In these turbulent times for the UK economy, a growing number of financially comfortable people are looking for ways to protect their savings. And for many, starting a new life in Malta is a tempting solution.
‘We see more people moving from Britain than anywhere else,’ says estate agent Grahame Salt. ‘They like the Mediterranean lifestyle, the low crime rate, the fact that English is spoken here and, above all, the low taxes.’
Malta has also improved greatly as a destination in recent years, and nobody is better placed to appreciate this than journalist Marianne Jones, who was brought up on the island and recently returned there to see family.
‘The island bears no resemblance to the slightly sleepy rock of my youth, where I remember watching old ladies embroidering lace on their doorsteps while donkeys and carts passed by,’ says Jones, who now lives in London.
‘Malta today is a young, vibrant and crowded place but still historically astonishing. When I last visited Valletta almost every bar was packed out and there was live music in the streets.
‘Yet the Michelin star tasting menus and night life go hand in hand with ruins older than the pyramids, church bells and masterpieces.’
TAXES
Malta offers several programmes of taxation, which might initially appear confusing. But local estate agents are on hand to advise you on which to use.
If you have lived on Malta for five years and wish to make it your permanent home, the Long-Term Residence Permit is for you. This allows holders to enjoy nearly the same rights as Maltese citizens, including access to employment, education and public services.
Malta today is a young, vibrant and crowded place but still historically astonishing
To apply for this form of residence, you must demonstrate stable financial income to support yourself and your dependents, as well as comprehensive health insurance and suitable accommodation.
Alternatively, non-EU nationals (including UK citizens) can apply for permanent residency under the Malta Permanent Residency Programme. To do so, you must have assets of at least €500,000 (£429,000) – with at least €150,000 (£129,000) in financial investments – or assets of €650,000 (£558,000), with at least €75,000 (£64,000) in financial investments. You will also need comprehensive health insurance covering you and your dependents.
Long-term residents in Malta pay a progressive tax rate of up to 35 per cent on the highest income brackets – 10 per cent below Britain’s top rate.
There is no wealth, inheritance or annual property tax, which further benefits incomers. However, there is 5 per cent stamp duty on property purchases and potential capital gains tax for property sales.
If you retire to Malta, then you will need the Malta Retirement Programme. To qualify for this status, you must own or rent a property in Malta. The property should be worth €275,000 (£236,721), or €220,000 (£189,145) in South Malta. For those renting, the minimum annual rent should be €9,600 (£8,254) or €8,750 (£7,522) in South Malta.
Applicants must reside in Malta for at least 90 days a year and should have a pension that constitutes 75 per cent of their total income. Health insurance is also required. The programme also permits holders to include dependents, providing they share the principal residence.
Retirees in Malta are subject to a generous flat tax rate of 15 per cent on foreign income, with local income taxed at 35 per cent.
EMPLOYMENT
English is now an official language in Malta, making setting up a business straightforward. Compared to other European countries, such as Germany or France, the company registration process is also incredibly efficient, taking between 1-2 weeks.
It is also an affordable place to start a business: for private limited companies, a share capital of only €1,165 (£977) is needed, with only 20 per cent of this required up front. This is a particularly attractive prospect for small to medium businesses, especially when combined with low corporate tax rates (between 5 and 7 per cent).
Malta is a heady mix of influences, explained by the fact it has been ruled by Phoenicians, Greeks, Carthaginians, Romans, Byzantines and Arabs
Malta has also improved greatly as a destination in recent years, and nobody is better placed to appreciate this than journalist Marianne Jones, pictured, who was brought up on the island and recently returned there to see family
There are several employment options available for expats in Malta. The country is now a major hub for IT and software firms, attracting British expats with skills in software development, data analysis and customer support. There is also a steady demand for accountants, auditors and other financial professionals, due to the many international firms operating in Malta’s robust financial sector.
English language teaching is another significant employment area available in Malta, as the country is a popular destination for students learning English.
EDUCATION
The education system is well regarded and, importantly, young people have the choice of following either the British or the United States curriculum.
Top English-speaking schools include Verdala International School, St. Edward’s College, QSI International School of Malta and St Martin’s College. Annual fees range from €3,700 (£3,105) to €10,800 (£9,285), depending on the school and the child’s age. Many have waiting lists, so early application is advised.
STREET LIFE
Malta is a heady mix of influences, explained by the fact it has been ruled by Phoenicians, Greeks, Carthaginians, Romans, Byzantines and Arabs. Examples of earlier influences include the Fortifications of Mdina and Valletta’s grand palaces, open squares and quaint labyrinthine alleys.
The British ruled Malta as a dominion for 165 years until it joined the Commonwealth in 1964. Today the British influences include driving on the left and English being an official language, something which helps the property-buying process if you are an expat.
With shops such as Marks & Spencer and Zara to choose from, the high street experience is similar to that of the UK.
MUST SEE
Even if you are not religious you must visit the churches. There are 350 of them on this tiny island, including the capital’s baroque St John’s Co-Cathedral which houses two Caravaggio masterpieces. Blending anonymously into the surrounding architecture, some say it is the most awe-inspiring church in the world.
COST OF LIVING
In general, the cost of living in Malta is lower than the UK, with monthly spending estimated at £2,571 for a family of four, as opposed to £3,907.
You’ll also pay about 22 per cent less for rent, as the price per square metre for a city centre apartment is almost 40 per cent lower than in London.
PROPERTY
A new report reveals that property prices in Malta have increased by 125 per cent over the past decade. Apartments comprise 50 per cent of the islands 297,000 homes.
On your drive from the airport, you may be less than impressed with the first sight of Maltese property: box-like housing scarred by satellite dishes.
It is only when you get to the capital of Valletta, around which most people live, with its mixture of baroque and Renaissance palaces that you begin to appreciate Malta’s architectural splendour.
Malta has attracted tourists over the years from many different countries
‘The thing that most Brits like is that everybody integrates so happily,’ says Grahame Salt. ‘In many countries, such as Spain, you find incomers forming together in their own communities, making little attempt to mix. That doesn’t happen here.’
As the most densely populated country in the EU, space is at a premium in Malta. However, apartment developments, such as Tigne Point, have recently been built along the harbour.
Overlooking the Grand Harbour at Sliema, the complex is a contemporary take on traditional Arabian street design, featuring flat roofed homes built around a marble piazza and shopping centre.
There is a restaurant adjacent to a sea-water infinity pool and the views across the bay to Valletta are to die for.
For those in need of extra space, inland villages such as Gharghur, Naxxar or Lija may be more suitable.
There is a charm to their squares and street markets. Winding streets often lead to tall, anonymous-looking buildings. Behind these front doors are some of the island’s most impressive homes. They are the palazzos with their inner courtyards and wells – a hangover from the 16th Century, when every home had to be capable of withstanding attack and siege.
As you stand in the cool of one of these courtyards, you’ll understand why Marianne Jones says, ‘I still love Malta more than anywhere in the world.’
‘I have no intention of leaving any time soon’
Mags Whitehead rented a property and had her Maltese ID sorted ‘within two weeks of moving’
Born and raised in Wigan, Mags Whitehead, 54, moved to Malta with her partner Nige in February 2019, inspired by the country’s proximity to the UK, the lack of language barrier – ‘basically everyone in Malta speaks English’, she says – and improved weather.
Mags rented a property and had her Maltese ID sorted ‘within two weeks of moving’, and the EU Residency Permit she was initially granted has now been extended to a ten-year Residency Permit. While Brexit may have complicated the emigration process in recent years, she notes that this has not put people off coming to Malta, saying: ‘If anything, more people are coming over – especially Brits.’
Today, she runs her own business, Birgu Candlelight Company, in Three Cities, which she found ‘very easy’ to set up. She lives in Birgu, a very ‘authentic Maltese’ area of the country.
Mags found integration into Maltese society seamless. ‘Basically every nationality you could think of lives in Malta, so I have friends who are Maltese, French, Spanish, Italian, German and South African.’
With a ten-year lease on her shop, she has ‘no intention of leaving anytime soon’, even declaring that she ‘will never return to the UK’.
This article was originally published by a www.dailymail.co.uk . Read the Original article here. .