BREXIT –STRAWS IN THE WIND

Apparently these are the first ideas from the new UK Brexit Management Govt Dept. impacting ex-pats.

State pensions

Current reciprocal payment arrangements for ex-pats to end. Inflation indexing to end with payment levels frozen like those to non EU nations – Canada, Australia, etc. Payments made after deduction of a Govt. levy/charge for administration. Maybe private pension payments also subjected to the levy.

Driving licences

Current reciprocal arrangements to end, leading to insurance changes.

Insurance

Current arrangements to end. So, for motoring, this seems to imply that ex-pats would have to immediately apply for a Portuguese licence via test, to then obtain local motoring cover. This could be rather expensive.

For property and similar cover, companies that use the UK insurance market to levy a Govt. ex-pat surcharge.

Passports/ freedom of movement

Existing EU (UK state member) passports replaced on their expiry with a traditional British Passport, BUT only for bona-fide entitled holders – won’t that be fun!!!. For ex-pats, these to be obtained only via a personal UK appointment for registration under a new ex-pat category - to flag up non UK residency. New ‘domestic visa’ restrictions on ex-pats limiting return visits to the UK for a set timescale (? 30/60 days per annum) to stop medical tourism on the NHS or similar services via accommodation addresses.

Benefits

Current arrangements to end with the new passport category used to identify those living abroad and claiming UK benefits via tame family ‘ghosts’ in the UK. (Thought they already did that?)

Taxation & Property

Current arrangements to end. New HMRC regime to enforce a double-taxation regime on ex-pat property owners using current arrangement to avoid tax and keep undeclared income renting out properties, including ‘source-tracing’ to identify the original source of money used for property purchases against UK tax payment history. One source tells me that this side of things is based on the fact that as Portugal is one of the most exposed - if the suspected Eurozone disintegration occurs, then any money hidden away under nom-de-plume names in Portuguese banks, or under the mattress, might be wiped out or rendered worthless overnight.

So, subject to any “counter-measures” to be announced by Portugal against UK ex-pats who, in the main, are considered to make little or no local contribution to their lifestyles, it may be time to start dusting off the suitcases & packing up the tea-chests for a quick sale folks.