Top Tips:  Moving to the UK

1. Seek professional advice early

The UK tax year runs from 6 April to 5 April the following year.  Ideally, advice should be taken at least a tax year in advance of moving, so that any pre-arrival planning can be put in place. 

Advice should be taken in both the UK and the jurisdiction where you’re moving from and should cover (at least) both immigration and tax. 

2. Immigration: Visas, Settlement & Citizenship

You may need a visa to live and work in the UK.  There are multiple different visa options and it’s important to make sure that the visa you apply for is the right one for you.  Some of the key UK visa categories that you may want to consider are:

• ancestry
• business
• family
• innovation
• talent
• work

If you come to the UK with the intention of gaining permanent residence (Indefinite Leave to Remain or Settled Status), British citizenship and/or a British passport, you may need to plan for this from the outset to ensure that you meet the residence requirements. 

3. Residence

The UK has a statutory residence test to determine whether an individual is UK tax resident in a particular tax year.   

You will need to understand precisely from when you will be treated as UK tax resident and whether you will cease to be treated as tax resident in the country you are moving from before you move to the UK. If you become tax resident in two different jurisdictions at the same time, you will need to understand whether there is a double tax treaty that may assist with preventing double taxation.

The statutory residence test is made up of multiple sub-tests.  Under these tests, residence is determined based on a number of factors, including how many days you spend in the UK and how many days you spend in other countries in a tax year, where you own properties and how long you spend in each property in a tax year, where you undertake work and where your family are living.  The tests can sometimes produce unexpected results so it’s important to take advice based on your specific circumstances.

4. Tax: income and gains

Until April 2025, the UK had an advantageous tax regime for those who were not domiciled in the UK.  This regime was abolished with effect from 6 April 2025 and a new regime implemented which uses residence as the connecting factor to the UK.

If you have not been UK resident in the 10 tax years prior to your arrival in the UK, you can access the new foreign income and gains regime (often referred to as the “FIG” regime).  Under this regime, your non-UK income and gains will not be subject to UK tax in your first four years of UK residence.  The regime must be claimed, and details of your worldwide income and gains must still be reported on your UK tax return.

Income earned and gains realised on UK assets will be subject to UK tax. 

After four years of UK tax residence, you will be subject to UK income tax and capital gains tax on your worldwide income and gains. In addition, if you have created trusts, and in some cases if you have funded non-UK companies, you may be taxable on income and gains arising in those structures

5. Tax: inheritance tax

The UK has an inheritance tax regime, which charges assets on death at a rate of 40% and can also apply to certain lifetime transactions. 

UK situated assets are always within the scope of UK inheritance tax, regardless of where the owner is resident. 

Where an individual has been UK resident for fewer than 10 out of the last 20 tax years, only their UK assets will be within scope of inheritance tax. 

Once an individual has been UK resident for at least 10 out of the last 20 tax years, their assets outside of the UK will also come within scope of UK inheritance.  In addition, any trusts that they have created will also come within the scope of UK inheritance tax.

6. Buying a property

Buying a property in the UK can be a lengthy process and you may need to consider moving into a rental property initially.

Stamp duty land tax is charged on the acquisition of real estate and rates can be up to 19% in some cases.  In addition, UK real estate will always be within scope of UK inheritance tax.  You will also need to pay local council tax and, with effect from April 2028, there will be an additional yearly “mansion tax” on properties worth over £2m.

7. Reviewing existing structures

If you are a director of a company, trustee of a trust, or sit on the board of a foundation, you should carefully review your position, to ensure that you do not accidently bring that company/trust/foundation within scope of UK tax.

In addition, if you are the settlor or beneficiary of a trust, a shareholder in a private company, or the founder of a foundation, you may have UK tax liabilities in relation to the income and gains of those structures. 

All entities with which you are connected should be carefully reviewed to determine any UK tax exposure. 

8. Wills and succession planning

To ensure that your assets are inherited in line with your wishes, you should carefully review your Wills on moving to the UK.  It’s likely to be sensible to put in place an English law Will to govern succession to your real estate in England and Wales and care needs to be taken that this Will does not contradict or revoke any other Wills that you may have around the world.

9. Pre- and post- nuptial agreements

The UK does not have a marital property regime.  Instead, our courts have very wide discretion in relation to the allocation of assets on the dissolution of a marriage or civil partnership.  Whilst nuptial agreements are not legally binding in the UK, provided certain safeguards are met, they are likely to be upheld.  If you are married or in a civil partnership and moving to the UK, you should seek advice to have any existing nuptial agreements reviewed and if necessary, new agreements put in place.

Conclusion

There are undoubtedly other matters to consider in addition to the legal and tax considerations outlined above, including banking arrangements, school selection for those moving with school-age children, arrangements for transportation of pets, access to healthcare, insurance, mobile phone contracts, checking if your driving licence is valid in the UK and last, but not least, the practicalities of moving!  

As you plan your move to the UK, taking early, informed advice can make the process smoother and help you avoid unexpected challenges. At Burges Salmon, our expert team provides clear, tailored guidance across all the legal and tax issues that can arise when relocating. If you would like to discuss your circumstances or need support navigating any aspect of the move, please get in touch with our team — we’re here to help.