SHARE
COPY LINK

INSURANCE

Switzerland and UK sign two new post-Brexit agreements

Switzerland and the UK have signed off on transport and insurance agreements designed to minimize the disruption to bilateral relations caused by Brexit.

Switzerland and UK sign two new post-Brexit agreements
A file image of the Swiss-French border. Photo: AFP

Swiss Finance Minister Ueli Maurer and UK Chancellor of the Exchequer Philip Hammond signed the two agreements in Davos during last week’s World Economic Forum annual meeting.

The insurance agreement is designed to ensure the Swiss and UK general (or non-life) insurance sectors can continue to trade freely after the UK leaves Europe. It will mean Swiss insurance firms can set up branches and trade in the UK, and UK firms can do likewise in Switzerland.

Read also: Switzerland and UK forge post-Brexit citizen's rights agreement

Meanwhile, the road traffic agreement aims to ensure that carriage of goods by road will remain exempt from authorization for journeys between the two countries and in transit.

In addition, mutual access for the carriage of goods and passengers by road will be maintained and administrative expenses will be kept low, the Swiss Finance Ministry said in a statement.

The timing of the introduction of the two new agreements depends on whether the UK and the EU are able to come to an agreement on the UK’s departure from the EU.

In the event of a non-deal Brexit, the agreements will come into force on March 30th – the day after the UK leaves the EU.

The UK and Switzerland have already signed several post-Brexit agreements including one of citizens' rights and another on trade.

The agreements are necessary as Swiss–UK bilateral relations are currently based on agreements between the Switzerland and the EU. These will cease to apply with Brexit.

Read also: What you need to know about the new draft Swiss-EU deal

For members

WORK PERMITS

What happens to Brits in Switzerland when their work permits expire?

Ever since the UK ‘Brexited’ from the EU, its citizens have faced various restrictions in Switzerland (as elsewhere in Europe). But what happens to those already living here?

What happens to Brits in Switzerland when their work permits expire?

Since January 1st, 2021, Brits fall under the category of “third-country” nationals, a term used to describe people who are not citizens of either the EU or EFTA (Norway, Iceland, and Liechtenstein).

This means that they have lost their pre-Brexit right to an almost limitless access to Swiss jobs and residency granted to EU / EFTA nationals.

So what hurdles can UK nationals already in the country expect when time comes to renew their permits?

Much depends on when they arrived in Switzerland.

If they moved here before January 1st, 2021, they are in luck.

That’s because according to the State Secretariat for Migration (SEM), they benefit from “acquired rights” – the ones they obtained pre-Brexit.

In other words, if you are a longtime resident, and have either a residence permit B or – even better – C, then you are in the clear.

For all intents and purposes, these Switzerland-based Brits are still free to enjoy the same perks as their EU / EFTA counterparts, including being able to work in Switzerland for the duration of the validity of their permit, as well as freedom to change jobs and move from one canton to another. 

Also, in case of a job loss, a pre-Brexit UK citizen doesn’t have to leave Switzerland immediately.

Instead, they may stay in the country for at least six months to seek new employment. 

However, they will have to apply for a permit as a job-seeker with the cantonal migration authorities while looking for a new position. 

Another perk is that if you are living in Switzerland as an EU / EFTA citizen, you can purchase property – indeed, you have the same rights in this regard as Swiss citizens do.

What happens to Brits who came to Switzerland after their country left the EU?

They are now considered to be third-country nationals, and must comply with all the restrictions imposed by this status.

They will likely “feel” these limits when time comes to renew their permit.

If their permits are “tied” to their jobs – as is often the case with non-EU nationals – and their employer no longer needs them, then in all probability they will have to leave the country.

One exception would be if the person in question has some specialised skills that Switzerland’s labour market badly needs but can’t find in a Swiss or EU / EFTA candidate.

In such a case, the permit might be extended, provided that there is a sufficient number of third-county permit quotas left at a given time.

Out of the total of 12,000 permits set aside each year for citizens of third countries, Brits benefit from 3,500: 2,100 B and 1,400 L permits are set aside just for them.

READ ALSO: How UK citizens can obtain a Swiss work permit set aside for Brits 

And there is another exemption as well…

If you arrived in Switzerland post-Brexit but are a dual citizen of the UK and an EU / EFTA country, then the latter passport will take precedence for the purpose of employment.

SHOW COMMENTS