also two minority languages: Cypriot
high.
Arabic and Armenian.
Social etiquette must be observed
Russian is also increasingly spoken,
in a number of respects, not least
and shop signs in the Cyrillic alphabet
regarding dress in public places. Men
are not unusual in Paphos and
and women are expected to cover up
Limassol. It is much more common,
when not on the beach and topless
however, to see shop fronts, adverts
sunbathing is disapproved of. Cyprus
and even road signs written in English,
is still essentially a socially conservative
which until 1996 was also the default
society.
language when drafting legislation.
The Greek Orthodox Church
There is no resentment shown by
continues to play a key part in daily
Cypriots towards foreign residents
life in the south, and all generations
who make no effort to learn the local
of Cypriots are well represented among
language. But many Cypriots will
regular churchgoers. Attendance
appreciate the effort taken to acquire
is generally high, and clerics are
basic words and expressions – if
widely respected.
only for the sake of politeness. The
expatriate community on the island
is well established and not always
noticeably inclusive. There are four
lawn bowls clubs on the island, for
example, founded by and almost
exclusively patronised by British
members. There are bridge, darts,
hockey, skiing and badminton clubs.
There is even a Morris Dancers’ club
on the island. The mind boggles at
what the Cypriots make of that.
St Nikolaos church, Protaras Cyprus also has six top golf courses
cyprus 199
speed up the process of immersion

into Cypriot society and culture are
positively encouraged to join local
clubs covering all of these and more
– as supporters or players. There are
numerous other expatriate social clubs
©Bigstock.com
that can prove a useful way to gain
local knowledge and make friends.
They include the UKCA social club
in Paphos, which organises activities
Dual language signs
and entertainment. The island also has
– one of them, Aphrodite Hills, is two English-language newspapers, the
widely hailed as one of the most Cyprus Mail and Cyprus Weekly.
challenging in the Mediterranean. All
six are popular with British residents
and holidaymakers.
Accessibility
Cypriots are more likely to pursue By air
their own sports and interests, Cyprus has two international airports
including football – the nation’s biggest – Larnaca in the south east and Paphos
spectator and participation sport – in the west. Nicosia International
basketball, rugby union, athletics and Airport was closed in 1974 shortly
tennis. Expatriate members keen to after the Turkish invasion. Flight
©cto zurich, flickr
Aphrodite Hills golf
Festivals in Cyprus
Cypriots have religious and cultural vegetarian picnics because meat and
festivals throughout the year which fish are banned during Lent. Kite-
are enjoyed by expatriates and locals flying competitions are popular.
alike. Here is a short overview of
some of the best festivals on the Kataklysmos
island.
The annual festival Kataklysmos
(Festival of the Flood) takes place 50
Limassol Carnival
days after Orthodox Easter. This is a
While carnival is celebrated in every truly unique festival, celebrating the
town, Limassol tends to be the focus biblical story of Noah and the Flood,
of the celebrations, which occur in late the festival involves lots of water (you
February or early March depending on will see people sprinkling each other
the date of Greek Orthodox Easter. Ten with seawater, symbolising purification
days of celebrations include parades, of the body and soul).
music, costumes and many parties. The biggest events take place in
Larnaca, with an open-air fair, and
Green Monday stalls selling traditional food and
toys. There is a competition for
The day after carnival ends is Green
rhyming songs in Cypriot dialect and
Monday, which celebrates the
performances from Greek and Cypriot
beginning of the 50-day Orthodox
singers and dancers.
Lent. Families gather and have ©Leonid Mamchenkov, flickr
Limassol carnival
cyprus 201
©George M Groutas, flickr

Easter celebrations
Easter flower parade in Larnaca, with stunning

decorated floats and people carrying
Easter is not really a festival, but is
flowers, but the festival also features
considered to be the most important
exhibitions, flower markets and shows.
holiday in the Greek Orthodox
calendar. It is a solemn period
Limassol Wine Festival
following the celebrations of Carnival,
and food such as meat, fish and At the end of August, the great wine
dairy products are prohibited. Easter, festival takes place in the Municipal
celebrated after the full moon of Garden of Limassol and lasts for 12
spring equinox, is a time of renewal days. Started in 1961 to promote the
where people clean, cook and buy country’s wines, it’s now Cyprus’s
new clothes for the Holy Week before largest festival.
Easter. On Easter Monday families get
together and play games. Kypria
One of the most important cultural
Anthestiria Flower
festivals in Cyprus takes place
Festival
through September and October.
The Anthestiria Flower Festival is held The programme features ballet,
each May to celebrate spring and the opera, cinema, art, theatre and music
rebirth of man and nature. The main performed by artists from Cyprus and
focus of Anthestiria Festival is the around the globe.
time to the island from London is than two million passengers a year. It is
approximately 4½ hours. The main located 6km south east of the town.
civilian airport of North Cyprus is
Ercan International Airport, 13 km Other ways of getting around
north of Nicosia (and sometimes The island is served by ferry routes
referred to as Nicosia Airport), but between Tasucu on the Turkish
current rules insist that international mainland and Kyrenia, the largest and
flights to Northern Cyprus touch most attractive of cities in Northern
down on the Turkish mainland before Cyprus. Sea ‘buses’ operate daily and
continuing their journey. take approximately 2½ hours. Ferry
Larnaca International Airport (LCA) boats also operate three times a week
is the country’s largest airport, and is from Famagusta in Northern Cyprus
located 4km south west of the city. to Mersin in Turkey.
With more than five million passengers In Cyprus’s interior, the car rules.
a year, it handles the bulk of tourist There are 12,000km of roads and
traffic. Paphos International Airport eight motorways in the Republic
is Cyprus’s second largest, with more alone, connecting most of the major
Major airports in Cyprus
cyprus 203
Climate
Cyprus enjoys the warmest winter
climate of any country in the EU.
Even in winter, when snow covers the
Troodos Mountains, the temperature
in the coastal zone where the majority
of expatriates choose to live is rarely
colder than 17C (62F) by day and
8C by night. This doesn’t affect
British residents’ entitlement to the
Inland terrain
UK winter fuel allowance, however.
towns and cities. Add to that nearly The climate is at its most appealing
2,500km of paved and unpaved roads in late spring or early autumn. High
in Northern Cyprus and the result is a summer can be stiflingly hot with
small island approximately the size of temperatures between 30 to 40C
the UK’s Lake District and Yorkshire and air conditioning units in most
Dales combined, criss-crossed with properties are called into 24-hour
enough tarmac to cater for one of operation. Freak weather conditions
the highest rates of car ownership in are not unknown. In August 2015,
the world. temperatures exceeded 60C in Nicosia,
One benefit of this love of roads and people throughout the island were
is an expanded EU-funded bus advised to keep off the beaches and
network. There are now more, and streets in the heat of the afternoon.
better, local bus routes, longer urban In all other respects Cyprus has a
routes, and a wider choice of intercity typically Mediterranean climate, with
routes connecting most of the most
commonly travelled journeys between
towns, cities and resorts.
There are also plenty of taxis in
Cyprus. Private taxis can be flagged
down in a street, hired at a rank
or ordered for a pick-up at a given
address. ‘Service’ taxis – which are
up to two-thirds cheaper than private
taxis – run on a regular pre-arranged
schedule during the day between the
main resorts and towns and are shared
with other passengers.
Aphrodite Bay
mild wet winters and hot dry summers.

Sunshine hours range from six a day
Property
in midwinter to more than 12 a day in Cyprus was hit hard in 2013 when its
midsummer. Sea temperatures peak in banking system collapsed. The country
the high 20s throughout the summer was forced to borrow €10bn from the
but are less inviting during the winter EU, European Central Bank and IMF,
until early May – although even during there were queues for cashpoints from
this period temperatures are still much the crack of dawn and savers’ bank
the same as the highest in summer accounts were raided to help pay back
around the UK. the state’s debts. But in March 2016,
The only marked regional variation Cyprus exited its bailout programme
in the island’s weather is between the and no longer needs financial support.
mountains and the coast, although the Its banking system is now on firmer
west tends to be slightly cooler than ground, unemployment has dropped
the east due to the westerly prevailing and the economy grew by 1.6% in
winds. The hottest part of Cyprus is 2015, after three years of decline
usually Nicosia, which is located a (though public debt is still at over
long way from the sea. More affluent 100% of GDP).
Nicosians head to their mountain The property market has taken a
lodges in summer. turn for the better too. House price
Average property prices in Cyprus 2006 – 2016

120%
120
100%
100
80%
80
60%
60
40%
40 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Cyprus property prices fell dramatically with economic collapse.

20
0
cyprus 205
Villas, Paphos
falls are decelerating and sales were include Coral Bay, Aphrodite Hills
dramatically up in 2016 compared to and Minthis Hills in Tsada, Paphos’s
previous years. Prices, however, are still wine region.
around 30% lower than pre-crisis levels
and there are currently about 5,000 Golden visa scheme
sales a year compared with 18,000 Cyprus launched its ‘F visa’ scheme in
a year in 2002-2007. Chinese and 2012, setting the bar high for those
Russian buyers have made significant seeking to gain residency in return
investment and, increasingly, buyers for property investment. You must
are from the Middle East, seeking a buy a property worth €2m or more,
political and economic safe haven. or invest at least €2.5m (part of a
Foreign demand for property mainly larger group of shareholders) or €5m
focuses on the seaside resort of Paphos. (individuals) in the Cypriot economy.
Entry prices are low, there is a large Full EU citizenship and passports
foreign population and life continues (including for the spouse, underage
all year round, with many bars and children and adult dependants in full-
restaurants staying open in winter. time education and under 28) can be
Popular areas range from the central processed within a few months.
Kato Paphos neighbourhood around You do not need to live in, or even
the medieval port to nearby villages visit, Cyprus after being awarded a
such as Tala and small towns such passport. You can sell your Cypriot
as Polis near the Akamas peninsula. property after three years but must buy,
Upmarket gated resorts near Paphos or hold, a permanent residence worth
Ten reasons to live in Cyprus

1 Excellent, inexpensive medical 7 Location: Cyprus is at the
facilities. crossroads of three continents and
cooperates with neighbouring
2 Excellent educational system based countries such as Greece, Israel,
on UK standards. Lebanon, Syria, and Egypt.
3 You are always only minutes from 8 The general price level of property
the beach. in Cyprus has remained very low in
comparison to the UK.
4 Since Cyprus joined the EU
in May 2004, EU citizens who are 9 Compared with many EU
non-residents may now buy more countries, Cyprus enjoys an
properties. exceptionally low crime rate. Visitors
can relax and enjoy life on the
5 Cyprus has a British-based legal island because crime and theft is not
system and a British-based banking commonplace.
system.
10 Climate: 340 days of sunshine
6 A relatively low cost of living often a year, with negligible sea and air
accounts for a substantially improved pollution.
quality of life.
cyprus 207
the contract with the Land Registry,

then sells it to a second person. In
other cases, the developer has taken out
loans against the property or land, for
which the new owner is liable.
The Immovable Property and
Transfer Law (also known as the
Trapped Buyers law or Hidden
Mortgages law), passed in 2015,
allows for buyers to take ownership of
New housing development
a property, even if they are unable to
at least €500,000 to maintain your obtain the title deed. In a bid to restore
Cypriot passport. confidence to the property market,
further incentives included exemption
Title deeds issues from future capital gains for anyone
Cyprus has long had a title deed who buys property in Cyprus in 2016
problem. A huge bureaucratic backlog and a 50% discount on their title deeds
– and, in some cases, fraud – means transfer tax fees.
that around one in five home-owners If the title deed is not immediately
in Cyprus has been unable to obtain available, ideally look for another
the title deeds to their home, some for property, Always use an independent
30 years. lawyer – never use the suggestion of
The problem arises when an existing a developer.
plot is subdivided into smaller plots,
each of which should be issued with Buying costs
a separate title deed. If the developer Property transfer fees (the equivalent
delays in submitting the paperwork of Stamp Duty Land Tax in the UK)
(this benefits the developer in allowing range from 3%-8%, depending on the
him to utilise the land and buildings value of the property. Legal fees are
as security for loans, enabling him to typically 1%-2%, agent’s fees 3%-6%
develop elsewhere, and so on), fails and there is a Stamp Duty – literally,
to pay the relevant taxes or goes the legal stamping of the contract –
bust, or simply local government which is 0.15%-0.2% of the property’s
administration has an affect that the value.
title deed can get lost in the system. If you buy a new-build property
In some cases, buyers have with a town planning permit, there
unwittingly fallen foul of ‘double is 19% VAT. If that property is your
selling’, where the developer sells the primary residence, you can claim
property to one person, fails to register back 10%.
Healthcare
In common with much of the rest of
Western Europe, public and private
sector healthcare services coexist
relatively efficiently, allowing patients
to cherry-pick consultations and
surgical procedures as they prefer.
Most doctors, nurses and support
staff in Cyprus speak English, but
difficulties in communication can still
arise, especially when a complicated
Kolan British Hospital
procedure is being explained. If in
doubt, patients should ask for help also be available to those in receipt
with translation. of a UK state pension, long-term
If you are considering private contribution based incapacity benefit
healthcare, AXA International quote or bereavement allowance. In order to
€6,100 per person per annum for a qualify it will be necessary to apply for
Comprehensive Cover Policy with no an S1 Form (certificate of entitlement)
excess and inclusive of taxes, based on from the UK Pension Service.
a couple who are aged 65 and in Anybody planning to move to
good health. Cyprus permanently should apply for
State healthcare is inexpensive a residence permit through the local
and sometimes even free for EU immigration office. Once registered,
citizens. Emergency medical care is residents will be entitled to state-run
free to all citizens and expatriates healthcare and can apply for their
alike, but routine doctor and hospital medical card.
appointments are often chargeable EU nationals moving to Cyprus, but
and in situations of inpatient and who plan to spend less than six months
outpatient care, there is likely to be of the year there, should make sure
a fee. they are in possession of a European
Since 2013, nominal charges have Health Insurance Card (EHIC),
been introduced for treatment for which will give them access to state
most Cypriot citizens and permanent healthcare. This card will also cover EU
expatriate residents. For those who do citizens for the treatment of any pre-
not hold a medical card, some charges existing conditions they may have had
will be higher. State healthcare is before coming to Cyprus. An EHIC
available to anybody paying into the does not cover private treatment, so it
Cypriot social security system, but may will be necessary to confirm that any
cyprus 209
treatment is being provided within the resident if you cumulatively spend

state healthcare sector. more than 183 days as physically
Note that none of the above present in Cyprus during a
qualifying criteria is valid for accessing calendar year.
state healthcare in the so-called Turkish
Republic of Northern Cyprus. Paying tax in the right place
Knowing where to pay tax can be
Finance confusing and you should seek
specialist advice before you move to
There are various tax issues that Cyprus. The UK-Cyprus tax treaty
Britons face when moving to Cyprus. should mean the same income or gain
With specialist advice from an adviser is not taxed twice. If you are unfamiliar
with a good understanding of both with the rules, you can end up paying
jurisdictions, you can make your more than you need, so make sure
money work for you, protect it against you speak to a cross-border tax expert
foreign taxes and make the most of the before making any decisions.
opportunities available.
Some Cypriot taxes sound the same Making your investments tax
as taxes in the UK but are calculated efficient
differently. And in some cases, what is Your current investments may not be
tax-free in the UK is not tax-free the most tax-efficient once you move
in Cyprus. to Cyprus. For example, you can’t
The first thing, as with any move, is continue to pay into an ISA once
to establish where you are tax resident. you have left the UK and it could be
Normally the country of residence subject to tax in Cyprus.
would tax you on your worldwide There are highly tax-efficient
income and gains. vehicles available to residents of Cyprus
In Cyprus, you are regarded as tax that allow income and capital gains
to roll up tax-free. Withdrawals from
such investments, whether income or
capital, are also tax-free.
Dividends and bank interest

Dividends and bank interest are
not taxable in Cyprus if received by
a non-Cypriot domiciled individual,
though it may be liable to ‘Defence
Contributions’, at 20% and
30% respectively.
Pomegranates
Luxury villa
Pension income pension freedoms and pay minimal or

One big advantage for residents of zero tax in the UK or Cyprus. This is
Cyprus is that if you have UK-source an area of specialist advice.
pension income, the income is taxable
solely in Cyprus, regardless of whether Rental income
it is paid by the UK government, an If you live in Cyprus and rent out
occupational or private pension fund. a UK property, the income remains
You have a choice of two different taxable in the UK and must be
methods of how any pension income reported there each year. However, this
is taxed. Method One gives an exempt income is also taxable in Cyprus. It is
amount of €19,500, with any excess added to your other income and taxed
taxable at rising scale rates (from at the scale rates of tax. You can offset
20% to 35%). Method Two allows the UK tax paid on this income against
an exemption of €3,420, with any the Cyprus tax, but Cyprus calculates
excess taxable at a fixed rate of 5%. the income differently from the UK, so
The method you would choose would the taxable income in each country will
depend upon the annual amounts be different.
involved. If you own property in Cyprus that
It may also be possible to crystallise you rent out, the rental income is
a UK pension fund using the new UK subject to tax in Cyprus.
cyprus 211
If you sell a UK property while you Cyprus but it must go through the
are resident in Cyprus, there is no probate process in the UK and then
capital gains tax to pay in Cyprus but translated and notarised before going
you could still be liable to UK capital through the probate process in Cyprus.
gains tax. A Cypriot will for Cypriot assets may
inadvertently revoke your UK will,
Inheritance tax leaving your assets intestate. You
There is no inheritance tax or gift should take advice regarding wills and
tax in Cyprus. But if you remain asset ownership structures to ensure
UK domiciled, you will still be you protect your assets.
liable to UK inheritance tax on your The Wills and Succession Law of
worldwide assets, unless you acquire a Cyprus provides there is no reserved
new domicile of choice in Cyprus or portion for anyone who was born, or
elsewhere. whose father was born in the UK. Such
persons are entitled to dispose of all of
Wills in Cyprus their property by will.
Under Cyprus law, the estate is split There is also the new EU succession
into a statutory portion, which must rules, which from August 2015 mean
be disposed of as defined by law, and a expatriates can opt through their
portion which can be left freely under Cypriot will for the succession laws of
the will. A surviving spouse and/or their country of nationality to apply on
child inherit two-thirds of the deceased’s their death instead of those of Cyprus.
estate, split into equal shares. This could be beneficial if you are a
A UK will may be effective in UK national.
Contact Blevins Franks in Cyprus

We help clients throughout Cyprus
[email protected]
Paphos
2nd Floor
Hadjidemosthenous Centre
179 Demokratias Avenue
8028
Tel: +357 26 023 100
Cost of living
The cost of living in Cyprus is not
as low as it used to be before Cyprus
joined the EU in 2004 and replaced
the Cypriot pound with the euro as its
currency in 2008.
However, there are still some
goods, services and commodities that on the island.
are noticeably less expensive than in The economy is still recovering in
the UK. the wake of the banking crisis, but
These include fruit and vegetables, there is no longer a sense of economic
beer, wine and local spirits, utilities, collapse and confidence has been
rent (excluding holiday lets), and largely restored
public transport and taxis, which can According to Numbeo, the cost of
be less than half the cost in the UK. living in Cyprus is around 24% lower
Inevitably there will be surprising than in the UK (excluding rent). Rent
vagaries, including the high cost of in Cyprus is 61% lower than in the UK.
dairy products, due to the lack of cattle Property prices are up to 65% cheaper.

among them Living in Cyprus and a Guide to Taxes in Cyprus.
Limassol marina
cyprus 213
Moving there
If you are a British citizen, you
currently do not need a visa to enter
the Republic of Cyprus. If you intend
to stay for more than three months,
you must apply for a residence permit
through your local immigration office,
using form MEU1A. There is a fee,
but the permit does not need to be
renewed. After five consecutive years
of residence, you can apply for a
permanent registration certificate.
A UK state pension can be paid
directly to a British expatriate in
Cyprus. There may be further
entitlement to benefits, including
sickness and bereavement
allowance, depending on individual
circumstances.
greece 215
greece
Overview
Aside from the thorny issue of
the Elgin Marbles, the British
and the Greeks have long
enjoyed a special relationship.
It is a mutual appreciation
that dates back to the early
nineteenth century when
Britain helped Greece in its
war of independence from the
Ottoman Empire. The two
countries sided together in both
world wars and even the British
royal family is part Greek
thanks to Prince Philip.
Taverna, Mykonos
Around 40,000 Greeks live in the savoured, there is no escaping the

UK, but the attraction is mutual with harsher realities if you are going to live
Britons feeling a magnetic pull towards there, including huge unemployment
Greece to soak up the many pleasures and in some areas social unrest in
of its Mediterranean lifestyle and the face of spiralling living costs. For
location. British travellers still make young people wanting to start a new
up the largest contingent of overseas life, career and family, Greece may not
visitors to Greece and many have be the haven they have in mind – for
capitalised on low property and land now anyway. But for those who are
prices over the past couple of decades financially self-sufficient and seeking
to buy plots or properties for holidays a warm, wonderful destination for
or retirement. retirement, it still has a huge amount
The halcyon images of beautiful to offer.
bays, waterfront tavernas and long, Greece is the cradle of Western
hot nights spent soaking up the local civilization, the birthplace of
hospitality are familiar to many of democracy, philosophy, literature and
us. But they have lost some of their the Olympic games. Traditionally –
lustre in recent years by the impact for the picture has been skewed by
that Greece’s debt crisis and its ensuing its recent economic woes – it has
austerity measures have had on much boasted a high quality of life and life
of the nation. While the essential expectancy, low living costs and a low
charms of southern Mediterranean crime rate.
life are still there to be grasped and It sits at the crossroads of Europe,
greece 217
Asia and Africa. And this country the though, that attract you. Corfu has
size of England, but with a population 6,000 British residents and its north-
just a little larger than London, has the east coast is nicknamed ‘Kensington-
longest coastline in the Mediterranean on-Sea’ due to its abundance of
– four times longer than France or wealthy British villa owners in villages
Spain and twice as long as Italy or such as Kassiopi.
Turkey. Crete is the largest Greek island
Contributing greatly to its ample – almost as big as Cyprus, but with
coastline are its thousands of islands, half the population. It has long been
of which 227 are inhabited. In the a popular retirement spot for British
Aegean, separating Greece and Turkey, people due to its warm climate, cheap
are the Sporades (which includes property, beautiful coastline, and
Skopelos, where Mamma Mia! was the attractive towns of Chania and
filmed), Dodecanese (which include Rethymnon.
Rhodes) and Cyclades (including Rhodes, the sunniest place in
Santorini and Mykonos). Greece thanks to its far south-easterly
South of those is the largest Greek location, is also a firm fixture on the
island, Crete, and the islands of expatriate map. It is a large but sparsely
the North Aegean include Lesbos, populated island with a wide range
Chios and Samos. To the west of of property. Kefalonia, made famous
the mainland are the Ionian islands, by Louis de Bernieres’ book Captain
including Corfu, Kefalonia and Correlli’s Mandolin, is larger than
Zakynthos. Many expatriates who Corfu but less populated, with direct
settle on one of the islands rarely, if flights to the UK and a range of well-
ever, spend time on the mainland. priced property.
The mainland has pockets of
incredible beauty, however. Parga in
the north-west is a popular spot with
expatriates, as is the Peloponnese
peninsula, the southernmost part of
mainland Greece, which includes
Kalamata, the olive-producing
region. The Halkidiki peninsula in
northern Greece – home to luxury
resorts and the famous monasteries of
Mount Athos – is easily accessible via
Thessaloniki airport yet less known by
the tourist masses.
It will most likely be the islands,
Orthodox Greek church
Top ten beaches in Greece

1 Elafonissi Beach 6 Navagio Beach (Shipwreck
Elafonissi Beach)
Anafonitria
2 Balos Beach and Lagoon
Kissamos 7 Sarakiniko Beach
Milos, Cyclades
3 K
leftiko Beach
Milos, Cyclades 8 Porto Katsiki
Lefkada, Ionian Islands
4 Agios Pavlos Beach (Saint Paul)
Lindos 9 A
nthony Quinn Bay
Faliraki
5 Simos beach
Elafonisos, Laconia 10 Myrtos Beach
Cephalonia, Ionian Islands
Elafonissi, Crete
greece 219
There are the classic picture postcard tourist areas. To stop going to these
islands such as Santorini in the islands – who have played their part in
Cyclades, whose blue-roofed white helping in the crisis – would be a heavy
houses present one of the most iconic blow to their tourism-based economy.
images of Greece. The views across But it may refocus your decision of
the bay are spectacular, but prepare where to move to in Greece.
for endless tourists and high house
prices, with villas costing anything up
to several million euros. It’s a similar
story on Mykonos, an upmarket island The Greek lifestyle of many an
famed for its party atmosphere, rather expatriate dream is the quintessential
like Ibiza. It is also one of the priciest Mediterranean one – relaxed, sunny
places to buy property in Greece. days spent in boats, or diving into
It should not be overlooked that crystal waters, feasting outdoors on
many of Greece’s eastern-most islands fresh fish and generally taking it easy.
– those closest to Turkey, including Greece can make life’s simple pleasures
Lesbos, Samos and Chios, and to a feel like sheer luxury. The Greeks
lesser extent Rhodes, Symi, Leros and themselves place huge importance
Kos – have found themselves at the on family. Many extended families
epicentre of the refugee crisis, with cohabit or live in neighbouring houses,
nearly one million people of mainly helping out with childcare or looking
Syrian and Afghan descent having after elderly relatives. As more Greek
arrived by boat on Greek shores women now need to work to make
since 2015. ends meet, this family support is vital.
In many of these islands, the Sunday is a time to be together, with
migrants are located away from the few shops or supermarkets opening
outside of major tourist resorts.
What else matters to the Greeks?
Their religion, which is dominated
by the Greek Orthodox Church and
sees enthusiastic celebration at times
such as Holy Week in the lead up to
©Klearchos Kapoutsis, flickr
Easter, where all life stops for fasting,

feasting and festivals. Name days –
where you celebrate the saint you were
named after – are also a good excuse
for a party. The family opens up their
house for the entire day to welcome
a constant stream of guests with food
Eating out together, Akrotiri
and drink. An important consideration

is what life is like out of season. Much
Language and
of Greece relies on its tourist trade, immersion
but that is strictly seasonal. Islands
Greek is the world’s oldest living
such as Corfu still lose their direct
language, documented in records over
international flights in winter, which
34 centuries, and it uses the Greek
means flying via Athens airport or
alphabet, which may be unfamiliar
taking ferries and overland routes.
to most European and British people
What might feel like a wonderfully
but does not take long to learn. You
close-knit, convivial village in summer
will be starting to sound out shop and
may become a ghost town in winter
road signs within a couple of weeks of
and holiday resorts will all but close
learning the new letters.
down once the season is over.
Most expatriates find they rarely
Are you someone who will rejoice in
use their newly-acquired Greek,
this shift from summer holiday hub to
particularly in popular tourist locations
peaceful winter retreat or will you be
where staff in banks, hospitals,
counting down the months until life
restaurants and supermarkets will
perks up again? Bigger towns and cities
speak English. But off the beaten track,
will ensure a constant buzz all year
particularly inland, you may find
round. But is city life – which may
greater need to speak Greek.
mean culture, social life and hubbub,
The Greeks are a warm, welcoming
but also means traffic, noise and
and convivial bunch, so becoming
stifling summer heat – what you want
part of the local picture isn’t hard. But
in retirement?
islands such as Crete and Corfu have
numerous social clubs and activities
aimed specifically at the expatriate
community, from croquet clubs and
car boot sales to charity fund-raisers
and quiz nights.
Organisations include the
International Women’s Organisation of
Greece and The Cretan International
Community. On Rhodes, where 15%
of the population are foreign nationals,
there are running, swimming and
birdwatching clubs. Rambling groups
are also a popular way for expatriates
to get to know each other on islands
Rethymnon, Crete including Corfu and Crete.
greece 221
Accessibility Many of Greece’s smaller airports

are accessible by connecting domestic
There are 15 international airports in flights from Athens or Thessaloniki
Greece for international and domestic with Aegean, Olympic or Sky Express.
flights, including the main one, Athens’ Out of season, you may have to fly
Eleftherios Venizelos airport.Other key indirectly. It can also be the cheapest
regional airports include Thessaloniki, option at any time of year, though less
Corfu, Chania (Crete), Heraklion convenient.
(Crete), Kos, Mykonos, Rhodes, Thira The other way to travel in Greece,
(Santorini) and Zakynthos. and one that is familiar to generations
Major airports in Greece
Top ten things to do in Athens

1 Walk uphill to see the Acropolis 6 Taste the Greek traditional cuisine
in Gazi
2 Visit the Acropolis Museum
7 Drink in the view of Athens from
3 Shop around Monastiraki’s flea Lycabettus Hill
market
8 Enjoy the nightlife around Agia
4 Stroll around the narrow paved Eirini’s Square
streets of Plaka
9 Take a romantic stroll in the
5 Have your coffee in a traditional National Gardens of Athens
café at Karytsi Square
10 Visit the ancient Agora
Amphitheatre of Acropolis
greece 223
Top ten things to do on Corfu

1 Visit Pontikonisi Islet, Corfu’s 6 Visit the famous Canal D’amour
landmark between Sidari and Peroulades
2 Don’t miss the Easter Festivities in 7 Explore the Old Town of Corfu, a
Corfu town UNESCO World Heritage site
3 Taste sofrito, pastitsada and the 8 Visit Kavos village and experience
local kumquat liqueur the pulsating nightlife
4 Visit Achilleion palace surrounded 9 Enjoy Palaiokastritsa’s turquoise

by cypresses and myrtles waters and the idyllic coves
5 Enjoy an evening promenade at 10 Take a day trip to the nearby

Spianada Square islands of Paxoi and Antipaxoi
Palaiokastritsa
Top five golf courses in Greece

1 Costa Navarino (Dunes) Carras was renamed ‘Olive Grove’ and
In 2010, the Dunes course was the given a total makeover and extended to
inaugural signature 18-hole layout 18 holes by David Mathews in 2002.
to open in Greece, the first of several
courses intended to be constructed at 4 Crete
the spectacular new Costa Navarino Designed by Bob Hunt from PGA
resort. Design Consulting in the UK, the
course at Crete Golf Club was laid out
2 Costa Navarino (Bay) to USGA standard over quite difficult,
Situated six miles to the south of the rugged mountain terrain.
Dunes course, the Bay course at Costa
Navarino opened at the end of 2011, 5 Corfu
shortly after its sibling made its debut. The course at Corfu Golf Club blends
seamlessly into the picturesque Ropa
3 Porto Carras (Olive Grove) Valley and the cleverly designed
Originally designed by Geoff Cornish hazards make it a solid and fair test for
and Bill Robinson, the course at Porto both low- and high-handicap players.
©Constanvarino, flickr
©costanavarino.com
The Bay Course, Costa Navarino
greece 225
of gap year explorers and island-

hopping backpackers, is by ferry.
Greece’s ferries carry millions of
passengers a year and vessels include
high-speed catamarans, hydrofoils,
modern ferries and water taxis.
On land, buses are the main way
of getting around in Greece. They
are generally modern, safe and cheap.
Wildflowers
Major routes include Athens to
Thessaloniki, which takes 7.5 hours,
and Athens to Corfu takes 8.5 hours,
Climate
including the ferry crossing. Broadly, Greece sees hot, dry summers
Greek roads come with a health with temperatures reaching 40C or
warning; the country has among more, and winters that can become
the highest road accident and death cold and wet. Northern Greece can be
rates in Europe, mostly caused while very cold in winter and snow is not
overtaking. The roads are generally uncommon. Southern Greece and the
good quality, but many petrol stations islands see far milder winters, though
have closed down in small towns and it can also rain too. Corfu’s greenness is
rural areas due to economic difficulties. due to its warm but wet winters.
There is also a rail network in As 80% of mainland Greece is
Greece that links most of the country mountainous, you can also expect a
and some of the islands. It saw a major range of microclimates such as the
overhaul for the Olympics in Athens Alpine climate of the Pindus and
in 2004, but it is less extensive than Rhodope mountains.
Greece’s long distance bus network and There are also the local winds,
its trains are generally less comfortable known as meltemia that blow from
than buses. May to October, taking the edge off
sweltering peak summer temperatures
– but they can also disrupt ferry
services to the islands.
Many Greek properties are not built
to withstand very low temperatures
or excessive rain, so it is something to
consider when you are house-hunting
in areas that turn cold and wet in
winter. One British expatriate in Corfu
talks about the need to ‘winterise’
Ferry, Zakynthos
Top ten things to do on Crete

1 Hike the longest gorge in Europe, 6 Follow the wine routes of Crete
Samaria and taste its local varieties
2 Taste dakos, kaltsounia, myzithra 7 Explore the palm forest of Vai, the
cheese, while drinking tsikoudia largest natural palm forest in Europe
3 See the city of Rethymnon, one of 8 Take a romantic stroll at the

the best-preserved medieval towns in Venetian Harbour of Chania
Greece
9 Enjoy an evening walk or a family
4 Discover the Diktaean Cave and picnic at Lake Kournas
the Cave of Ideon Andron
10Visit the Minoan Palaces of
5 Visit the Archaeological Museum Knossos, Phaistos and Malia.
of Heraklion
Knossos
greece 227
your property to get through the cold began falling across Greece.
season. He compares Corfu winters to House prices have been falling
those in Scotland, so warm clothes and for many years now. The falls have
olive wood fires are essential slowed – most Greek cities saw a 5%
drop in house prices in 2015 – but the
Property medium-term forecast is for prices to
continue falling.
The market Compared with peak 2008, Greek
As Greece continues to teeter on the house prices have fallen by 40-45%,
verge of bankruptcy, its property and there are few overseas transactions
market is not expected to show any at present. “British buyers are waiting
signs of significant recovery any time to read the small print relating to the
soon. Like much of Europe, Greece Brexit outcome before they invest,”
saw a property boom in 2005/2006, in says Andrew Langton, chairman of
its case fuelled by the aftermath of the Aylesford International. Some land
Athens Olympics. Seafront properties deals are taking place on islands such as
rocketed in value, by as much as 40%. Corfu and Paxos, where you can buy a
Demand was high on the main holiday plot and build a large house for around
islands such as Crete and Corfu. But €500,000. But people buying the land
the crisis hit hard and in 2009 prices are in no rush to build.
Average property prices in Greece 2006 – 2016

120%
120
100%
100
80
80%
60
60%
40
40%
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Greek house prices have been falling for many years now.
20
0 www.retiringtoeurope.com
Renting in Greece Golden visa scheme

There has been little new-build To inject some life back into
property in Greece in the last few the property market, the Greek
years due to lack of funds, so it can government launched a Permanent
be difficult to find good quality Residence Permit scheme in 2013,
modern apartments. There are many offering non-EU citizens the most
apartments to rent, but they can often affordable way of buying residency and
be in a bad condition. access to the Schengen area through
Flats almost always come property investment in the eurozone.
unfurnished – and that also means For a minimum investment in
no oven, fridge or washing machine, Greek property of €250,000 per
as Greeks take their appliances with family, you can apply for a five-year
them when they move. Landlords are temporary resident visa which may be
less keen than they used to be to chip renewed. A more recent amendment to
in, too. The price of appliances has the law allows investors the legal right
fallen in the last five years, but they are to apply for citizenship. They may also
still likely to be more than you would bring their parents and spouse’s parents
expect to pay in the UK or elsewhere to live in Greece. The property can be
in Europe. sold to another foreign citizen, who
On top of your rent, you will need will acquire the residency permit along
to pay heating, electricity and water with the property.
bills. Check what sources of heating are Non-EU citizens can also apply for
actually in use. There may be radiators a Greek residency visa if they make a
in the apartment, but they may not ‘strategic investment’ in Greece or set
work because it is too expensive to fill up a business that employs ten people.
the tanks in apartment blocks, so you
will be reliant on expensive, plug-in The buying process
electric heaters. Once you have found a property to
buy, it is a legal requirement in Greece
to enlist a lawyer. You should choose
an English-speaking independent
lawyer who is in no way associated
with the estate agent or property
developer.
The lawyer will prepare the
preliminary sales agreement and
conduct searches on the property’s title,
ownership and to check there are no
debts or planning irregularities such as
Open-air living
greece 229
an illegal basement or swimming pool,

for which you as the new owner could
be fined. You will also need a public
notary to prepare the final deed, which
you and the vendor sign. Once the
remainder of the money is transferred
along with all fees – see below – the
property becomes yours.
For buying costs, allow 10% of the
purchase price to cover the property
tax, which was recently reduced to 3%,
notary and land registry fees (2%),
lawyer’s fees (1%) and estate agent’s fee
Blue vista
(2-2.5%). All fees also incur VAT at
23%. Be aware, though, that Greece’s For services such as dentists,
tax rates are constantly in flux. A opticians or seeing a consultant,
capital gains tax on property is due to there is a charge – though it is about
come into force. a third of the cost of similar private
You will also need a Greek tax consultations in the UK. When buying
number (AFM) and bank account to prescribed medicine from a pharmacy,
buy property in Greece. you are charged for the cost of the
drug, not a standard prescription fee.
Healthcare When retiring in Greece, you would
be well advised to take out a private
The wonders of the Mediterranean health policy. If you are likely to live
diet and lifestyle mean the Greeks on a smaller island, check what health
can expect a decent life expectancy – services are available and whether
thankfully, given the state of Greece’s private insurance covers inter-island
national health system, which is transfers.
desperately underfunded.
If you have paid your full quota of
National Insurance contributions in
Finance
the UK, you will be entitled to free Tax avoidance was so entrenched
treatment in Greece – although you in Greek culture that it is a major
will normally need to pay upfront and contributory factor in Greece’s current
claim back the cost. You will need debt crisis. The Greek authorities have
an S1 form from the International subsequently become far stricter on
Pension Centre in the UK to access taxes and the penalties can be severe if
state health services. you fail to adhere to the rules.
Tax on property ownership Greece is subject to gift tax. Immovable

Property owners in Greece must assets that are located abroad are not
pay the annual Uniform Tax on the subject to Greek inheritance tax.
Ownership of Real Estate Property
(ENFIA), which consists of a principal Donation Tax and
tax and a supplementary tax. This Parental Grant
includes any property that is inherited Tax on the transfer of assets while
or gifted. The rate of this tax depends the transferor is alive is calculated
on various factors, including the according to the current value of the
location, size, age and intended use of property. The tax applies to any kind
the property. This tax is under review of movable or immovable property
by the government, which is also located in Greece. As with inheritance
considering a real estate wealth tax. tax, the rate varies considerably and
depends on the relationship between
Real estate taxes the two parties. If you are gifted a
New-build property is subject to VAT Greek property, it will be subject to tax
at 23% under certain circumstances. at the same rate as estate tax.
An exception is the purchase of a
primary residence. Real estate transfer Foreign tax relief
tax is 3%. Income tax paid abroad is deductible
from Greek tax if:
Inheritance tax The taxpayer files a Greek tax return
Any property located in Greece, as a Greek tax resident, and
regardless of ownership, and any The taxpayer submits original
movable property that belongs to a supporting documentation (i.e. foreign
Greek citizen or any other person tax return), which must be translated
domiciled in Greece, is subject to into Greek.
inheritance tax. The deduction cannot exceed the
The tax rate can vary from 1%- proportion of income tax that would
40%, depending on the relationship be attributable had it been earned
between the deceased and the heir. As a in Greece.
general rule, the closer the relationship
– including spouse, children, VAT
grandchildren and parents – the lower Greece’s VAT rose from 23% to 24%
the tax. on 1 July 2016.
Any property in Greece and any
movable property located abroad and
donated by a Greek citizen or by a
foreigner to a person domiciled in
greece 231
Top ten things to do on Rhodes

1 Stroll along the streets on the 6See the medieval city of Rhodes, a
Island of the Knights UNESCO World Heritage site
2 Explore the Acropolis of Lindos 7 Visit the archaeological site of the

Acropolis of Ialyssos on Filerimos Hill
3 Taste Pitaroudia
8 Discover Prasonisi, a popular
4 Enjoy the serenity of the Valley of location for windsurfing and
the Butterflies kitesurfing
5 Walk around Mandraki and take a 9 Watch the sunset from the
snapshot of the deer statues at the port impressive Momolithos castle
entrance
10 Go on a daytrip to Tilos, Chalki
and Kastellorizo and enjoy beautiful
beaches with crystal clear waters.
Rhodes
Cost of living for fuel and certain basic goods.

Expatriates on Corfu mention
The cost of living in Greece has products such as food, toiletries and
changed out of all recognition from cleaning products being particularly
a decade ago and many expatriates pricey. Mobile phone deals are far more
there now comment that if you are limited and more expensive than in the
reasonably well-of, and retired, you UK and there is far less choice if you
can enjoy a good life. but if you move want to buy new clothes. But rents and
to Greece expecting a substantially utilities are cheaper than in the UK.
cheaper lifestyle, you may struggle. Overall, life in Athens is 51%
On the mainland, Athens’ northern cheaper than in London, according
and south-eastern suburbs are the most to Expatistan, with housing,
expensive areas. The priciest islands entertainment and transport seeing
are those that attract the most tourists the biggest price disparity, followed by
– Rhodes, Mykonos, Santorini, Corfu ‘personal care’ (everything from over-
and Crete – and the islands in general the-counter pharmaceutical items to
are more expensive than the mainland the cost of a haircut), food and clothes.
Hippocrates Square, Rhodes
greece 233
Moving there
Until the UK severs its links with the
EU, Britain is still a full member of the
European Union and British people
have the right to live, work and retire
in Greece like any other EU national.
That may change in coming years as
finer details of Britain’s exit from the
EU become clear.
For expatriates in Greece, it could
mean the loss of entitlement to state
healthcare, higher property taxes
or a change to pension rights. But
currently, nothing has changed and if
you are thinking of moving to Greece,
then the few years while the UK is still
in the EU is the time to do it.
Some non-EU nationals can stay
in Greece without a visa for up to 90
days. Non-EU nationals from other
countries cannot visit without a visa.
turkey 235
turkey
Overview
There are around 35,000 British
owners of property in Turkey
and the vast majority of them
have been drawn to the Turkish
Riviera, the 1,000km stretch
between Izmir on western Turkey’s
Aegean coast and Alanya on the
southern Mediterranean coast.
Eyup Sultan mosque, Istanbul
The Turkish Riviera takes in resorts Istanbul, in the far north of this
such as Marmaris, Didim, Bodrum enormous country, links Europe and
and Fethiye, all popular with British Asia with its mighty Bosphorus river.
expatriates seeking coastal homes for But that meeting of cultures exists
a fraction of what they would pay throughout Turkey.
in popular coastal areas of Spain or In recent years, Turkey has become
France. The Bodrum peninsula is an economic powerhouse, with great
equally popular with wealthy Turkish economic growth, booming tourism
buyers, particularly those from Istanbul and a growing young, middle class
wanting a holiday home away from the population who are becoming wealthy
city heat and noise. enough to invest in property.
In recent years, Turkey has also Turkey’s success has become
proven popular as an affordable holiday overshadowed in recent years, however,
home destination for Scandinavians, by the chaos on its doorstep in Syria
and Germans – and since 2012, when and Kurdish Iraq. A failed military
laws changed over who could buy coup in July 2016 also lead Turkey’s
property in Turkey, to Middle Eastern religious conservative president, Recep
buyers. Tayyip Erdogan, to take an increasingly
Its climate and landscapes have hardline Islamic stance and suppress
a similar appeal to those of nearby dissent and freedom of movement of
Greece and Cyprus, but Turkey’s blend certain segments of the population,
of eastern and western cultures give it a including academics, journalists and
character all of its own. civil servants.
turkey 237
Along with Syria and Iraq as with history, culture, Byzantine

immediate neighbours, Turkey shares and Ottoman architecture and the
its border with six other countries: great beauty of the Bosphorus. It’s
Iran, Armenia, the Azjerbaijani enclave the biggest city in Europe in both
of Nakhchivan, Georgia, Bulgaria and population and size terms, with some
Greece – giving it a strategically crucial 14 million people living in its 600
position between Europe and Asia. square miles (1,500 sq km), and
It is a democratic, secular republic, it’s one of the fastest growing city
a member of NATO and the UN and economies in the world. Add some
has been in negotiation to join the 12.5 million tourists visiting each year
EU for over a decade, though that is a and the traffic jams and noise can be
subject of great controversy. For those intense.
considering moving to Turkey, the One of Istanbul’s most attractive
capital city of Ankara, located in the districts is affluent Besiktas,
centre of the country, and Istanbul are which includes the residential
most likely to be of interest to those neighbourhoods of Bebek, Etiler,
with a family connection or work in Arnavutkoy, Ortakoy and Ulus.
the city. Wealthy residents, including many
Ankara, Turkey’s second largest foreigners, also gravitate to Nisantasi,
city, has modernised greatly in recent with high-end boutiques and the city’s
years, offering a vibrant nightlife and most expensive properties.
tourist attractions, and its universities But the majority of Britons
and colleges attract high numbers of looking to retire in Turkey prefer the
foreign students from the Middle East far more peaceful and westernised
and ex-Soviet republics. Mediterranean coast, particularly
Istanbul is a huge, energetic and coastal towns such as Fethiye or
fascinating city that brims over Bodrum, which have an affluent,
cosmopolitan feel and sizeable
expatriate communities.

Turkish life revolves around the family,
which means taking care of young
and elderly relatives, providing work
for cousins, nieces and nephews and
building houses to accommodate the
whole family.
Bosphorous bridge
The Turks also like to celebrate report discrimination in their day-to-

and their many festivals are reasons day life.
to invite hundreds of friends, family Understanding Turkish culture,
members and neighbours. Sometimes beliefs and practices will help you
the guest list can stretch into thousands to assimilate, but many expatriates
and foreign residents are often among prefer to live in villas or apartments
them. It is telling of Turkish hospitality on purpose-built compounds with
that expatriates are invited to take communal pools, tennis courts and
part in such events. “That’s the type of shops, rather than an apartment in a
people they are. They will include you traditionally Turkish neighbourhood –
in their celebrations as if you are part even though that will almost certainly
of their family. They are always willing be cheaper.
to help in any way possible,” says one
British expatriate in Turkey.
Turkey is mostly Islamic but
Language and
generally open to other cultures, immersion
religions and ways of life, particularly
There are about 90 million native
western Turkey. The adherence to
speakers of the Turkish language in
strict Muslim tradition is far stronger
Turkey and south-eastern Europe,
in eastern Turkey, but in the more
but it is fair to say that most British
cosmopolitan and international west
expatriates who settle on Turkey’s
– whose tourist resorts feel like many
Mediterranean coast get little further
other areas of the Mediterranean,
than the basics.
with a Turkish twist (e.g. in the food,
It is a difficult language to learn –
language and the call to prayer that
it most closely resembles Mongolian
rings out across the rooftops) – few
and Kazakh – but retired expatriates
Turkish women wear headscarves or
in Turkey comment on the need to
know at least some Turkish as even
on the Mediterranean coast, you will
encounter people in government
offices, banks and hospitals who do not
speak English.
©Andreas Lehner, flickr
The major cities have a variety of

expatriate associations for those in
search of social life, cultural activities
and mingling with like-minded
people. Istanbul has numerous groups
dedicated to different expatriate
Turkish wedding
turkey 239
Istanbul and the International Women’s

Association of Izmir (IWAI). There
are also online expatriate networks
including InterNations, Turkishliving.
com and Mymerhaba.com.
©Moyan Brenn, flickr

Accessibility
In such a vast country, flying from one
city to another is increasingly the way
Turkish street scene
to travel for many Turks, particularly
communities, including British, as domestic flight prices have dropped
French, German, Italian and American. in recent years. A flight from Izmir to
Societies for expatriate women include Istanbul takes one hour, compared to
the Facebook group Women of ten hours by bus.
Major airports in Turkey
Top five golf courses in Turkey

1 Lykia Links Australian golf legend Peter Thomson,
The Links course lies within the designed the course at Carya Golf
sprawling Lykia Estate in Turkey’s Club.
Antalya region and it’s yet another in
a line of fabulous 18-hole layouts to 4 Cornelia (Prince)
emerge from the Belek tourist area. According to Nick Faldo, Cornelia
is routed over “an exceptional piece
2 Antalya (PGA Sultan) of land” and who can argue? It’s an
Carved through a forest of eucalyptus instant hit with holes routed through
and pine, the PGA Sultan course is pines and across naturally sandy
one of Europe’s best new courses and ground.
it’s attached to one of Turkey’s finest
resorts. 5 Sueno (Pines)
The Pines course at Sueno Golf Club
3 Carya is an excellent addition to Turkey’s
Thomson Perrett & Lobb, the golf burgeoning portfolio of top-notch golf
course architecture company founded courses and it has elevated the Belek
by five-time Open Champion and region to a new level.
Lykia Links, Belek
turkey 241
Climate
Unsurprisingly for a country that
borders eight others, there is a huge
disparity in the climate from one region
of Turkey to the next. The coastal areas
on the Aegean and Mediterranean Seas
©leyla.a, flickr
have a typical Mediterranean climate of
hot, dry summers and mild to cool and
wet winters.
Dolmus and taxi
On the Black Sea, the climate is
The major carrier for domestic and oceanic, which means warm summers
international flights is Turkish Airlines. and cold, wet winters. The eastern
For short-haul routes within Turkey, part of Turkey’s Black Sea coast sees
there is also the low-cost Pegasus more rain than anywhere else in
Airlines and Atlasjet. All three carriers Turkey, throughout the entire year
service Turkey’s main airports: Istanbul – but this isn’t a region that tends to
Ataturk, Izmir’s Adnan Menderes and attract foreign residents. The coastal
Antalya airports. Many airlines from area bordering the Sea of Marmara
Europe and North America also fly to – which includes Istanbul – is a
Istanbul and other Turkish airports. mixture of Mediterranean and oceanic
An alternative for long-distance climates, and snow in Istanbul is not
travel within Turkey is its high-speed uncommon in winter.
trains, which are usually modern and
air-conditioned and operate on a
relatively new German-built network.
Property
The first high speed trains from While many European property
Istanbul to Ankara, a three hour 40 markets are still picking up the pieces
minute journey, launched in 2014. from the global crisis, Turkey has
For local travel, several cities have been one of Europe’s best performers,
metro systems, including Istanbul, with average prices rising by nearly
Izmir and Ankara. Otherwise, every 19% by Q2 2015, according to the
town and city has buses – or minibuses Central Bank of the Republic of
(dolmuses), which operate on set Turkey (CBRT). Istanbul saw the
routes. Their name means ‘stuffed’, greatest increases at 27.6%, Ankara’s
which gives you an idea of how house prices rose by 12.2% and Izmir,
well-used they are, but they are Turkey’s third largest city, by 15.9%.
cheap, reliable and the way to get Prices of new homes are also rising by
around locally. double digit rates.
Turkey’s economy also remains minutes away. For beach life, Bitez
strong, but the Turkish lira has is particularly attractive for full-time
been plummeting, weakened by the living.
country’s terrorist attacks and the
military coup. Buying property in Turkey
However, the ability to buy Law changes in May 2012 mean that
property in one of various currencies – more nationalities – including from
Turkish lira, euros and, in some cases, various countries in the Middle East
sterling – means many overseas buyers – can now buy freehold property in
can use the exchange rate to their Turkey. But restrictions still apply. The
advantage. buyer’s nationality must be that of a
For those favouring a more rural country with reciprocal rights to own
lifestyle, look at traditional villages property.
scattered around the peninsula such Foreigners cannot buy in specified
as Yalikavak, Gümüslük, Gündogan military zones, areas zoned as vital to
and Tor-ba (though they are quiet national security or anywhere owned
out of season) or towards Milas, 45 by the Forestry Commission. And
Average property prices in Turkey 2007 – 2015

160%
160%
140%
120%
100%
80%
2007 2008 2009 2010 2011 2012 2013 2014 2015
Law changes in 2012 mean that more nationalities can now buy freehold
property in Turkey.
2007 = 100. Source: Global Property Guide
turkey 243
Baby beach, Istanbul
foreigners can only buy in urban, or cost of this tax, so it can be open to
developed, areas and every property negotiation.
must come with a title deed (Tapu),
recorded at the Land Registry office. Legal fees: from around £500 (more if
Most foreign buyers seek modern, they are UK-based). Add up to £500 to
Mediterranean-style apartments, complete your purchase through power
townhouses or villas, typically on of attorney.
self-contained developments or a small
block close to a resort – whether off- Notary costs: from £200 (including
plan from a developer, newly built or a granting of power of attorney).
resale property.
Military approval fee: from £125.
Buying costs for Turkish
property Land registration fee: £125.
The costs associated with buying a
property in Turkey are: Utility transfer fees (if applicable):
from £150 per utility.
Property Purchase Tax (the equivalent
of UK Stamp Duty): 4% of the Estate agent’s fee for a resale
registered purchase price. It is usual property: 3% of purchase price.
for the buyer and vendor to share the
Best Turkish coastal resort towns

Kusadasi
A family resort with marina, built
around an ancient harbour town.
Plenty of beaches and historic sites
and property is cheap. Nearest airport:
Izmir, 60 minutes.
Altinkum (part of Didim

town)
Popular with British buyers, cheap
property family resort, with a new
marina and further infrastructure
improvements underway. Nearest
Bodrum
airport: Bodrum, 75 minutes.
Turkey’s Mediterranean – or
‘Turquoise coast’ – is where you will Marmaris
find plenty of accommodation,
A well-known package holiday
from good value apartments, to
destination at the lower end of the
desirable villas.
market, geared towards younger
tourists. Property buyers tend to head
Bodrum a few kilometres down the coast to
Içmeler, a small resort overlooked by
Located on the Aegean coast,
pine forests. Nearest airport: Dalaman,
Bodrum is the favourite of many
75 minutes.
expatriate residents, offering the ideal
combination. It is cosmopolitan and
westernised, has an all-year-round
lifestyle, a large expatriate community
and an international airport nearby.
It enjoys mild winters and is a place
where foreigners generally find it easy
to mix with the local population.
Bodrum town itself is one of
Turkey’s most upmarket resorts with a
smart marina and chic restaurants.
Marmaris
turkey 245
Fethiye
Attractive working harbour town,
famous for its fish market and sandy
beach at Calis. Close to various small
villages and resorts popular with
expatriates such as Hisarönü or rural
Uzumlu, and famous for the Blue
Kalkan
Lagoon beach at Ölüdeniz. Nearest
Kalkan airport: Dalaman, 40 minutes.
An upmarket resort set on hillside
Belek
around a stunning bay. Well-known
for its seafood, rooftop restaurants Turkey’s golfing centre, with several
and winding streets. Suited to higher championship courses and a sandy
budgets (relative to other Turkish beach. Cheaper than Kalkan. Nearest
resorts) and older buyers. Nearest airport: Antalya, 30 minutes.
airport: Dalaman, 90 minutes.
Side
Dalyan
A charming, low-rise resort with a
Small, friendly resort on a river estuary, village feel, built around some of
surrounded by protected natural Europe’s best-preserved Greco-Roman
scenery. Well placed for visiting other ruins. New promenade and long beach
resorts. Mid- to low-range property attract families and retirees. Mid-
prices. Nearest airports: Dalaman, 30 range property prices. Nearest airport:
minutes. Antalya, 40 minutes.
Side
Eight things to look out for when

buying Turkish property
1 Get a good, independent 5 Make sure your money and rights
English-speaking lawyer. The British are protected in any contract you
Consulate in Istanbul has a list that is sign and complete on the purchase
available online. by signing the contracts at the Land
Registry office. Many foreign buyers
2 Your lawyer must ensure the give power of attorney to their lawyer
property is free from all encumbrances to avoid having to be present in Turkey
(debts) and has all the necessary for the signing of contracts.
certificates (habitation licence and
Tapu (title deed)). 6 Foreign buyers must have military
approval to purchase a property. Your
3 Confirm the vendor has the right to lawyer – or possibly your estate agent
sell the property. – will apply for this for you. You will
need to send a copy of your passport
4 Buyers need a Turkish tax number, and details of the property to the local
issued by the local tax office (also Land Registry Office, who will deal
required to open a Turkish bank with the local military office. Approval
account). typically arrives within two months.
7 Your property must have

earthquake cover. A UK insurer will
charge around £300 a year for a villa
with £10,000 contents. Local insurers
may be cheaper.
8 Beware of the problems that some

foreign buyers succumb to, including
banks confiscating properties due
to the builder’s/owner’s bank debts;
properties sold to multiple clients;
unfinished property deed transactions;
fraud by international or local agents.
Take care when buying that idyllic villa
turkey 247
Healthcare covered under SGK.

You may also find state healthcare,
Any expatriates in Turkey aged under of the sort you require, is either of a
65 must have private health cover in low level, or not available at all in your
order to receive a Turkish residence local area, if you choose to live in a
permit. For those aged over 65, it is no more rural location. AXA PPP, who
longer mandatory. provide private healthcare policies in
If you are over 60, however, you Turkey and have developed a network
may find it difficult to get private of 40 hospitals there, say that outside
health cover. In which case, you the main towns and cities, facilities can
must either fund treatment by your be ‘basic and inadequate’. Coverage
own means or access Turkey’s state for a healthy 55-60 year old will be
healthcare by paying into its SGK from around £285 a year. With a
government health insurance scheme. private policy, you will get full support
It costs around £75 a month for a in English, choose your own level of
person in their 60s and will cover most coverage and face no waiting lists.
health problems including operations
and treatment in Turkish state hospitals
and clinics.
Finance
Some private hospitals accept SGK Turkish residents, which includes those
and you will pay towards the cost of with a legal permanent residence or
treatment at a heavily discount rate who live in Turkey for more than six
(typically 30-70%). There is no age months each year, are taxed on their
limit for joining SGK, but bear in worldwide income. Non-residents are
mind that English-speaking staff may taxed only on earnings and revenues
be in short supply at state hospitals derived from Turkey.
and pre-existing conditions may not be Other taxes to consider are
inheritance and gift tax at rates ranging
from 1% to 30%, paid over three years
in instalments. Turkish citizens are
subject to inheritance and gift tax on
worldwide assets received. Resident
foreigners are subject to inheritance
©Bengin Ahmad, flickr
and gift tax on worldwide assets

received from Turkish citizens and on
any assets located in Turkey.
All foreign property owners in
Turkey should also consider their
inheritance situation. Making a will in
Turkish tea
Turkey might be advisable as Turkish the UK or elsewhere in Europe. The

succession law is based upon forced ongoing costs that come with owning
heirship. a home are a prime example. Utilities
Buildings and land in Turkey are – water and electricity – are cheap, as is
also subject to real estate tax, based council tax.
on the building’s or land’s tax value Food shopping can be very
recorded at the Land Registry. The rate economical if you pay weekly visits to
is 0.2% or 0.1% for buildings used as local markets for fresh produce – far
residences. cheaper than buying in supermarkets.
Turkey has a double tax treaty with Not everything is cheap in Turkey,
the UK, so tax-resident individuals can however. Fuel and anything car-related
claim a credit for taxes paid in the UK – including MOT, insurance – is
on income derived outside Turkey and expensive. As a broad guide, the cost
subject to tax in Turkey. of living in Izmir is 62% cheaper than
London and 52% cheaper than Dubai,
Cost of living according to Expatistan. Housing
costs see the biggest price difference
Many elements of daily life in Turkey – around 79% cheaper in Turkey
are still notably cheaper than life in compared with the UK.
©Herry Lawford, flickr
Grand Bazaar, Istanbul
turkey 249
Moving there
Non-resident foreign nationals can
stay in Turkey for up to 90 days with
a simple tourist visa. Beyond that, you
need a residence permit, for which
you must have an appointment at the
appropriate police station within a
month of arriving in the country and
take your Tapu (title deed) and other
documents (including your tourist visa
and bank statement). You should be
able to collect your permit a week later.
Without your permit, you cannot clear
any personal goods, including cars,
from Turkish Customs.
Each permit lasts for up to five years
(your first application may be for two
years). All the information you need
regarding residence permits and visas
in Turkey is available in English on the
Turkish Ministry of Interior’s website
(goc.gov.tr).
croatia 251
croatia
Overview
Croatia is one of Europe’s youngest
countries, created when ethnic
conflicts in the Balkans between
1991 and 2001 saw the break-up
of the former Yugoslavia.
Motovun town
Within a decade after the Balkans of the continent, Croatia is perfectly

conflict, Croatia had come to the fore placed. It sits at the crossroads of
internationally for a more positive central Europe, south-east Europe
reason and that was when the beauty and the Mediterranean, bordered
of this newly independent republic by Hungary to the north-east,
began to attract overseas visitors and Montenegro to the south-east, Serbia
investors in search of a good value to the south-west and Slovenia to the
Mediterranean holiday home. north-west.
As emerging property markets in The draw for most foreigners is
central and eastern Europe began to its long Adriatic coastline, which
capitalise on the appetite of foreign runs from the Istrian peninsula
buyers for low-priced property to Dubrovnik and along to the
overseas, Croatia found a new Montenegrin border. Of huge appeal
following as an unspoilt, relaxed and to the sailing fraternity, the Croatian
safe destination with crystal clear sea, coast also encompasses more than
charming fishing villages and beautiful 1,000 islands, 48 of which are
stone buildings. It became known as inhabited. Among them are Brac,
the ‘new Tuscany’ – but the non-euro one of the largest, fashionable Hvar,
version, as despite being a member of routinely voted one of the world’s
the European Union, Croatia retains most beautiful islands by the likes of
its own currency, the kuna (HRK). Conde Nast Traveller and Forbes, and
For those who want a location in Korcula, which – like Hvar – is known
Europe within easy reach of the rest for its colourful festivals, centuries-old
croatia 253
wine-making traditions and landscapes of streets and buildings (it was home
of olive groves and quiet coves. to Croatia’s first university in the
Expatriate residents in Croatia are fourteenth century). It appeals to
generally scattered around the country expatriates as a small city that is less
rather than settling in purpose- touristy than Dubrovnik, with a café
built clusters in any particular area. culture and relaxed atmosphere. Alfred
They tend to come primarily for Hitchcock said in 1964, it had the
work, marriage to a Croatian or for “world’s most beautiful” sunsets.
retirement, and there are no self- Zagreb – population just under
contained expatriate communities 800,000 – sits 90 miles inland from
as such of the sort found on the the coast on the Sava river in the
Spanish or Portuguese coast. But the north-west of Croatia, but exudes
cities, naturally, will draw the biggest the laidback spirit of a beach town, a
expatriate populations because of their thriving café scene and many beautiful
work opportunities – notably the buildings. It is the seat of central
capital city of Zagreb and the other government and home to most of
major Croatian cities of Dubrovnik, Croatia’s administrative bodies, houses
Split and Zadar. the HQs of most of the country’s
Dubrovnik is one of the country’s biggest companies, media and scientific
key tourist destinations. Despite being
heavily shelled in the Yugoslav Wars,
its old town exudes immense elegance
and history, with its ancient walled
core a UNESCO World Heritage Site
that protrudes into the Adriatic Sea.
Dubrovnik airport is handily located
15km from the city centre. The 20km-
long Dubrovnik Riviera and its nearby
islands has a wonderful laidback style
of its own. Split is the largest city on
the Croatian Adriatic, first settled in
the third century and today loved
for its many summer cultural events,
its beautiful coastline (including
the nearby Trogir peninsula) and
reasonable property prices.
Zadar, which also sits on the coast,
is Croatia’s oldest inhabited city, has a
rich history, with its ancient network Vis island
institutions and is a major transport festivals celebrating its local produce,

hub at the centre of Croatia’s road, rail including olive oil, wine, truffles and
and air networks. Zagreb is known for prosciutto.
its high quality of living, rich cultural
offering, including museums, sporting
events and entertainment.
The Istrian peninsula includes the The elements that foreigners find so
popular resort towns of Porec and enchanting in many Mediterranean
Rovinj, which has been Croatia’s most cultures are the bedrock of Croatian
visited tourist destination since the life: family, food and festivals; the love
1970s. Among the best things about and celebration of outdoor living and
living in Istria, expatriates comment the ability to do it while overlooking
on being able to see the Alps on a clear landscapes of olive groves, vineyards
day, enjoying picnics on the beach and iridescent sea. But due to Croatia’s
from May to October and being within geography, the influences are subtly
an hour’s drive of two other countries different. Italy lies just across the
– Italy (a chance to stock up on cheap Adriatic, but Croatia is firmly rooted
sun-dried tomatoes and coffee) and in the Balkans.
Slovenia. Istria is also becoming known Many expatriates in Croatia
as a ‘foodie’ haven, with many food comment on the quirks and differences
Hvar
croatia 255
that can make an impact when you

are first there – and the vastly different
ways of life, mentality, dialects and
even cuisine that exist from one region
to the next.
“Dalmatia is unique – maddening
and infuriating if you come with a
Western mindset. I sum it up with
©Floschen, flickr
‘don’t try and change Dalmatia but
expect Dalmatia to change you’. If
you get used to the fact that you don’t
call people in the afternoon as they
Dolac market, Zagreb
are sleeping, you will thrive,” says Paul
Bradbury, who owns and runs the daily Australia comment on how non-
news portal Total Croatia News. materialistic Croatian society is in
He lives on Hvar island, whose comparison with their own countries.
many attractions, he says, include the Nothing goes to waste. Spending
fact that it’s “safe, safe, safe”. Bradbury time together with family and friends
also highlights the appeal of “the is considered more important than
natural environment, quality seasonal simply spending.
food, great climate, English spoken by
all and it’s totally non-commercial.”
The Croatians are said by many Language and
expatriates to be welcoming but it can
be hard to make good friendships –
immersion
something that requires earning their Croatia’s main language is Croatian,
trust and understanding the Croatian a Slavic language that can be hard to
way of life. learn for most Westerners, but if you
About 90% of the population crack it, you will also be understood in
is Catholic and religion is taken Serbia, Bosnia and Montenegro.
seriously, with many religious festivals English and German – and to a
throughout the year. But the way of lesser extent French, Czech, Hungarian
life is relaxed (morning coffee will take and Italian – are widely spoken in
an hour), family sits at the centre of Croatia, particularly in the tourist
everything and outside of the cities, regions and by the younger generation.
many families live off their land, at While you can survive in Croatia with
least partly, so food, olives and wine are no knowledge of the local language, it
essential to daily life and conversation. is appreciated if you learn at least some.
Expatriates from the UK, US and If you are seeking an expatriate
community, there are Facebook

groups such as Expats Meet Split,
Accessibility
Expats in Zadar and Expat Croatia. By air
Organisations that organise events for There are nine international airports
expat residents include The British in Croatia: Dubrovnik, Zagreb, Zadar,
Croatian Society, The International Split, Pula, Osijek, Rijeka (on the
Women’s Club Zagreb and island of Krk), Mali Losinj and Brac.
InterNations. Various low-cost airlines fly to Croatia
along with national airlines including
Major airports in Croatia
croatia 257
the domestic Croatia Airlines. Some

islands have international airports (see
Climate
above). Others will be reliant on ferry Most of Croatia has a moderately
services, which are less frequent out warm and rainy continental climate
of season, and island-hopping takes with average temperatures ranging
some careful planning. European from -3C in January to 18C in July.
Coastal Airlines operate Europe’s first The coldest areas are the
scheduled seaplane service between mountainous and densely forested
the major Croatian cities and islands area of Gorski Kotar, known as the
including Hvar and Korcula. From green lungs of Croatia – or Croatian
Hvar to Split takes 15 minutes by Switzerland.
seaplane. The seaplanes also run year- The warmest area is the Adriatic
round routes from Split to Ancona and coast, which enjoys a Mediterranean
Pescara on Italy’s Adriatic coast. climate, and the islands of Korčula and
If you are making Croatia your Hvar enjoy more sun than anywhere
home but intend to travel frequently, else in Croatia, with an average of
proximity to the international airports 2,700 hours of sunshine a year.
in Split, Dubrovnik or Zagreb will Zagreb has four distinct seasons,
be important. Beware of seasonality; with warm summers (daytime
Dalmatian airports see most traffic temperatures tend to settle around
between March and October, although 22C) and cold winters (average
Dubrovnik airport is set to become daytime temperatures are 1C) that
fully year-round. often see snow from December to
March and no discernible dry season.
By train
Croatia’s train network cannot compete
with the breadth or speed offered by
the likes of France or Spain, and you
can’t buy tickets online – but prices are
cheap. The central hub is Zagreb and
most routes span out to and from the
capital, with far less along the coast
and nothing to Dubrovnik, which
lacks a train station. As a guide, the
400km journey from Zagreb to Split
– one of the few coastal destinations
accessible by train – takes eight hours.
You can then link up with ferries to
the islands.
Plitvice lakes
Property
About the market
About 70,000 foreigners own property
in Croatia, with Germans by far
the most populous overseas buyers,
followed by Austrians and, some way
behind, Britons.
Istria sees the highest number of
foreign buyers, accounting for a third
Zadar coast, Velebit mountains, Dalmatia
of Croatia’s foreign-owned properties.
The other popular regions, in because most foreigners move there
descending order, are the coastal region either temporarily for work or to live
of Primorje-Gorski Kotar (26%), with a spouse and/or family. But for
Split-Dalmatia (12%), Zadar (8%) and those wanting the vibrancy of city life,
Dubrovnik-Neretva, which includes it is an attractive option. For rural life
Korčula island and the Pelješac within easy reach of cities, look at the
peninsula (6%). many attractive villages around Split or
Surprisingly, only 3% of foreign Zagreb or anywhere in Istria. For beach
buyers chose Zagreb City – perhaps life, it is hard to beat the Dalmatian
Average property prices in Croatia 2006 – 2016

120%
120
100%
100
80%
80
60%
60
40%
40 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
Demand for Croatian property came to an abrupt halt in 2008, but prices are
expected
20 to increase.
0
croatia 259
islands of Brac, Hvar, Solta or Korčula. trend a few years ago. Hvar will shortly
Croatia’s property market boomed see Europe’s first Four Seasons Resort
in 2004, along with many other and residences, called Brizenica Bay.
‘emerging’ markets in central and The Hyatt hotel chain is also set to open
Eastern Europe. Suddenly old stone a resort with 100 residences in Zadar.
ruins that were a financial burden Since 2009, EU nationals can buy
to their Croatian owners were being Croatian property without having to
snapped up by foreign buyers and do so through a company. And EU
coastal land prices rocketed overnight. citizens and property owners can now
The ensuing global financial crisis rent out properties in the same way
and eurozone crisis hit Croatia hard, that Croatian citizens can.
just as its fledgling property market
was starting to open up to foreign Where to look
buyers. Demand came to an abrupt If you are drawn to Croatia because
halt in 2008, followed by six years of of its resemblance to Italy – in the
falling prices and a depressed property food, the architecture, the way of
market. Prices are expected to increase, life – then Novigrad near the Italian/
due to new landmark projects coming Croatia border in northern Istria
on the market, according to Colliers might suit. The nearby inland towns
International. of Oprtalj and Livade are culinary
Zagreb is among the first areas to hotspots whose restaurants are in high
recover, particularly the high-end demand. Hilltop Motovun is famed
districts of Centar and Medveščak. On for its truffles and its film festival. The
the Adriatic Coast, there is growing Istria region also suits those who love
demand among international buyers the energetic outdoors life, whether its
for villas costing up to €500,000 in high-adrenaline sports or biking and
Dubrovnik, Istria, Split and on the hiking in the mountains.
islands of Hvar, Brac, Pag and Krk, Sea views will always command
according to Colliers International. a premium, particularly in popular
Demand is particularly strong among
Slovenians (who lack much coastline
of their own), followed by Germans,
Italians and Austrians.
The Croatian coast is decades
behind Spain and Portugal in building
branded/managed resorts to attract
foreign home-buyers, but Sun Gardens
Dubrovnik, a five-star resort 15km from
Dubrovnik’s old town, kick-started the
Rovinj harbour
Six things to look out for when

buying a Croatian property
1 Illegal properties: A big issue in
Croatia, where many properties were
built without planning permission.
Steps have recently been taken to
retrospectively legalise some 775,000
buildings, which has lead to a
huge backlog in granting planning
permission and usage permits.
Ika village, Opatija Riviera, Kvarner
2 Illegal estate agents: They often
trap buyers by advertising false prices 3 Title issues: Properties often have
or advertising properties with false dozens of owners and the registered
photos or without having any contact one may have died long ago, so prepare
with the owner. Make sure the estate for complications and get a good,
agent has a licence registration independent lawyer who has nothing
number and company registration to do with the estate agent or property
number and check that their registered developer.
address exists.
4 Registered use: This will be stated
on the building permit. You will also
need a rental licence if you intend to
rent out the property as a holiday let
and only properties listed as having
commercial use can get permission.
5 Land purchase: Only buy it if

planning permission has been granted.
Otherwise you are stepping into a
minefield.
6 Title deed and cadastral map;

These documents will show you if there
are any mortgages or charges on the
property and pinpoint the plot.
Icici village Opatija Riviera, Kvarner
croatia 261
Nearby areas that offer far greater

value for money include Mlini, Brgat
and Zupa. On the Pelješac peninsula,
which sits just under 100 miles from
Split and Dubrovnik, you can find
good value even right on the seafront.
The Croatian dream for many is
a traditional stone house on the
waterfront with a private mooring – it’s
quite possible to find one without it
necessarily costing a fortune.
The buying process

The paperwork involved in buying a
Croatian property can be a long and
confusing process, so always make
Dubrovnik, Plaza Luza Campanario de la cuidad
sure you deal with a reputable and
resorts such as Rovinj, which has licensed agent (who will charge a
a Venetian charm to its waterfront commission of around 2%), to avoid
architecture. Head a couple of unnecessary delays. They must also
miles inland and prices will drop check all documentation to ensure the
dramatically, or consider the cheaper property you are buying is legal. You
resort of Poreč. Other attractive coastal will also need an independent solicitor,
towns to consider on the Istrian who will charge about 1%, to draw
peninsula are Liznjan, Rabac and up contracts. Check if this is already
Opatija. included in the agent’s fee. In addition,
In Dalmatia, Dubrovnik’s old town there is a 5% property tax to pay and
has irresistible charm – particularly nominal fees for notary costs and
in summer, when its outdoor piazzas registering ownership.
host a wide range of cultural events.
But property prices are predictably Renting property
high – renovated houses can run into The supply of good quality rental
the millions – and properties rarely properties is limited outside of the
come on the market. You need only main cities, so Dubrovnik, Zagreb and
head a little further along the coast Split are likely to be the main locations
in either direction to find far better for your search. Owners of properties
value for money and a bigger selection in tourist areas will want to capitalise
of modern or old, village or country, on short lets in summer, which will
renovated or rundown. also reduce your search options.
Foreigners are likely to pay higher

rents than Croatians. It is advisable to
get a lawyer to check through the lease
to ensure you will be fully protected
under the laws governing rentals in
Croatia, should anything go wrong.
A typical long lease is for 12 months,
©Marco Klapper, flickr

with one month’s rent payable as
a deposit and up to three months’
payment in advance. Deal only with
reputable agencies who are based in the
location you want to live in and make
Dubrovnik shopping at night
sure you check their commission rates
before you see any properties your exclusive and continuous disposal
with them. for at least 183 days a year.
You will not pay tax on any
Healthcare pension received from abroad, interest
payments on loans, investments
As a member country of the European or capital gains from trading any
Union, Croatia offers free healthcare financial assets.
to citizens of any other member state Inheritance and gifts are also
(including, currently, the UK). Its normally exempt from taxation.
health system is generally good – on
a par with many European countries
– and every major city has a decent
Cost of living
hospital. Non-EU members who retire The cost of living in Croatia compares
in Croatia will need to buy private favourably with many other European
health insurance. Cigna quote €260- cities: 55% cheaper than London, 45%
€417 per month for private health cheaper than Paris, 23% cheaper than
insurance for a 65-year-old individual. Florence, 20% cheaper than Barcelona
and, outside of Europe, 45% cheaper
Finance than the UAE. It is even deemed to
be 10% cheaper than Lisbon, which is
Taxes in Croatia are relatively high, one of the cheapest European capitals
unless your income is from outside to live in.
the country, you become a tax resident
and/or you are retired.
If you own a home in Croatia, you
become a tax resident if the house is at
croatia 263
Moving there
Until the UK exits the European
Union, British citizens are entitled
to the same rights as any other EU
citizens in Croatia, and they do not
require a visa to live, work or retire
there.
Non-EU nationals must have a
visa in order to retire to Croatia. They
will also need a temporary residence
permit, for which they will need a
stated reason for wanting to live in
Croatia – whether that is family,
study, an investment or a property
rental or purchase.
Blevins Franks publishes expert
guides to key locations in
Europe, listed below. You can
obtain these guides by going to
RETIRING TO EUROPE
Europe remains a popular retirement destination for Britons.
But where best to retire in Europe? This book considers the
pros and cons of the popular options. It looks at climate,
lifestyle and culture, language, travel connections, the
affordability of property, access to healthcare and the tax and
other financial implications of residency in ten European
countries, including the UK.
Blevins Franks are the leading international tax and wealth
management advisers to UK nationals living in Europe, with
offices across France, Monaco, Spain, Portugal, Cyprus, Malta,
and the UK.
If you are living outside Europe, but are now contemplating
retiring to a jurisdiction within the European Union, or are
planning a return to the UK, we can help you make the most
of your wealth in the most tax-efficient way possible.
ISBN 978-1-9997347-0-1
Blevins Franks Financial
Management Limited
28 St James’s Square
London SW1Y 4JH
United Kingdom
9 781999 734701
www.retiringtoeurope.com £9.95

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Retiring to

A Guide to the Best Places

All information in this book is based on Blevins

British Library Cataloguing in Publication (CIP)

© Blevins Franks 2017

portugal 110 malta 168

united kingdom 144 cyprus 190

greece 214 croatia 250

turkey 234 Further

Many of us dream of retiring

Vineyards in Vosges, France

congregates around huge metropolises,

Brexit and a move to Europe

Vineyards in St Emilion, France

The UK’s decision to leave the UK and European politicians, where

confusion that arose after the wrapped up in the overall negotiations.

know and understand. healthcare, restrictions on property

Marsamxett Harbour and Valletta, Malta

If you can’t go a week without

grounds and communal facilities and possibly entirely different regional

meaningful conversation with your

part of it is a quick route to a permanent home abroad as to a

The French Alps

be left stranded if budget airlines

will need to have a clear idea of the

If you have been living in the

Eight financial questions to consider

Corinthia Marina Hotel, St Julian’s Bay, Malta

Lavender fields, France

changed so the rules and regulations interest to penalise British residents

Provencal country house, France

Location of Blevins Franks offices

Provencal town square

Ten beautiful French towns

in the tenth century, was substantially

8 Gaillac (Tarn, Midi-Pyrenees)

Alps (10,000), and upmarket Mégève.

A bitesize guide to the regions

Ten reasons to live in France

working life in France. What else is important to the

option is Filmon, a free TV streaming poor. House prices may be cheaper, if

Bouches du Rhone road

Toulouse and Marseille. England’s south coast – handy if you

Major airports in France

than western France and sees hotter

Average property prices in France 2006 – 2016

often desperate to off load properties

Live sport in France

Olympique Lyonnais (OL or Lyon)

Paris St. Germain (PSG) FC Girondins de Bordeaux

Rugby Union Cycling

grants an ongoing and automatic right

reimbursement for any doctor, dentist

Private health insurance

Are your investments tax Exit tax

case study: Retiring to France

Blevins Franks publishes expert guides to key locations in Europe,

Contact Blevins Franks in France

Location of Blevins Franks offices

Most expatriates enjoy a relaxed