Moving to Portugal after Brexit
Belion Partners track record and experience over the last years puts us in a privileged position to assist British citizens in their relocation process to Portugal after Brexit.
Belion Partners team of experienced consultants and accountants is committed in assisting you and your family with all the needs you may require in Portugal, from tax to immigration and property issues. Our team is ready to work for you.
Portugal and Brexit
There are around 20,000 British citizens living in Portugal and the number has been gradually increasing on account of Brexit. Among others, the following 5 factors contribute to the increasing popularity of Portugal as a second home to UK nationals (as well as for people moving to Portugal from UK permanently):
01 A mere 2-hour flight from the UK and high-quality living conditions.
02 A 10-year tax break on most foreign-sourced income, including dividend, interest, rental and pension income, as well as real estate capital gains, under the so-called Non-Habitual Resident (NHR) tax status, which is granted to new residents.
03 The widespread use of English as a second language, which is allegedly spoken by around 50% of the population.
04 Western Europe’s lowest cost of living.
05 The eligibility to Portuguese citizenship (and dual nationality) after a mere 5 years of being a resident, provided a language test of basic Portuguese is passed.
Without an official residence permit, as a ‘third country’ visitor post-Brexit, UK nationals can now only spend up to 90 days in any 180-day period without a visa. This applies even if you own a property in Portugal.
This 90-day limit is valid across the EU (within the Schengen zone). Once you have used up your permit, you will not be allowed to enter another Schengen country without a visa until you have spent enough time outside the area.
Moving to Portugal after Brexit
Things are a little more complicated now, but the good news is that there are several residencies permits available to British citizens moving to Portugal after Brexit. Portugal wants to encourage immigration and has designed its residency program system accordingly.
The pathway you choose will depend on your personal circumstances and financial means. To work or study, or for business travel, UK citizens will need to meet the entry requirements set out by Portugal, meaning you will need to apply for a visa or resident permit.
Portugal’s Golden Visa programme is Europe’s most successful residency-by-investment programme targeted at non-EU citizens, one of the reasons for this being the low stay requirements (14 days, consecutive or non-consecutive, for each 2-year period). However, for those who intend to actually move to Portugal and live in this country, there may be more efficient and cost-effective solutions.
The D7 Visa constitutes a good alternative to the Golden Visa: no investment is required, the application processing is faster, and the Government fees are significantly lower (for a family of 3, the savings in Government fees will be around €30,000.00).
If you want to establish your own business in Portugal or bring your existing company into the country, the D2 Visa might be a good option for you. Also known as the Immigrant
Entrepreneur Visa, it was created for providing residence authorization to foreigners (non-EU/EEA/Swiss) who have invested or want to make an investment operation.
The Portugal Start-up Visa is another captivating option, which focus on entrepreneurs from outside the European Union, both those already owning or considering launching a start-up but aiming to set it up and grow it in Portugal.
Portugal offers many options for those who are interested in obtaining residency. As you can read above, there are alternatives for people planning to work, to live with passive or regular income, to invest, to study or to start a business… the options are endless.
Another advantage of moving to Portugal after Brexit is Portugal’s non-habitual residency scheme (NHR). For 10 years, having NHR status can give you access to preferential tax treatment on most types of foreign regular or passive income. You can qualify for NHR regime if you are a new Portugal tax resident and if you haven’t been in Portugal in the previous 5 years.