Germany is Europe's largest economy and one of its most liveable countries — robust infrastructure, outstanding public services, strong employment law, and a healthcare system ranked among the world's best. For UK nationals post-Brexit, however, relocating to Germany requires more planning than it once did. Free movement ended on 31 December 2020, and British citizens now need a visa or residence permit to live and work there.
This guide covers everything a UK expat needs to know before making the move: the visa routes available in 2026, how German income tax and wealth reporting work, registering for statutory health insurance, and how to manage UK financial ties from abroad.
Visa routes for UK nationals moving to Germany
Since Brexit, UK citizens are treated as third-country nationals under German immigration law. The good news is that Germany actively welcomes skilled workers and has expanded its visa toolkit in recent years.
The Skilled Worker Visa (Fachkräfte-Einwanderungsgesetz)
The primary route for employed professionals. You need a German job offer, recognised qualifications, and basic German language skills (usually A2 to B1 depending on the role). The visa is employer-sponsored and is granted for the duration of the contract, up to four years. After five years of legal residence, you can apply for permanent settlement (Niederlassungserlaubnis).
The Opportunity Card (Chancenkarte)
Introduced in 2024 under Germany's updated skilled migration law, the Chancenkarte allows qualified individuals to move to Germany and search for work for up to one year. You must score enough points across criteria including qualifications, professional experience, language skills, and age. This is a useful route if you do not yet have a firm job offer but meet the threshold.
Freelancer and Self-Employment Visa
Germany permits self-employed individuals and freelancers (Freiberufler) to reside there, but approval depends on demonstrating genuine economic need, sufficient income, and professional credentials. Regulated professions (lawyers, engineers, medical practitioners) have specific registration bodies.
EU Blue Card
Available to non-EU nationals with a university degree and a job offer paying at least the Blue Card salary threshold (from 1 January 2026, €50,700 gross per year for standard occupations and €45,934.20 for shortage occupations such as IT, engineering and healthcare, and for recent graduates). The Blue Card offers a faster path to permanent residence — as little as 33 months, or 21 months with B1 German proficiency.
Passive income / retirement
There is no specific German retirement visa equivalent to some Mediterranean countries. Retirees typically apply for the self-employment route or a national visa (Nationales Visum) based on sufficient financial means. You must demonstrate income above the basic subsistence threshold and arrange comprehensive health insurance before arrival.
All immigration applications for stays beyond 90 days are made to the German embassy or consulate in the UK before travel. Once in Germany, you register your address (Anmeldung) within two weeks of arrival — this is a legal requirement and the trigger for most other administrative processes.
The German tax system: what UK expats need to understand
Germany operates a progressive income tax system with rates that move from 14% to 45% at the top. As of 2026:
- The basic personal allowance (Grundfreibetrag) is approximately €12,348 per year for 2026.
- Income between roughly €15,000 and €58,000 is taxed at escalating rates through the middle band.
- Income above €277,825 attracts a top rate of 45%, plus a 5.5% solidarity surcharge (Solidaritätszuschlag) for higher earners.
- Church tax (Kirchensteuer) of 8–9% on your income tax bill is levied if you are registered with a church. You can formally deregister.
Unlimited vs limited tax liability
If you establish your habitual residence (gewöhnlicher Aufenthalt) or domicile (Wohnsitz) in Germany, you become subject to unlimited tax liability — meaning Germany taxes your worldwide income. This applies from the first day of residence. There is no grace period comparable to the UK's split-year rules, though the UK–Germany double taxation treaty allocates taxing rights between the two states.
The UK–Germany Double Taxation Treaty
The 2010 UK–Germany DTA (updated by subsequent protocols) determines which country has the right to tax specific income types. In broad terms:
- Employment income is taxed where the work is performed.
- UK rental income may be taxed in both countries, with Germany granting a credit for UK tax paid.
- UK private pensions are generally taxable in Germany if you are resident there; the UK state pension is also potentially taxable in Germany.
- Dividends and interest have specific withholding rate provisions.
Professional tax advice covering both jurisdictions is essential before any significant income streams are established.
Wealth tax and reporting
Germany abolished its regular wealth tax (Vermögensteuer) in 1997. However, Germany does have inheritance and gift tax (Erbschaft- und Schenkungsteuer) with rates of 7–50% depending on the value and relationship of the parties. The tax-free thresholds are more limited than the UK's IHT framework, so estate planning for German-resident expats requires careful structuring.
Germany requires disclosure of foreign accounts and assets in your annual tax return. Offshore structures are subject to strict reporting and anti-avoidance rules. Failure to disclose can attract severe penalties.
German healthcare: the statutory system explained
Germany operates a dual healthcare system — statutory (gesetzliche Krankenversicherung, GKV) and private (private Krankenversicherung, PKV). Most employees earning below the annual earnings threshold (€77,400 gross in 2026) are automatically enrolled in a statutory fund (Krankenkasse).
Statutory health insurance (GKV)
Contributions are shared between employer and employee, totalling roughly 17% of gross salary once the fund-specific additional contribution (Zusatzbeitrag) is included (the general rate is 14.6% plus an average additional contribution of around 2.9% for 2026, varying by fund). GKV covers most medical treatment, hospital care, and prescriptions, though modest co-payments apply. Dependants without their own income are covered for free under a family membership.
Private health insurance (PKV)
Employees above the earnings threshold and the self-employed can choose private insurance. PKV typically offers shorter waiting times, access to senior consultants, and broader coverage — but premiums are risk-rated and increase with age. Switching back to GKV later is difficult once you have opted out.
Bringing UK insurance
Private international health insurance valid in Germany may satisfy initial registration requirements but is not a substitute for either GKV or PKV once you are resident. Arrange your German health cover before the Anmeldung appointment.
Prescriptions and dentistry
GKV covers basic dental treatment; private dental top-up plans are widely purchased. Prescription co-payments are capped at €10 per item.
UK financial matters from Germany
UK state pension
You can continue to receive your UK state pension in Germany. It will be paid in sterling into a UK account or can be paid to a German account in euros; HMRC charges no withholding tax on state pension payments. Whether it is taxable in Germany depends on the DTA provisions and your German tax residency status.
UK private and workplace pensions
UK pension schemes can be kept and accessed from Germany. Drawdown payments are generally taxable in Germany under the DTA, though the exact treatment depends on whether the pension is occupational or personal. Transferring pension funds to a QROPS (Qualifying Recognised Overseas Pension Scheme) in Germany is rare — there are few qualifying schemes — so most expats retain UK SIPPs or occupational schemes.
UK property and investments
UK rental income is reported in Germany and taxed (with a credit for UK tax paid). UK ISA investments lose their tax-free status once you are no longer UK resident — growth and income will be subject to German capital gains and income tax rules, though the ISA wrapper is not directly recognised in Germany.
Maintaining a UK bank account
Many UK banks allow non-resident customers to retain accounts; some will close accounts for non-EEA residents. It is advisable to contact your bank before departing. A UK account is useful for receiving UK income and managing UK financial obligations.
Practical relocation checklist
- Register your address (Anmeldung) within two weeks of arrival at the local Einwohnermeldeamt.
- Open a German bank account — most employers require a German IBAN for salary payments.
- Register for German tax via the Finanzamt (tax office); you will be assigned a tax number (Steuernummer) and, for ongoing use, a permanent tax identification number (Steuer-ID).
- Arrange GKV or PKV cover before or immediately on arrival.
- Register a vehicle if applicable (UK driving licences are exchangeable within three years of first residence).
- Notify HMRC of your departure and confirm non-residence using form P85.
- Establish whether you meet the UK statutory residence test criteria for non-residence; take advice if your ties are complex.
Cost of living in Germany
Germany's cost of living varies considerably between cities. Munich and Frankfurt are among Europe's more expensive cities; Leipzig, Dresden, and smaller western cities are considerably more affordable. As of 2026:
- A one-bedroom apartment in Munich city centre costs approximately €1,800–€2,400/month; in Leipzig, approximately €700–€1,000/month.
- Groceries and dining out are generally cheaper than London.
- Public transport is excellent and comparatively inexpensive, particularly with the national rail subscription options.
- Germany has no council tax equivalent, but Rundfunkbeitrag (a broadcasting levy of approximately €18.36/month per household) is compulsory regardless of whether you own a television.
Compliance caveat
Tax rules, visa eligibility criteria, and contribution rates change. The figures above reflect publicly available information as of 2026 and should not be treated as professional tax, immigration, or financial advice. Rules governing UK pensions in particular are subject to legislative change in both the UK and Germany. Always consult a qualified cross-border tax adviser and a regulated immigration lawyer before relocating.
How Global Investments Can Help
Moving to Germany involves navigating two tax systems, unfamiliar pension rules, and a visa process that has materially changed since Brexit. Global Investments works with internationally mobile professionals and HNW individuals at every stage of the relocation journey.
Our advisers can help you understand how your UK pension, investments, and property income will be treated once you are German-resident; review your exposure to German inheritance and gift tax; and connect you with specialist cross-border tax and immigration professionals in our network. We can also review your overall wealth structure to ensure it remains efficient across both jurisdictions.
To speak with an adviser about relocating to Germany, contact Global Investments today.
This guide is for general information only and does not constitute financial, legal or tax advice. Rules, fees and regulations change frequently; verify current requirements with a qualified adviser before acting.