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Finance Tips For Brits – From the UK To SG

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In this article, I’d like to look into essential financial tips for Brits who have moved to Singapore or those with British assets. Whether you’re settling into the Lion City or just planning your financial moves, this article will help you navigate your finances smoothly.

Preparing Your Finances When Leaving the UK

If you’re leaving the UK, it’s crucial to manage your UK finances properly. Here’s what you should consider:

– Voluntary National Insurance Contributions (NICs):

 If you want to maintain your UK state pension or other benefits, think about making voluntary NICs. Check your National Insurance record and see if topping it up makes sense for your future pension entitlement.

-UK Pensions

Generally you are able to continue to make contributions to your UK pension scheme for the first five years while you are living overseas. Those contributions to your UK pension scheme can still qualify for tax relief; it is worth speaking to a wealth manager to understand the pro’s and con’s of continuing to make contributions to your UK pension scheme after you have left the UK.

– Closing UK Bank Accounts & Assets:

 Decide what to do with your UK bank accounts, investments, or property. Sometimes, it’s best to keep certain accounts open if they serve your needs, but be aware of any fees or restrictions. It is worth noting that, if you become non resident, you will no longer be able to make contributions to ISA’s (Individual Savings Accounts). However, unlike other ISA’s, if a Junior ISA is opened while the child is UK resident then your child can continue to make contributions to their Junior ISA even if they have become non resident.

– Tax Implications:

Selling property or assets in the UK may trigger capital gains tax or other liabilities. Consult a tax professional to understand your obligations and any reliefs available.

  • Understand whether or not you will you become non UK tax resident. There are lots of different moving parts to that but major considerations for becoming non resident to discuss with a tax adviser are:
  • Understanding the date you may become non UK tax resident.
  • What that non UK tax residence status will mean for you.
  • What sources of income and gains will continue to be subject to UK tax as a non UK tax resident?
  • How much time can you spend in the UK and still remain a non UK tax resident?
  • What other conditions you need to meet in order to become non resident and maintain a non resident status?
  • How do you tell HM Revenue that you have left the UK?

If you remain non UK resident for more than five years that will then restrict your liability to UK capital gains tax to gains on UK land and property only. But, if you are non resident for five years or less you may remain chargeable to UK capital gains tax on gains arising on all of your worldwide assets. If you remain non UK resident for more than 10 years this could reduce your exposure to UK Inheritance tax; and in addition – give you access to the favourable foreign income and gains regime when you return which will then give you the opportunity to mitigate UK tax on foreign income and gains for the first four years.

Be aware of any tax implications and reporting requirements for your sources of income and gains in the country you become resident in.

UK Property and Taxes

If you sell a UK property, here are a few tax points to keep in mind:

– Capital Gains Tax (CGT):

 If the property isn’t your primary residence, or hasn’t been lived in as your primary residence for all of the time you have owned it, you might be liable for CGT. There are allowances and reliefs, so plan accordingly.

– Residency and Tax Status:

 Your tax liability depends on your residency status. Moving to Singapore may impact your UK tax obligations, especially if you’re no longer a UK resident.

– Reporting & Compliance:

  • Make sure to report the sale correctly and consider any double taxation treaties between the UK and Singapore to avoid being taxed twice.
  • If you let out your UK property while living overseas any profit could be subject to UK income tax. Even if there is no taxable profit the income and expenses will need to be reported to HM Revenue on a UK tax return.
  • An agent or tenant will need to withhold 20% UK income tax on payments made to a non resident landlord even if that tax is not due unless the non resident landlord has signed up to HM Revenue’s Non Resident Landlord scheme.
  • If you are thinking of purchasing a UK property as a non resident remember that non residents will face higher stamp duty charges for their purchase. If the property is going to be let out consider strategies to reduce the UK income tax payable on the profits arising.

Moving GBP to Singapore

Next, transferring your GBP into Singapore Dollars (SGD). I personally use OFX — it’s a cost-effective way to move money internationally with better rates than your bank.

  • Why OFX 

  No transfer fees, competitive exchange rates, and easy online management. Plus, it allows you to set up regular transfers if needed.

  • Tips:

  Shop around for the best rates, consider timing your transfers during favorable FX movements, and always double-check the transfer limits and compliance.

Investment Opportunities in Singapore

Now, let’s talk about investing in Singapore for growth and tax efficiency:

– Local Investment Options:

 Singapore offers a range of investment accounts, such as various apps accounts for stocks, ETFs, and bonds. The city-state is a financial hub, giving access to global markets.

– Offshore Accounts & Funds: 

Offshore investment accounts can offer tax benefits and diversification. Consider jurisdictions like the Isle of Man, Ireland or Guernsey, but always consult a tax professional.

– Tax Benefits & Incentives:

Singapore has no capital gains tax or dividend tax, making it attractive for investors. Certain investment funds or structures may offer additional tax efficiencies. Selling a UK property and investing the proceeds in an offshore investment account can offer several benefits, including potential tax advantages, increased diversification, and access to a broader range of investment opportunities. Offshore accounts often provide greater flexibility in currency management and can help optimise tax planning strategies. Additionally, this approach may enhance asset protection and enable investors to access international markets more easily, thereby potentially increasing overall returns and financial growth.

– Retirement & Pension Products: 

Explore Supplementary Retirement Schemes (SRS) or private pension plans that offer tax advantages.

Maximising Your British Assets & Finances

Finally, here are some tips to help Brits maximise their financial position in Singapore:

  • Double Taxation Treaties: 

Take advantage of treaties between the UK and Singapore to avoid double taxation on income or gains.

  • Estate Planning:

  Update your will to reflect your new residency and consider inheritance tax in the UK that you may be exposed to.

  • Currency Diversification:

 Keep some assets in GBP if needed, but also diversify into SGD to hedge against currency risk.

  • Other Tax Pointers
  • Make sure you know how much time you can spend in the UK each year without becoming UK resident; the longer you remain non resident the less exposed your income and gains will be to the confiscatory and complicated UK tax system.
  • Ensure you have considered how you can be tax efficient with your investments when you return to live in the UK; you may be able to invest as a non resident in ways that will reduce how much tax you pay when you do return to live in the UK.
  • It is worth speaking to a specialist tax adviser well before you plan to move to the UK to consider what actions you can take as a non resident to reduce your future UK income tax, capital gains tax and inheritance tax liabilities.
  • Professional Advice:

Engage with financial advisors familiar with cross-border issues to optimise your tax planning and investments.

That wraps up my guide on managing your finances as a Brit in Singapore. Remember, proactive planning is key to maximising your assets and minimising taxes. If you have questions or want personalised advice, reach out to a professional.

Updates On The UK Spring Budget 2024

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For Brits, the most recent Spring Budget announcement was incredibly important, as it gave us some very key and drastic updates for tax and spending. Essentially, Chancellor Jeremy Hunt aimed to deliver lower taxes, encourage investment and improve public services. Although the elections may affect this announcement, it’s still very important for Brits, particularly those abroad, to be aware of. Martin at Spice Taxation (Company Registration No. 202133724G), has written a very in depth piece on the Spring Budget. It’s incredibly useful to hear the views of a professional tax expert, and Martin has been kind enough for me to share his thoughts here. Of course, I myself am not a UK Tax expert, so I often seek the help of professionals, such as Martin, to help me and my clients with their tax planning when necessary.

Below is Spice Taxation’s write up on the matter.

Our Thoughts on the Spring Budget – 6th March 2024
The Most Important Budget for Expatriates since 2010


“Over the years I have discovered that I am just not very good at predicting Budgets. Speculation is always rife about what a Chancellor might do in face of this and that economic and political situation, but mostly the actual announcements just tend to underwhelm and disappoint. Maybe I just crave excitement!


However, all that changed with Jeremy Hunt’s Budget on 6th March. It is likely to be the last Conservative Party Budget before the next General Election – an election which the Labour Party is widely expected to win. So, it remains to be seen how many of the announcements will find their way onto the Statute books if Labour does win. That aside, it really was an exciting Budget which promises a lot of change, much of it positive.


For much of the speech, it felt like a ‘normal budget’ with a plethora of announcements about regional incentives, funding initiatives, levelling up grants, subsidies and tax breaks for the arts etc. However, there was also a number of genuinely eye-catching and important announcements which are also relevant to expatriates.


First of all, Jeremy Hunt announced a further reduction in National Insurance paid by employees and the self-employed of 2%, from 6th April 2024. For employees, this will reduce from 10% to 8% and for the Self-Employed from 8% to 6%. For those returning to the UK, this will be welcome news.


Secondly, he announced the intention to introduce a new Individual Savings Account – the UK ISA, with an annual subscription allowance of GBP 5,000, in addition to the existing threshold of GBP 20,000. This new ISA would hold British-only assets – equities listed on the four recognised UK stock exchanges, UK corporate bonds and gilts and collectives. This will be good for UK resident savers.


Third, there were a few property tax announcements which came as a surprise:


o The marginal rate of Capital Gains Tax on the sale of residential property will reduce from 28% to 24% from 6th April 2024. This is intended to help stimulate the property market. The basic rate will remain at 18%. This is good for anyone selling, gifting or assigning an interest in UK residential property from that date.


o Multiple Dwellings Relief for Stamp Duty Land Tax is being abolished from 1st June 2024 – this was a relief that allowed you to take the average purchase price for SDLT purposes where at least two properties were being purchased in a single transaction.

o Furnished Holiday Letting status is to be abolished from 6th April 2025, with some anti-forestalling provisions which came into effect on 6th March 2024.


o The geographical scope of Agricultural Property Relief and Woodlands Relief (two Inheritance Tax incentives) will be limited to assets situated in the UK only from 6th April 2024 – those situated in the Crown Dependencies and the EEA will lose their IHT protected status.


Fourth, the VAT registration threshold will rise to GBP 90,000 from 6th April 2024, an increase of GBP 5,000, which will be welcome news for small businesses.


However, perhaps the biggest and most barnstorming announcement was the abolition of ‘non-dom’ status from 6th April 2025. The Conservative Party has been a staunch defender of the ‘non-domiciled regime’ over many years, so it was something of a surprise to see them adopt an avowed Labour Party policy. Stealing their thunder no doubt. It is a very major announcement that will impact many people.

In a nutshell, the Government plans to delink a person’s ‘domicile status’ from their UK tax outcomes, and move to a residence-based set of incentives. Consultation documents are yet to be published, but the main features of the new system will be to:

– Abolish the ‘remittance basis of taxation’ for UK resident ‘non-doms’.

– Replace it with an opt-in system that will allow, seemingly anyone – including, presumably, British nationals – to exempt their non-UK incomes and gains from UK tax for the first four years of UK residence, provided that they have been continuously non-resident for at least the 10 previous years.

– Exempt from tax the remittance of these non-UK income and gains to the UK, which will be hugely simplifying in the long run.

– Retain Overseas Workday Relief for qualifying individuals for the first 3 tax years of residence.

– Apply world-wide taxation for all individuals from the 5th year of residence in the UK.

– Introduce a thoughtful set of transitional reliefs for certain ‘non-doms’ who are already resident in the UK

– Switch away from a ‘domicile based’ system of Inheritance Tax to a residence-based system, whereby qualifying individuals switch to IHT on world-wide assets only after 10 years of residence.

Keep anyone who leaves the UK within IHT for 10 further years, which presumably also will apply to British Expatriates too. UK assets remain within Inheritance Tax at all times, regardless of residence.

We are missing a lot of technical detail here which should be answered by the Consultation Documents that the Government will be publishing shortly. So watch this space! However, whilst I have many more questions than answers at the moment, at first sight the main impacts appear to be the following:


a) Tax planning for relocation to the UK is likely to change quite a bit and these proposals could amount to a generous tax break for returning British expatriates.


b) They will also make Inheritance Tax planning potentially a lot simpler and not so reliant on subjective judgments about where a person is domiciled.


c) It might possibly result in an exemption from Inheritance Tax for a swathe of non-resident British expatriates who have already been non-resident for at least 10 years, which would be quite a result!


I am going out on a limb a little by saying that it appears the proposals will also apply to those we currently regard as ‘domiciled’ in the UK. However, surely that is the point – it is switch away from a tax system where a person’s domicile was the deciding factor, to a tax system where the deciding factor is driven by residence. This potentially bodes extremely well for British expatriates.
If this Budget does turn out to be the Conservative Party’s fiscal swansong, it is perhaps fitting that its period of Government will be bookended by a commitment to enshrine in law a statutory test for residence in 2010 at the start, and a set of announcements that displace domicile with a new regime based on that very residence test at the end. Mastering the Statutory Residence Test is clearly going to be more and more important.
Beyond this, all tax rates, thresholds and allowances for Personal Tax remain frozen, as do the rates for Corporation Tax. The dividend allowance will fall to GBP 500 from 6th April 2024 and the Capital Gains Tax Annual Exemption will fall to GBP 3,000 from the same date. Class 2 and Class 3 voluntary National Insurance Contribution rates will remain unchanged at GBP 3.45 per week and GBP 17.45 per week respectively, and the New State Pension will rise to GBP 221.20 per week (of GBP 11,502.40 per year) from 6th April 2024.”


If you would like to discuss your own circumstances in confidence or would like to be on the subscriber list for Spice Taxation’s new dedicated coverage of these breaking developments, please contact Martin at martin@spicetaxation.com or by sending a Whatsapp to +65 96650019.

I’d like to thank Martin at Spice Taxation for allowing me to share this information with my readers. I am sure that this will help many of you plan your finances in relation to UK tax.