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Will Brexit provoke ‘travel tax’ for UK residents?

The EU Commission said the system of security checks is necessary to prevent terrorists entering the open-borders area, but UK Brexit critics warned it is further evidence of the hidden cost of quitting the Union.  Under the system, countries from outside the EU which do not require a full visa to travel to the bloc, will now pay a five Euro fee and must complete an online form.  The EU’s security commissioner has attempted to justify the charge by saying that it is an anti-terrorism measure.  What is not clear is what effect this will have on ex-pats travelling back and forth to the UK.

MPs have latched on to the potential charge as another hidden cost of Brexit and an example of how Brits could be disadvantaged compared to other EU residents.  Citing the move as a hidden tax and extra paperwork adding to the impact of the poor exchange rate on British travellers.  The proposals were to be discussed last Friday and the Home Secretary is seeking clarity on how Brits can continue to enjoy free and easy travel within the EU.

This appears to be another piece of evidence of the negative effect of leaving the EU for UK people in Spain. The adverse exchange rate prompted by the Brexit vote is still causing hardship amongst ex-pats coupled with the appalling returns on savings. 

This communication is for informational purposes only and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice from a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.

Other News

The ‘wheres’ and the whys of UK expats in Europe

As we hurtle towards the EU referendum and are being deluged with information about the whys and wherefores of Brexit or Bremain, Blacktower takes a look at what matters to us: the UK expats whose futures, whatever the outcome of the vote, are very much determined by the quality of their expat financial advice.

Just how many British expats are there in Europe?

Well, data published by the Office of National Statistics shows – although not completely reliably, we feel – that there are around 1.2 million British expats within the EU (some estimates put this figure as high as 2 million).

The vast majority of these live in tried, tested and sun-drenched destinations such as Spain and France. But before you start thinking that expats just move away purely in search of a sunnier climate, think again; the third most popular destination is Ireland (150 days of rainfall a year compared to the UK’s 133).

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How to Decode and Check a QROPS

Magnifying GlassAs an expat your pension choices can seem labyrinthine. You may have been a member of one scheme over your entire career or perhaps you have paid into several smaller workplace schemes across different countries. Knowing what to do can seem like an enigma.

There are several types of expat pension transfer available, but knowing whether a transfer is right for you will take some investigation (and almost certainly expert advice).

Here we take a look at QROPS: what is a QROPS, are they a good idea and are they a suitable retirement savings vehicle for you if you intend to move abroad or already have done so?

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