Despite the recent focus on people leaving the UK, it remains an attractive destination at every stage of life. Moving here can have significant tax consequences, however, so planning before arrival is essential. Here are 10 key international tax tips for moving to the UK.
- Understand when you become UK tax resident
The key question is when UK tax residence begins. Residence is determined under the Statutory Residence Test, based on UK days, work, accommodation, and family ties. It is assessed separately for each tax year, from 06 April to 05 April. Your arrival date therefore matters: 01 March may produce a different result from 10 April.
Tip: Map your expected UK days, travel, and work arrangements before moving.
- Check whether split year treatment may apply
Although residence is normally assessed for the whole tax year, qualifying arrivals may split it into UK and overseas parts. This may apply when someone moves to the UK partway through the year to live or work, provided the statutory conditions are met.
Tip: Do not assume UK tax starts on landing; check the split year rules.
- Consider the four-year FIG regime
Effective 06 April 2025, the remittance basis was replaced by the Foreign Income and Gains (FIG) regime. Qualifying new residents may claim relief on eligible foreign income and gains for their first four UK-resident years. You may qualify if these follow at least 10 consecutive tax years of non-UK residence. The relief can be valuable, but it is not automatic.
Tip: After a long period abroad, check FIG eligibility before arriving.
- Separate clean capital from income and gains
Pre-arrival banking is often overlooked. Before becoming a UK resident, consider separating existing capital, income, and gains, especially across offshore accounts, investments, property income, or trust distributions. Clear records identify funds held before residence, and income or gains arising afterwards.
Tip: Avoid mixing historic capital, income, and gains in one account.
- Review investment portfolios before arrival
Review the UK tax treatment of shares, funds, bonds, private equity, crypto-assets, property, and other investments before residence begins. UK residents are generally taxed on worldwide income and gains, subject to reliefs such as FIG for qualifying newcomers. Restructuring, disposing of, or reorganising assets before arrival may help, alongside local advice in the country you leave.
Tip: Review unrealised gains before becoming UK resident.
- Think carefully about employment income and overseas duties
Employment income becomes complex when duties are performed in and outside the UK. Qualifying employees may claim Overseas Workday Relief. From 06 April 2025, it has been capped at the lower of GBP 300,000 or 30% of total employment income. This can benefit internationally mobile employees who continue working overseas.
Tip: Review contracts, payroll, workday tracking, and banking before the assignment starts.
- Plan carefully before buying a UK home
Buying a home before or after arrival can bring significant UK property tax costs, particularly Stamp Duty Land Tax. SDLT depends on residence status, other property ownership, and whether a company or trust buys. A 2% non-resident surcharge may apply in England and Northern Ireland, with higher rates for additional homes.
Tip: Obtain SDLT advice before exchanging contracts.
- Consider inheritance tax early
Effective 06 April 2025, UK inheritance tax became residence-based, increasing exposure for long-term residents. You may be a long-term resident after 10 consecutive UK-resident years, or 10 of the previous 20 tax years. This particularly affects people with overseas assets, family wealth, trusts, or investments.
Tip: Start inheritance tax planning early.
- Review trusts, companies and family structures
Internationally mobile families often have companies, trusts, foundations, nominee arrangements, or investment structures. Moving to the UK can change how these are taxed, reported, and managed – particularly offshore trusts, close companies, and family investment vehicles. For high-net-worth individuals, this is often a key task.
Tip: Review control, beneficiaries, assets, income, and gains across all offshore structures before arrival in the UK.
- Get the practical admin right
Planning depends on preparation. Before moving to the UK, individuals should consider:
- Residence and arrival date;
- Visa and immigration;
- UK and overseas bank accounts;
- Investment reporting;
- Property purchases;
- Payroll and contracts;
- School fees and family funding;
- Trust and company reporting;
- Estate planning and wills; and
- Departure-country tax advice.
Tip: Manage the move as a coordinated relocation project, not just a tax return exercise.