US Expats Seek Property in the UK
The expat press reports this month that US expats are considering moves to the UK in an effort to avoid the Trump regime. Expat Focus has spoken to a number of American expats who have recently attained British citizenship; many report feeling relieved no longer to be living in Trump’s America. Property experts Hamptons note that, prior to Brexit, the UK property market was dominated by French buyers. Post-Leave, however, investment has shifted, with buyers now coming from the UAE, Canada, and the USA.
Over 50% of international buyers are seeking property in London, with Liverpool the most popular destination in the north. Hamptons says the majority of buyers are looking for permanent residences rather than holiday homes.
Stamp duty and changes to non-dom legislation have slowed activity to some extent, but Savills points out that price drops in desirable parts of London have helped to offset this. Properties in Knightsbridge and Belgravia are now around 20% cheaper than they were a decade ago.
British Expats Are the Subject of ‘Robbery,’ Says Spanish Tax Expert
Ignacio Ruiz-Jarabo, former head of the Spanish tax authority AEAT (which he led from 1998 to 2001), says the organisation has become influenced by what he described as a “radical left” ideology targeting British expats. Speaking to The Daily Telegraph this month, he said the tax authorities have taken a particular interest in high earners. While there isn’t a specific focus on foreigners, he explained, there is an emphasis on wealthy individuals and business people because they tend to hold more assets. He noted that many people who had previously been certified as non-residents later received tax inspections denying their expatriate status. This, he told The Telegraph, “is robbery to expatriates that have been unfortunate enough to be on the receiving end of these inspections.”
Some high earners, Ruiz-Jarabo claimed, had their accounts audited regardless of their tax status under the so-called “Beckham Law,” creating what he described as a “fiscal hell” for expats. As we have previously reported, the Spanish tax authorities operate under a bonus scheme that incentivises officials to collect large sums in tax. While this is arguably just part of the job, The Telegraph suggests it has encouraged arbitrary investigations and confiscations.
Ruiz-Jarabo told the press that the forthcoming 100% property tax on non-EU nationals is also problematic:
“It is a completely unfair system…. It is an aggression against the freedom of movement of capital, it goes against the values of the European Union to put this type of barrier against the movement of capital. It is telling investors this is not a safe place to invest. It can only be understood from a radical Left ideology that those with money to invest should be seen as suspicious. It does not bode well for Spain’s economy if it is implemented.”
The new move is due to be subject to a vote in the later part of this year.
In addition, the Spanish Socialist Workers’ Party is seeking to impose a VAT hike on stays of less than 30 days — considerably higher than the rate currently charged by hotels. All of this appears to be part of a broader clampdown on tourism (and some of the issues it admittedly brings), which has also seen holiday lets capped or, in some areas, slated for a full ban.
“Act Now” British Expats Warned
Financial experts are warning British expats in Portugal to “act now” ahead of likely tax squeezes in the autumn budget. Jake McLaughlin, Executive Director of deVere Portugal, told the press in June that his firm is seeing a rise in expats looking to address their exposure to potential tax hikes in Chancellor Reeves’ upcoming budget. He says Brits living in Portugal — and presumably elsewhere — should take steps now to prepare for any headwinds.
“These are professionals, retirees, and entrepreneurs who already live in Portugal or are seriously considering it. Many are worried about what’s coming and don’t want to wait until it’s too late to act.”
There is still time, he says, to make the most of the Non-Habitual Residency scheme if you’re already enrolled in it (as it is now closed to new applications). Reviewing your pension options and exploring how to establish Portugal as your tax base are worthwhile steps to take now, rather than waiting to see what the budget delivers. Tax changes can be introduced with immediate effect, potentially leaving you exposed with little time to adjust.
McLaughlin warns:
“People are getting the message — ambition is being penalised and success taxed more heavily. That’s pushing more people to think seriously about leaving the UK behind, financially speaking. It’s not just about tax. It’s about predictability. People want to know what to expect in five or ten years. Right now, the UK doesn’t offer that clarity.”
Saudi Overhauls Property Legislation for Expats
The Saudi Arabian financial authorities have been opening up the options for expats to purchase property in particular zones. Riyadh and Jeddah are among those areas, with Makkah and Madinah also opening up subject to ‘special requirements.’ The proposal follows initiatives elsewhere in the Gulf States, with Dubai and Abu Dhabi, among other places, opening up to overseas investors in the property market.
The new proposal aims to encourage expat investment in the country, encouraging a ‘sense of belonging’ through home ownership, and expanding regional banking businesses. Companies who want to purchase villas or apartments in which to house their incoming personnel may also benefit from the scheme, which if implemented will come into force from January 2026. All of this is part of Vision 2030, and part of this goal is to increase Saudi land values and GDP. So if you are resident in the region, or intending to take up a post in Saudi Arabia, this might be an initiative that is worth checking out.