The impact of Brexit for UK nationals considering moving to Switzerland


Ihr Kontakt


One of the consequences of Brexit is that the bilateral Agreement on the Free Movements of Persons between Switzerland and the EU no longer applies to the UK as from 1st January 2021. UK nationals are as a result no longer regarded as EU/EFTA nationals but as “third-country” citizens, who are subject to stricter admission requirements for residence purposes in Switzerland.

A more careful preparation in before moving to Switzerland is hence strongly recommended since the conditions are now more stringent for UK nationals.

A bilateral agreement signed between Switzerland and the UK, the UK-SWISS Citizens’ Rights Agreement, protects rights acquired before the 31 December 2020. UK nationals legally residing or working in Switzerland at this date are accordingly covered by this Agreement and their rights are protected as long as they remain Swiss residents.

If a UK national engages in a gainful employment in Switzerland as from 1 January 2021 and will accordingly be an “ordinary” taxpayer, he/she will need to apply for a residence and/or work permit when moving to Switzerland as “third-country” national. He/she no longer has an unconditional right to be a Swiss resident but has to apply for a Swiss residence permit, subject to a number of strict conditions.

In this context, the Swiss authorities will analyse whether it is in the general economic interest of the country to grant the permit, considering the current state of the economy and the labour market. For example, an authorisation will be granted if it is difficult or impossible to find a Swiss or a European worker with equivalent professional/technical qualifications or with the same skills and knowledge. Also, quotas are applied and only 3,500 UK nationals will be granted working permits in Switzerland in 2021.

By way of exception, posted UK employees in Switzerland (workers sent by UK companies for short-term mission) for less than 90 days per calendar year are still treated as Europeans. They will be benefiting from the bilateral Service Mobility Agreement, which will be into force at least until 31 December 2022.

Finally, Brexit also impacts retired British nationals who wish to settle in Switzerland: they will be admitted only if they are more than 55 years old, have sufficient financial means to largely cover their life costs and have strong and specific ties with the country.

Candidates to the lump-sum taxation regime (so-called “forfait”) will still be accepted, albeit with much higher financial conditions. The minimum forfait (i.e. the minimum deemed income on which the forfait taxpayer is taxed) has increased to a minimum bracket of CHF 750,000 to CHF 1,000,000 (depending on the canton granting the forfait), with a minimum yearly tax burden of – very roughly said – CHF 290,000.

All in all, the situation of UK nationals willing to settle in Switzerland can be summarised as follows:


Artikel teilen



Highlights

MLL Meyerlustenberger Lachenal Froriep

MLL is a leading law firm in Switzerland with offices in Zurich, Geneva, Zug , Lausanne, London and Madrid. We specialise in representing and advising clients at the intersection of high tech, IP rich and regulated industries.

MLL ist eine der führende Anwaltskanzleien in der Schweiz mit Büros in Zürich, Genf, Zug , Lausanne, London und Madrid. Wir sind auf die Vertretung und Beratung von Mandanten an der Schnittstelle von High-Tech-, IP-reichen und regulierten Industrien spezialisiert.

MLL est une étude d’avocats de premier plan en Suisse avec des bureaux à Zurich, Genève, Zoug, Lausanne, Londres et Madrid. Nous sommes spécialisés dans la représentation et le conseil de clients à l’intersection des industries de haute technologie, riches en propriété intellectuelle et réglementées.

MLL Meyerlustenberger Lachenal Froriep>>

COVID-19

Read all our legal updates on the impact of COVID-19 for businesses.

Lesen Sie alle unsere rechtlichen Updates zu den Auswirkungen von COVID-19 für Unternehmen.

Lisez toutes nos mises à jour juridiques sur l’impact de COVID-19 pour les entreprises.

COVID-19 Information

Newsletter

MLL-News 02/21 mit Beiträgen zu Standardvertragsklauseln, Geoblocking, XBorder u.v.m.!

Zugang MLL-News 02/21

Jetzt anmelden!

Events

Jetzt anmelden! XBorder21 am 25. August 2021 – Trends im nationalen und internationalen E-Commerce

Die jährliche Veranstaltungsreihe XBorder21 findet am 25. August 2021 statt, dieses Jahr wieder als Präsenzveranstaltung im Moods, Schiffbau Zürich. Wir freuen uns sehr darauf, unseren Gästen wieder eine spannende physische Veranstaltung mit einem vielseitigen Tagungsprogramm und Gelegenheiten zum persönlichen Networken bieten zu können. Wie gewohnt bieten wir Ihnen ein umfassendes Programm zu allen rechtlichen Aspekten des nationalen und internationalen Online-Handels. Dabei werden wir den Tag in eine Reihe von thematisch fokussierten Vortragsblöcken aufteilen. Für jeden dieser Blöcke können Sie sich auf den gewohnten Mix von Inputs aus der Praxis und rechtlichen Tipps aus unserer Beratungspraxis freuen. Gleichzeitig erhalten Sie ausführlich Gelegenheit, den jeweiligen Experten live Fragen zu stellen.

Mehr erfahren!

Publications

Click here for our latest publications

Hier geht’s zu unseren neuesten Publikationen

Cliquez ici pour nos dernières publications