Competitive corporate tax rates and robust incentives for research and development
High levels of transparency and strong legal protections for private property rights
Access to global financial markets and a highly skilled, flexible labor force
Cons
Heavy regulatory burden and complex tax compliance requirements for emerging enterprises
Expansion of government surveillance powers and recent restrictions on individual civil liberties
High cost of living in major hubs and deterioration of public infrastructure quality
Setting up a company here takes less time than lunch: 24 hours, a dozen pounds, no notary, no bureaucrat to charm. Corruption barely exists.
The catch: pulling money out of the business gets taxed hard, between income tax and dividend tax. Opening a business bank account as a foreigner can turn into a real headache, banks are paranoid on compliance.
Other things worth knowing: the Underground and trains are aging and unreliable, London's food scene has genuinely improved, living costs in posh boroughs are eye-watering, and in Kensington or Mayfair you stay mostly safe.
On paper, United Kingdom shears you at up to 45%. In practice, the territorial regime only bites income sourced locally: foreign salary, foreign dividends, foreign gains walk through untouched. The sticker is there to scare; the machinery doesn't reach that far.
Earn your living abroad and the local taxman mostly waves at you from a distance.
01.1Income tax
Personal income tax
0 → 45%
read moreClose
De quoi s’agit-il ?What residents pay on what they earn: salary, freelance income, sometimes dividends too. We show the system (flat or progressive) and the top rate.
Source et informations complémentairesprogressive · 4 brackets
Bracket (USD)
Rate
0 – 16,810
exempt
16,812 – 67,228
20%
67,229 – 167,355
40%
167,356 +
45%
01.2Tax residence test
A single active rule is enough to make you tax-resident.
183-day rule
exists here
Economic interest
exists here
Family centre
exists here
Habitual abode
exists here
Extended-stay test
exists here
Income tax simulatori
If you earn
a year, you will pay
.
Roughly
effective, with a marginal rate of
.
Will your wealth be taxed?YES, FAIRLY.
Capital gains in United Kingdom cost 24% on disposal, with no annual wealth levy. But inheritance comes back for seconds when assets pass down.
Same money, two tollbooths: the sale, then the succession.
02.1Investment income
Capital gains
24%
read moreClose
De quoi s’agit-il ?The tax on your profit when you sell something that gained value: stocks, property, crypto, a business. Some countries skip it entirely.
Source et informations complémentairesprogressive
Bracket (USD)
Rate
0 – 4,012
exempt
4,012 – 67,228
18%
67,228 +
24%
Dividend tax
39.4%
read moreClose
De quoi s’agit-il ?What you pay when your company sends you dividends. It stacks on top of corporate tax, so the combined bill is what really counts.
Source et informations complémentairesprogressive
Bracket (USD)
Rate
0 – 16,810
exempt
16,812 – 67,228
8.8%
67,229 – 167,355
33.8%
167,356 +
39.4%
Interest income
45%
read moreClose
De quoi s’agit-il ?The tax on income from savings, bonds and loans. Matters when choosing where to park your cash.
Source et informations complémentairesprogressive
Bracket (USD)
Rate
0 – 16,810
exempt
16,812 – 23,497
exempt
23,498 – 67,228
20%
67,229 – 167,355
40%
167,356 +
45%
02.2Wealth & estate
Wealth tax
NONE
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De quoi s’agit-il ?A yearly tax on what you own above a threshold, whether you sell or not. Most countries scrapped it; a few still run one.
Source et informations complémentairesno annual wealth tax · no real-estate wealth tax · no net-worth assessment
Inheritance system
APPLIES
read moreClose
De quoi s’agit-il ?What heirs pay on what they inherit, by category (spouse, children, others), with allowances and top rates. Plenty of countries charge nothing at all.
Source et informations complémentairesestate-based · single threshold · Headline rate 40% · Allowance GBP 325,000 · spouses are typically exempt; flat rate applies above the allowance, regardless of heir class.
02.3Crypto
Crypto · tax regime
PROGRESSIVE
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentairesRate: 24% · HMRC treats cryptoassets as property. Most individuals pay Capital Gains Tax (CGT) on disposals, including crypto-to-crypto swaps. Following the October 2024 Budget, CGT rates are 18% (basic) and 24% (higher/additional). Professional trading is rare for individuals but taxed as income (up to 45% in England/Wales/NI, 48% in Scotland). Annual CGT allowance is £3,000 for 2024/25.
Crypto-to-crypto
TAXABLE
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentaireseach swap counts as a disposal — gains realised at every trade
FATF travel rule
SIGNED
read moreClose
De quoi s’agit-il ?Does this country enforce the crypto Travel Rule? If yes, exchanges must identify senders and recipients, like banks do for wire transfers.
Source et informations complémentairescommitted but not yet enforced
Easy to run a company there?NO.
United Kingdom sits at the punchy end, with corporate tax at 25%, though an IP-box at 10% buys back part of the bill for IP-heavy businesses.
Outside qualifying IP income, prepare to get squeezed.
03.1Rates
Corporate tax
19 → 25%
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De quoi s’agit-il ?What companies pay on their profits. The headline rate is a starting point: IP boxes and holding regimes often pull the real rate lower.
Source et informations complémentairesprogressive · +3% Banking sector companies on taxable profits in excess of GBP 100 million · +4% Residential Property Developer Tax (RPDT) on annual profits exceeding GBP 25 million · +38% Energy Profits Levy (EPL) on profits of oil and gas companies · +10% Supplementary charge to tax (SCT) on adjusted ring-fence profits of oil and gas companies
Bracket (USD)
Rate
0 – 66,867
19%
66,867 – 334,335
25%
334,335 +
25%
VAT standard rate
20%
read moreClose
De quoi s’agit-il ?The sales tax baked into almost everything you buy here. One standard rate, plus reduced rates on things like food or books.
Source et informations complémentaires3 distinct tiers in force
0%5%20%
Food & drink
0%
food
Print media
0%
books
0%
ebooks
0%
newspapers
Transport
0%
public transit
0%
rail
0%
air
Energy
5%
electricity
5%
natural gas
5%
district heat.
5%
domestic fuel
03.2Regime & registry
IP Box · Patent Box
10%
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De quoi s’agit-il ?A discounted tax rate on income from patents, software and designs, often 5 to 10%. A magnet for tech and licensing businesses.
Source et informations complémentairesPatent Box · net income · patents · vs. 25% corp
Misuse of corporate assets
NO CRIMINAL
read moreClose
De quoi s’agit-il ?If you spend company money on yourself, is it a crime (prison possible) or a civil matter? Some countries prosecute even sole shareholders.
Source et informations complémentairesno criminal liability · In the UK, there is no specific criminal offense equivalent to 'Abus de Biens Sociaux'. For a solvent company, a sole director/shareholder's personal use of funds is treated as an 'unlawful distribution' or a 'director's loan' under the Companies Act 2006. This triggers civil liability (repayment to the company) and tax consequences (Benefit in Kind) rather than criminal prosecution. While case law (e.g., Attorney General's Reference No. 2 of 1982) suggests theft from one's own company is theoretically possible, the 'dishonesty' required for a criminal conviction is generally absent in a solvent sole-member scenario where no creditors or tax authorities are defrauded.
Shareholders privacy
PUBLIC
read moreClose
De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesCompanies House
Directors privacy
PUBLIC
read moreClose
De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesCompanies House
03.3Incorporation cost
In this country, the most standard company form is called Private Limited Company. The costs below are for incorporating a company in its simplest form, for reference only.
Companies House Digital Incorporation Fee
USD 134
Professional Formation Service (Non-Resident Package)
USD 334
Total
USD 468
A good fit for a holding?YES.
United Kingdom is built for holding, plain and simple. An extensive treaty network (134 signed agreements) hacks down withholding on cross-border dividends, interest and royalties, and a full participation exemption (100% on qualifying dividends and gains) lets value flow through without a domestic tollbooth.
Top-shelf plumbing: a holding parked here travels the world without leaking.
04.1Substance & exemptions
Territorial · individuals
REMITTANCE
read moreClose
De quoi s’agit-il ?Does this country tax only local income (territorial) or everything you earn worldwide? Territorial means your foreign income stays untaxed here. Huge.
Source et informations complémentairesremittance basis — foreign income taxed only when brought in
Territorial · corporates
TERRITORIAL
read moreClose
Source et informations complémentairesterritorial principle — foreign-source profits generally exempt
Participation exemption
100%
read moreClose
De quoi s’agit-il ?Can a holding company receive dividends from its subsidiaries tax-free? The cornerstone of any serious holding structure.
Source et informations complémentairesno minimum threshold · no holding period
CFC rules
APPLY
read moreClose
De quoi s’agit-il ?Anti-offshore rules: they tax you at home on your foreign company's profits, even if nothing was distributed. Where they exist, offshore setups get tricky.
Source et informations complémentairesUK-based corporations might face taxation on a portion of earnings from foreign subsidiaries they control, specifically targeting profits shifted out of the country.
04.2Withholding tax · non-resident
WHT · dividends
0%
read moreClose
De quoi s’agit-il ?The cut this country takes when it sends dividends, interest or royalties abroad. Tax treaties can shrink it; blacklists can inflate it.
Source et informations complémentairesnon-resident outbound
WHT · interest
20%
read moreClose
Source et informations complémentairesnon-resident outbound
WHT · royalties
20%
read moreClose
Source et informations complémentairesnon-resident outbound
Tax-haven WHT
NONE
read moreClose
Source et informations complémentairesno punitive rate on record
04.3Treaty network
Treaties signed
131
read moreClose
De quoi s’agit-il ?Deals with other countries to avoid double taxation and cut withholding taxes. The bigger the network, the easier your money moves across borders.
Source et informations complémentairesactive
Treaties pending
2
read moreClose
Source et informations complémentairesin negotiation
Tax treaty network
origin · GB0%> 0%no treaty
⌖
Inspect a country
Hover any country on the map to read its withholding-tax treaty with GB.
Country
Status
Dividends
Interest
Royalties
∅
// no treaties match
Easy to come and go?SOME.
United Kingdom rolls out a territorial regime on the way in, then charges at the door on the way out: an exit tax grabs unrealised gains above a threshold when you cut residency.
Run the numbers before you settle: the entrance is wide open, the exit has a turnstile.
05.1Exit & dual nationality
Exit tax
APPLIES
read moreClose
De quoi s’agit-il ?What the country charges you for leaving: tax on your unrealized gains, as if you'd sold everything at the border. Here you'll see if it exists and when it triggers.
Source et informations complémentairestriggers: tax residence change · basis: market value
Bracket (USD)
Rate
0 – 325,000
exempt
325,000 +
40%
Dual citizenship
ALLOWED
read moreClose
Source et informations complémentairesnaturalised citizens may keep their existing nationality
05.2Citizenship paths
Residence
5 years
read moreClose
Source et informations complémentairesavailable path to naturalisation
Marriage
3 years
read moreClose
Source et informations complémentairesavailable path to naturalisation
Birth
jus soli
read moreClose
Source et informations complémentairesavailable path to naturalisation
Descent
1 gen
read moreClose
Source et informations complémentairesavailable path to naturalisation
Investment
—
read moreClose
Source et informations complémentairesnot available
Is your money watched?YES, CLOSELY.
United Kingdom signed every exchange framework that matters and runs a public corporate registry. Whatever you do here (earn, hold, structure) is reported, searchable, or both.
Your money is watched from every angle; if discretion is part of your plan, this isn't your jurisdiction.
Multilateral reporting frameworks
5/9 active
· 4 pending
CRS
2017
CARF
2024
FATCA
2014
MLI
2018
BEPS
—
MAAC
2008
GLOBAL FORUM
—
EOIR
—
CRYPTO TRAVEL RULE
2022
Is it blacklisted?SOMEWHAT.
United Kingdom shows up on national blacklists only (drawn from FR/ES/PT/BR), despite its FATF membership.
Expect extra KYC/AML questions in those specific corridors: annoying, not disqualifying. No supranational watchdog has flagged it, so the stain stays local.
Blacklist exposureListed by 1 authority
EMBARGO
un / us / eu sanctions
FATF
grey / black list
EU
non-cooperative list
FRANCE
ETNC list
SPAIN
tax-haven list
PORTUGAL
favourable regimes
BRAZIL
low-tax list
Do you feel free there?YES.
United Kingdom scores high on press freedom (rank #20) and treats crypto as a taxable but legitimate asset class. A CBDC is in the pipeline (2 project(s)), so the payment rails are drifting toward state-issued, traceable money.
Speech: free. Money: the same slow squeeze as most of the developed world.
08.1Press freedom
Press freedom · RSF index
20/180
read moreClose
De quoi s’agit-il ?The RSF world ranking of press freedom. A good proxy for censorship and civil liberties. The lower the rank, the freer the press.
Source et informations complémentairesscore 78 · ↑ 3 ranks year-on-year
Central bank digital currencyi
Program
Status
Cross-border
Sources
Digital Pound
Main motivation is to explore the end-to-end user journey as a way to sharpen functional requirements for both the Bank and private sector. Make the CBDC product more tangible for internal and external stakeholders.
The architecture of the CBDC is currently undecided. The BOE is still exploring the tradeoffs between a direct model and a hybrid model, but according to the latest discussion paper, is leaning towards a hybrid model.
United Kingdom is wired straight into the global money grid: 11/11 of the services we track work here.
Stripe onboards you, so you can charge cards from a laptop the day you land. Amazon delivers to your door like it would in Paris or Berlin. Wise, Revolut, PayPal: pick your rails, they all run.
Accept payments6/6 available
Stripe
card payments
PayPal
wallet payments
Adyen
enterprise psp
Mollie
eu payments
GoCardless
direct debit
Paddle
merchant of record
Bank and move money3/3 available
Wise
multi-currency
Revolut
personal banking
Revolut Business
business banking
Buy and sell on Amazon2/2 available
Amazon
consumer delivery
Amazon Seller
marketplace selling
SEE ALSO
Other jurisdictions worth comparing
Picked by similarity of strategic profile to United Kingdom. No editorial ranking — neighbours in the same scoring space.
