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Why some Britons will have to leave EU countries by March 31st

There have been a lot of Brexit deadlines over the last four years - many of them missed - but March 31st is an important one for some UK nationals if they don't want to end up in trouble with immigration authorities.

Why some Britons will have to leave EU countries by March 31st
For some Brits in the EU, it's now time to head home. Photo: AFP

Who does this affect?

This is for UK nationals who don’t have permanent residence in an EU country and don’t intend to become residents. All Brits who live full time in the EU need to gain residency status via their country’s national system if they have not already done so.

If you are a permanent resident of an EU country and covered by the Withdrawal Agreement you can travel (Covid rules permitting) but will need to show your residency card at the border. Those resident in countries like France or Italy where many people have not yet been issued with cards can show an acknowledgement of their application for residency or, if they do not have that, proof of their residency such as utility bills or a work contract.

This also doesn’t apply to dual nationals who don’t live in the EU but do have an EU passport, so if you’ve been lucky enough to secure an Irish/French/Italian etc passport then you can stop reading.

When is the deadline?

Wednesday, March 31st, marks 90 days since the end of the transition period, the date when the UK effectively left the EU and therefore the last day that UK nationals who were in the country before January 1st can stay in the EU without taking up residency or having a visa.

Why is this date significant?

It’s because of the 90-day rule.

This rule, already familiar to non-EU nationals like Americans or Australians, has applied to Brits since January 1st 2021 and limits stays in EU countries.

You can find a full explanation of the rule HERE, but in outline the rule says that non-EU citizens can only stay in the EU for 90 days out of every 180. If they want to stay longer they need to either apply for residency or get a visa.

The 90-day limit is a rolling one and the 90 days can encompass one long trip or multiple short ones, so long as the total number of days doesn’t exceed 90 in each 180-day period. To help work out your allocation, check out the Schengen calculator HERE.

It’s important to point out that this limit is for the whole EU and Schengen zone, so you need to calculate your total time spent in any EU/Schengen countries.

So for any Brits who have been in the EU since the New Year, it’s now time to head home if you don’t want to risk overstaying your 90-day allocation.

Anyone who has been here for less than 90 days since January 1st can stay until they reach their own 90-day limit.

Citizens’ right groups across the EU are concerned that some British nationals who have been living off the radar have still not caught on to the post-Brexit residency requirements and may be caught out by this date.

There may be others who want to stay longer in EU countries but not become official residents and intend to ignore the date, but are not aware of the implications this may have.

Kalba Meadows from citizens’ rights group France Rights and British in Europe said: “March 31st marks an important date for some of you.

“If you’ve been in France since January 1st but you’re not legally resident here – maybe you prefer to keep your country of residence as the UK, or you don’t meet the conditions to apply for a residence card under the Withdrawal Agreement – that date marks the end of the 90 day period that you’re allowed to stay in the Schengen area as a British citizen.

“You’ll need to make plans to leave France on or before that day, either returning to the UK or moving on to a country that isn’t part of Schengen. If you don’t do this, you will be clocked as an over-stayer when you do leave, which comes with penalties and may make it difficult for you to return or involves fines.

“This is a big change for many of you, especially those with second homes here who are used to spending longer than three months at a time in France – but thanks to Brexit, it’s the new reality for Brits, as we’re now third country nationals with no special treatment at borders.”

Her words were echoed by Sue Wilson, chair of Bremain in Spain, who said: “We have been advising visiting Brits of the fast-approaching deadline and reiterating advice given by the British Embassy.

“The clock is ticking, yet there are still Brits deliberately planning to overstay their welcome. They are burying their heads in the sand and assuming we’ll be treated differently from other third country nationals, simply because we are British.

“I fear many that have ignored the warnings of the consequences of exceeding a 90-day stay are in for a rude awakening. The time to act is now, before it’s too late.”

What if I’m resident of another EU country? 

Officially the 90 day rule also applies to Britons who are resident in one EU country but who have been living in another. So for example if you are a resident of France but have been living at your second home in Spain or with family in Italy since January 1st you are in theory supposed to return home before 90 days.

The big difference of course with those non-residents who have to leave the block is enforcement and the chances of ending up in hot water with immigration authorities given the lack of controls at Schengen borders.

While it seems unlikely people would be caught they should be aware that while residents of EU countries won’t be subject to the same passport checks and stamping as people entering the Bloc, that doesn’t mean there are no passport checks.

Controls can still be carried out at Schengen borders if, for example, there is a security alert or border restrictions are tightened due to the pandemic.

READ MORE: Can Britons living in EU spend more than 90 days in another Schengen country?

Can I get an extension because of the Covid situation?

Each EU country has its own immigration rules, but in the countries covered by The Local most national authorities have said there will not be extensions given purely because of the overall health situation or travel restrictions – you may be able to appeal any penalties if you can show that you had Covid at the time your 90 days expired and so you were unable to travel.

The EU has issued some general advice on this, encouraging member states to grant visa extensions where necessary and to waive sanctions on people who have overstayed due to travel restrictions.

As ever, though, decisions on border issues remain with national governments within the EU.

No EU countries currently have completely closed borders so it is possible for UK nationals who have their main residence in the UK to return there (although you will need Covid tests and to quarantine on arrival).

A spokesman for the British Embassy in Spain added: “There is no hard deadline to register for residency, however UK nationals in Spain have always had to apply for residency in Spain if they intended to live here beyond three months. This applies equally to nationals of other countries, including EU countries.”

What if my spouse has an EU passport?

Having a spouse or registered partner with an EU passport can be handy, but unfortunately not in this situation.

If you are the spouse/registered partner of an EU national you can apply for a spouse visa, but all types of visa have to be applied for from your home country so you will still need to return to the UK and then make the visa application.

What happens if I stay longer?

If you spend more than 90 days in the EU or Schengen zone without a visa or residency permit then you are officially an over-stayer. And unlike the pre-EU days when passport control consisted of a man in a booth with a rubber stamp, scanning of all passports on entry/exit of the EU makes it pretty easy to spot over-stayers.

Exactly what happens if you are caught over-staying varies from country to country.

In theory, all countries have the same penalties at their disposal, but in practice some are more likely to issue fines while others prefer to issue bans on re-entry.

There is some anecdotal evidence that some countries, including France and Spain, take a slightly more relaxed view if the over-stay is only a couple of days while others, notably Germany, are stricter – but we would advise readers not to rely on this.

Anyone who over-stays can be subject to the following penalties;

Deportation – if you are found to have over-stayed, countries are within their rights to either imprison you and deport you, or give you a certain number of days to leave. In practice, deportation is rare for people who aren’t working or claiming benefits in an EU country

Fines – fines can be levied in addition to other penalties and vary according to country

Entry ban – countries can impose a complete ban on re-entry, usually for three years although it can be longer. A complete ban is usually only put in place for people who have over-stayed for a significant amount of time

Difficulties returning to the Schengen area – even if you avoid all of the above penalties, the over-stay alert on your passport will make it more difficult for you to return to the EU, and this applies to any EU or Schengen zone country, not just the one you over-stayed in. People who have this alert on their passport are likely to face extended checks at the border and may even be turned back. You will also likely encounter difficulties if you later apply for a visa or residency 

People who simply stay in an EU country without securing residency become undocumented immigrants and will not be able to access healthcare or social security provision. If caught, they face deportation.

This sucks, can’t we do anything to change it?

It really sucks, and unfortunately this is only one of the many ways that Brexit is negatively impacting the life of UK nationals. Indeed, the 90-day rule has long applied to citizens of other non-EU countries.

There are several campaigns running to relax these rules for UK nationals including a push to change the rules to 180 days in total in a year – which don’t have to be broken up into blocks of 90 – as is the case in the UK for EU citizens. However nothing has been agreed yet and with the many other post-Brexit problems – not to mention the little matter of a pandemic and looming recession – it may not be at the top of any government’s to-do list.

Member comments

  1. So does this mean that an EU resident of one country (not necessarily a national citizen) can stay in another EU country for more than 90 days out of the 180? If so, does this mean that an EU resident will still need to apply for residency if staying in another EU country while a British citizen has no option for staying longer than 90 days and therefore has to leave the EU zone?

    1. I live in New Zealand, as a British Citizen I used to be able to visit my parents in France for an unlimited time. Now, the limit is 90/180 days. HOWEVER, before I leave NZ ( and that’s important!) I can now apply for a visa-the ‘long’ visa is for up to a year. There’s a fee of course, an online and Embassy process, interview with paperwork. I’m going through that now. I just keep delaying the interview due to lockdowns. It looks reasonably straightforward. You need to leave enough time for that process before your leave date! The visa is then set with a start and finish date…hence why I’m delaying to ensure the full year. The problem may be distance to your country’s French embassy, I’m 1.5 hrs from the embassy here so not too bad. You will need to show sufficient funds to cover yourself for the duration of your stay and other requirements. Have a look at the French embassy website for your resident country under ‘ visas’. Hope my posts help!

    2. Hi Mark, yes an EU resident of one country CAN stay in another EU country for as long as she or he likes. I’m Italian with residency in Italy and stay with my partner in France for more than 90 days at a time if I so wish to.
      An EU resident CAN apply for residency if staying in another EU country. A person should apply for residency if they, for example, want to buy a property, open a bank account, or use a local Doctor, etc.
      Correct, a British citizen is no longer allowed to stay longer than 90 days in the whole of the EU. For example, 30 days in Spain, 30 days in Italy and 30 days in France, is exactly the same as spending 90 days in Germany.

    3. Mark, that is the essence of the European Union, where any citizen of any member state can live and work in any other country of the Union. The UK opted out to re-gain their sovereignty, doing so they have lost the aforementioned options.

      1. Thank you for your comment. Yes, I do understand this. It was a sad and disappointing day when the UK narrowly voted to leave the EU. This was a decision that should have been made by informed and elected politicians and not by the general public, most of whom understandably lacked the necessary knowledge and understanding of such a complex in-depth issue.

        As a British national and a current resident in Germany since last year, I was simply trying to understand if I can stay in other EU country besides Germany for more than 90 out of 180 days.

  2. Hi Mark, My understanding is that the 90 days covers the WHOLE EU and Schengen zone…so it’s 90 days total. You can’t hop around countries for 90 days each. It is also accumulative, so if you came for 60 days to anywhere in the zone and went away, you can only return for another 30 days to the zone in that 180 day period.

  3. This is just a requirement of residents of NON EU or Schengen member countries- Uk, USA, Australia , NZ and so on.

  4. I work in Italy as a teacher and have a work contract that expires on 31st May 2021, would I face any issues returning to UK post 31st May given that my contract is essentially ‘expired’? Thank you.

  5. Hi, we are Australian citizens in France. Our visas expire today but we can’t get a flight home as yet. I’m trying for June flight as May was cancelled. Will we be penalised for overstaying our visa?

  6. I applied last week for the right to reside in Sweden under the new Residency status for UK nationals. I held off initially because I was attempting to get a person number first and have an application for an S-1 currently being reviewed by HMRC. They just keep telling me “it is being reviewed by the tech team”. I’ve also been told by HMRC staff that they are still reading through the withdrawal agreement to understand how S-1s will be issued, they are understaffed due to the pandemic, and that the office dealing with my application can’t be reached. I am supposed to just keep waiting.

    Today I received the letter from Migrationsverket that states they are processing my application and in the meantime I can use the letter to re-enter Sweden should I go abroad ( I daren’t!). My partner who is a student here in Sweden also received this letter about a week after applying for the Residency Status in December and it was about 7 weeks until she received an appointment to visit Migrationsverket and have her photograph taken and fingerprints scanned for her New ID card. She already had a person number and Swedish residents ID card.

    I have been living in Sweden since September 2020 and my application for residency is as a family member of a student. Should my application be rejected for whatever reason I guess I’d be expected to leave Sweden immediately as I’d become an ‘over-stayer’.

    My partner and I hoped to stay living in Sweden after her studies finish but my situation feels so precarious I don’t feel confident it will be possible without going down the route of obtaining comprehensive Health insurance in order to get a person number. From what I understand this is somewhere in the region of £3000 per year. £15,000 later I can get permanent residency? What a mess.

  7. The problem has obviously arisen due to Brexit, but even then, it would have been less harsh if the Government had opted for a softer Brexit, and negotiated an arrangement similar to the ones Norway or Switzerland have with the EU.
    At the same time, we would have avoided all the other hassles in going through border control, and the extra costs now involved in sending packages to and from the UK. But the Government decided it wanted a distant relationship with Europe, so these are all consequences.

  8. Actually English is the global language of business and trade and foreign politics so why don’t learn the language that the world speaks? Like millions of people worldwide, I started learning English despite my native language is also very important in the international context. I took English language courses to distinguish myself in the highly competitive legal market. Fluency in legal English gave me a distinct advantage. The company paid for the training, but I know not all companies pay tuition and half. But these courses are worthwhile, I would take them at my own expense https://www.cambridgelawstudio.co.uk/online-courses/

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BRITS IN FRANCE

6 pension questions British people should ask before retiring to France

If you're British and thinking of retiring to France there are some important questions to think about before you make the move, and before you make any decisions about your UK pension.

6 pension questions British people should ask before retiring to France

Retiring to France is a dream for many, but before turning that dream into reality there are some serious financial questions that you need to ask yourself to ensure that your retirement is a financially comfortable one.

For most retirees, their main or only income will be a UK pension, so it’s important that you understand how your pension will work once you make the move. 

There are some specific rules and restrictions on taking pensions out of the UK, while there is also the question of how UK pensions interact with the French tax system.

Financial adviser, Maeve Hoffman, from Spectrum IFA Group, emphasised that people should not take these decisions lightly, telling The Local: “Figuring out what to do with your pension should be part of your wider financial plans for your life.

“This may be your most important asset, besides your home, and the best answer for what to do with your pension is highly individual. There are no sweeping generalisations when it comes to advice on private pensions. Everyone’s situation is different,” she said.

This article is intended as an overview of how the system works for UK pensioners and is not intended as a substitute for individual financial advice. The article is aimed at people who have worked most or all of their career in the UK and then intend to retire in France – the situation is slightly different for people who work in France and then retire here.

You can find an overview on French tax rules for pensions HERE.

Long-term or short-term

The first thing you need to carefully consider is whether or not your move to France will be for the long-term or short-term. 

When it comes to your UK pension, there are some options that may be advantageous for French residents looking to stay here permanently, but they could make your life very complicated if you end up returning to the UK in the future. 

Do not be afraid to ask yourself the tough questions – is there any chance you will have grandchildren in the future that you will want to be geographically close to? Have you ever spent a significant time in France, aside from short holidays? Do you have roots in France, such as friends, family or a home? If your health deteriorates, will you want to be cared for in France or the UK?

If are unsure about the answers to these questions, then take some time to really think about them. There are alternatives to permanently moving to France if you are unsure – for example, you could spend a few months a year here on a short-term visitor’s visa.

READ MORE: Reader question: Can I retire to France and open a gîte?

Understanding the different tax rules

British retirees should be aware that the UK and France have very different tax systems.

Once you become a tax resident in France, you have to file a yearly declaration, including your global income. The country that gets to tax that income is determined based on the tax treaty between the UK and France, which seeks to eliminate double-taxation. 

READ MORE: EXPLAINED: The rules on tax residency in France

As for your UK-based pension, the treaty states that if you have a UK government or civil service pension (eg a state school teachers’ pension), then this will remain taxable only in the UK. Some old NHS pensions were considered ‘government pensions’, but modern ones might not be. You can check if your pension is classified as ‘government’ here.

You still have to declare this income to the French tax authorities, but you will not be subject to tax in France on it. That being said, it will count towards your total household income, and could end up pushing you into a higher tax bracket which is something you should carefully consider, particularly if you want to take a large sum at once. 

The same is not true of private pensions: these are taxed in France, not the UK, as soon as you become a tax resident here. Confusingly, the UK state pension is also considered a private pension, even though it is paid by the government.

You can find a complete guide to how UK pensions are taxed in France HERE.

As a result, you will want to think about whether your previous plans for your private pension were only advantageous to you as a UK resident. Once you become a French tax resident, they could have unforeseen implications.

You can find more information about tax rates in our tax guide. 

Get reliable, expert financial advice before doing anything

If you have decided you want to be in France permanently, then you will need some expert tax and pension advice – but you need to be careful who you take advice from, this is a highly specialist area and it’s unlikely that high street financial advisers will have the knowledge that you need. 

Brexit has also made getting financial advice more complicated, with fewer experts available.

Maeve told us: “Because of Brexit, you cannot use a UK-based financial adviser anymore – you have to use an EU-registered one. This has made things more complicated. When picking an adviser, seek out someone who has expertise on the local taxation rules in France. They should also be regulated with the financial regulator where you live and where they work.” 

It can be especially complicated to parse out who you can and cannot take advice from – for example, some UK-based advisers have continued to give advice to EU-based clients, even though this can be particularly risky if the investments they recommend do not follow EU regulations.

There are also expat-oriented financial advice services that are located outside of France, but seek to offer tax advice to people in France.

She added: “Be smart and sensible. If you choose an adviser in Dubai or Spain for example, you will now be adding another regulatory organisation into the mix, plus another language.

“There are free, government-based services in the UK that can help you understand your private pension – Pension Wise and Money Helper. Before doing anything, you should consult the free services. Any financial adviser worth their salt would recommend this too. 

“These services have begun to have longer wait times, so be sure to book well in advance of when you plan to draw from your pension.”

Deciding whether to transfer your pension

Another question that is important for Brits to think about is whether or not to transfer their pension into either a UK-based SIPP for non-residents, or a QROPS (Qualifying Recognised Overseas Pension Schemes).

The SIPP will keep your pension in the UK, while the QROPS moves it out of the UK, to Malta specifically. 

These options can be helpful for French residents, but you need to familiarise yourself with their benefits and drawbacks.

“The QROPS is not for someone who is unsure of their future in France, as if you return to the UK within five years of the pension transfer HMRC will seek their tax back as if it was a full encashment,” Maeve said.

In France, a QROPS is considered a trust, you may also have additional reporting requirements to fill out along with your annual declaration (more info here).

You should beware of scams on this subject, as the post-Brexit period saw many scammers seeking to persuade Brits that it was now mandatory to transfer their UK pension – always be wary of any cold-calling or unsolicited financial advice.

READ MORE: Ask the expert: How to avoid pension scams when you retire to France

Determining how you will want to draw from your pension

The next question is how you want to receive your pension – either as regular income or as a lump sum. The option that you chose will have tax implications in France.

If you receive it as a regular income, when doing your yearly French tax declaration, you will add up your pension income for that year and you will be taxed at the normal marginal rates for income (the barème). These rates go up to 45 percent (for the highest earners only) plus social charges if they apply (more on this below).

Pension income can also benefit from a 10 percent tax deduction, as long as it does not exceed €4,123 or fall below €422 per household.

Lump-sums are more complicated. Technically, French tax authorities would allow a return of once off pension capital to be taxed at a flat rate of 7.5 percent. 

But in reality, Hoffman explained that anyone seeking to do this would need the express, written confirmation from French tax authorities that this rate will be applied.

She also explained that the type of private pension matters when seeking to get the lump-sum flat rate.

“There are plenty of different types of private pensions in the UK, but the old ‘defined benefit schemes’ have been the gold-plated standard. These are the types of pensions that give you a portion of your salary for the rest of your life. 

“In principle, you should be able to take out lump-sum of 25 percent of your ‘defined benefit scheme’ pension and be taxed at the 7.5 percent flat-rate. That being said, some people get refused, so you cannot make any assumptions and you need clarification from the French tax office.

“As for all of the other types of private pensions in the UK, like the money purchase or personal pension schemes, these are considered to be ‘funds’. If you want to benefit from the lump-sum then you would have to take out the entire pension. You would not be able to just take out 25 percent and get the lump-sum rate.

“For anyone considering taking their whole pension and seeking to use the 7.5 percent rate there are conditions to be met, so I advise people to write to their French tax office and explain their own situation in detail. Be sure to clarify the tax rate you are seeking to have applied and ask what documents they would need from your UK pension company to confirm that the contributions to this pension have been tax deductible.”

Healthcare and social charges

Deductions in France come in two types – impôts (income taxes) and prélèvements sociaux (social charges).

People who retire to France (and have never worked in France) and have already reached the state pension age can apply for the S1 – this means that the UK continues to pay for their healthcare costs and they would not be charged prélèvements sociaux. Non-working spouses of an S1 holder can also benefit from this.

People who take early retirement and make the move before they reach state pension age may have to pay social charges in addition to taxes until they reach the state pension age and can apply for their S1. However, there are several exemptions to social charges, so even if you expect a bill, you may not end up being charged. More information in our guide.

Social charges help pay for a lot of services from the French government, including access to healthcare. In France, you can access the state healthcare system (and get a carte vitale) after three months of residency. 

READ MORE: Why you might get an unexpected French health bill
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