How To Get Residency in Guernsey | A Complete Guide
Capital: St. Pierre Port
Population: 63,950 (2022, 207th)
Area: 78 km2 (223rd)
Offical Language: English
Currency: Guernsey Pound （equal to Pound）
GDP per Captial: £52,531 (2018)
Regional Profile:
Guernsey is nestled within the Channel Islands, close to the French coastline in the English Channel. Guernsey Island, the main part of the administrative district, is the second-largest island in the English Channel, and it’s only about a 40-minute flight from London.
Legally, Guernsey is a Crown Dependency, meaning it’s directly owned by the British Crown, but it’s not considered part of the United Kingdom. It boasts its own independent laws, government, and tax system. Internationally, Guernsey is seen as a territory for which the UK is responsible, but it’s legally distinct from the United Kingdom.
Visa & Immigration System:
Guernsey’s immigration system largely mirrors the pre-reform UK immigration system, with only slight differences in applicant requirements.
Compared to the UK or other parts of Europe, Guernsey’s immigration system offers three main attractions:
1. No Quota Restrictions: For all Guernsey immigration programs, if you meet the requirements and apply, you’ll receive immediate approval. There are no quotas or waiting lists. The requirements for these programs are also generally lower than similar programs in the UK.
2. Guernsey is a Tax Haven: Offshore finance is one of Guernsey’s key industries. Here, you’ll find an absence of most major taxes, including property tax, inheritance tax, gift tax, and Value Added Tax (VAT). Guernsey’s income tax is 20%, and it also offers a range of tax relief measures.
3. Indirect Access to UK Status: Foreign nationals who legally reside in Guernsey for five years become eligible to apply for Guernsey Permanent Residency (Indefinite Leave to Remain – ILR). After holding Guernsey ILR and legally residing for an additional year, and meeting other requirements, foreign nationals are then eligible to apply for British citizenship.
Guernsey Visas:
Generally, foreigners have three primary visa categories to choose from when considering relocation to Guernsey:
1. Investor Visa
This visa is designed for high-net-worth individuals, requiring you to deposit £1 million or more into a local Guernsey bank account. A crucial hidden cost for Investor Visa holders, beyond the deposit, is the expense of purchasing or renting property on the Open Market, as all Guernsey visas require actual residency on the island.
2. Entrepreneur Visa:
The Entrepreneur Visa is issued to overseas entrepreneurs who plan to invest at least £200,000 into a company for business operations in Guernsey. With this visa, you’ll need to actively run a company on the island and provide a credible business plan. This plan should demonstrate how your company will thrive in Guernsey, create jobs, and contribute positively to the local economy.
3. Work Visa:
Guernsey’s Work Visa system mirrors the UK’s almost exactly. Foreign nationals seeking employment there must first secure a work permit. Keep in mind, Guernsey is a small island with a population of only about 60,000, so job opportunities aren’t abundant. The Guernsey government has a list of 230 in-demand shortage occupations if you’re interested in exploring specific opportunities. You can check it out at: https://populationportal.gov.gg/policies.
Dependents:
For all Guernsey immigration visas, the main applicant’s spouse and children under 18 can settle in Guernsey as dependents.
Permanent Residency & British Citizenship:
Guernsey immigration visa holders between 18 and 65 years old become eligible to apply for Guernsey Permanent Residency (Indefinite Leave to Remain – ILR) after five years of legal residence on the island, provided they continue to meet the original visa conditions (such as maintaining their investment or employment).
Individuals outside this age range (under 18 or over 65) can directly obtain Guernsey Permanent Residency as dependents, accompanying the main applicant.
After holding ILR and legally residing for one more year, you can apply for British citizenship. To qualify, you must not have been outside the UK for more than 450 days in the past five years and no more than 90 days in the past year. You’ll also need to pass a language test and a citizenship test covering general knowledge about the UK and Guernsey.
Taxation:
Guernsey has no capital taxes, wealth taxes, Value Added Tax (VAT), or inheritance tax. Most companies also don’t pay corporate tax. The standard income tax rate is 20%.
When it comes to income tax, Guernsey caps the tax on residents’ worldwide income at £260,000. For residents’ overseas income, the maximum tax is £130,000. This means if your global income in a single calendar year exceeds £650,000, your tax liability will be capped at £130,000.
Additionally, new residents to the Bailiwick of Guernsey can benefit from a capped income tax of £50,000 for their first four years if they meet the following criteria:
- Their primary residence is in Guernsey.
- They purchase property there and pay over £50,000 in property tax (which currently means buying a property worth approximately £1.32 million or more).
- They purchased this property within one year before or after becoming a Guernsey resident.
Useful Links:
Locate Guernsey：https://www.locateguernsey.com/
Guernsey Immigration：https://www.gov.gg/immigration
Guernsey’s Entrepperneur Visa: https://www.locateguernsey.com/relocating/entrepreneurvisa/