Planning a move from the UK to Saudi Arabia
Saudi Arabia is attracting increasing numbers of professionals, executives, entrepreneurs, investors and families as the Kingdom continues to expand its economy and international workforce.
A move to Saudi Arabia can involve considerably more than obtaining permission to work or live there.
You may need to consider employment arrangements, residence status, UK tax, business interests, property, family members, banking, healthcare and what you intend to retain in the UK.
Knightsbridge helps clients consider these issues as part of one coordinated international relocation plan.
Our role is to understand what you are trying to achieve, identify the areas that require attention and coordinate the appropriate immigration, tax, property and professional advice around the move.
Why are you moving to Saudi Arabia?
The appropriate structure depends heavily on the purpose of the move.
You may be relocating because you are:
- accepting employment in Saudi Arabia;
- moving into a senior executive position;
- relocating with an international employer;
- establishing or expanding a business;
- investing in the Kingdom;
- pursuing a longer-term residence strategy;
- moving with your family;
- managing businesses across several countries; or
- considering a longer-term move away from the UK.
Different objectives can lead to very different residence, tax and business considerations.
The starting point should therefore be what you want the move to achieve.
Saudi residence and visa options
Saudi Arabia operates several routes through which foreign nationals may live and work in the Kingdom. Depending on your circumstances, your residence may arise through:
- employment;
- employer sponsorship;
- family residence;
- business or investment activity;
- specialist professional status; or
- Premium Residency.
For many employees, residence remains closely connected with employment in Saudi Arabia. However, the development of the Premium Residency programme has created additional options for qualifying professionals, investors, entrepreneurs and other eligible applicants.
The appropriate route should be considered alongside your intended work, business activity, family circumstances and longer-term plans.
Employment in Saudi Arabia
Many UK residents relocating to Saudi Arabia do so because of an employment opportunity.
This may involve roles in sectors such as:
- technology;
- finance;
- healthcare;
- construction;
- infrastructure;
- energy;
- professional services;
- hospitality;
- education; and
- major development projects.
Where residence is connected with employment, the employer will often play an important role in the immigration process.
But the wider relocation may also involve:
- employment terms;
- accommodation;
- allowances;
- healthcare;
- family sponsorship;
- schooling;
- UK tax residence;
- pensions; and
- the timing of departure from the UK.
For senior executives and highly compensated professionals, the financial and tax aspects of the move may be just as important as the visa itself.
Premium Residency
Saudi Arabia’s Premium Residency programme provides an alternative residence framework for certain qualifying applicants.
The programme is intended to attract categories including skilled professionals, talent and investors. Premium Residency can provide qualifying holders with rights that differ from ordinary employment-linked residence, including residence with eligible family members.
Depending on the particular Premium Residency product, eligibility may be connected with matters such as:
- professional expertise;
- executive employment;
- investment;
- entrepreneurship;
- property; or
- other qualifying criteria.
For individuals who want greater independence from an employer-sponsored residence structure, Premium Residency may therefore warrant closer consideration.
It is important, however, to establish eligibility for the relevant product rather than treating Premium Residency as a single universal route.
Moving to Saudi Arabia with your family
Family arrangements should be considered at the beginning of the relocation.
Saudi Arabia provides residence processes for qualifying family members of residents, and the Premium Residency framework can also provide residence rights for qualifying family members.
The family position may involve:
- a spouse;
- children;
- parents;
- dependant residence;
- rights to work;
- schooling;
- healthcare;
- accommodation; and
- the timing of the family’s arrival.
The best residence arrangement for the principal applicant should therefore be considered alongside the position it creates for the rest of the family.
Tax when moving from the UK to Saudi Arabia
Saudi Arabia is often considered attractive by internationally mobile professionals because of its personal tax environment. However, moving to Saudi Arabia does not by itself determine when your UK tax residence ends.
Your UK position may continue to depend on factors including:
- when you leave;
- how many days you continue to spend in the UK;
- whether you retain accommodation;
- family connections;
- employment;
- UK property;
- business interests; and
- other continuing ties.
Saudi Arabia also has its own tax-residence rules and processes for obtaining tax residence certification. For somebody leaving the UK, the important issue is therefore how the UK and Saudi positions interact.
Tax should ideally be considered before the departure date and before significant transactions take place.
Business owners and entrepreneurs
Saudi Arabia’s economic development has created opportunities for international businesses and entrepreneurs. A client moving to the Kingdom may be considering:
- establishing a Saudi company;
- investing into an existing business;
- expanding a UK company;
- entering a joint venture;
- opening an office;
- supplying Saudi customers; or
- relocating senior personnel.
These decisions can involve questions around:
- company formation;
- foreign investment;
- ownership;
- licensing;
- tax;
- staffing;
- employment;
- banking; and
- personal residence.
The business structure and the individual’s immigration position should therefore be considered together.
Keeping a UK business while living in Saudi Arabia
Some clients intend to relocate personally while continuing to own or manage a UK business. This can raise additional questions around:
- company management and control;
- directorships;
- salary;
- dividends;
- UK employees;
- business travel;
- UK corporation tax;
- overseas business operations; and
- transactions between different entities.
Moving the owner or director does not automatically move the company. Where substantial business interests are involved, both positions should be reviewed before the relocation.
Property in Saudi Arabia
Property may also form part of the relocation plan. You may be considering:
- renting accommodation;
- purchasing a home;
- investing in property;
- acquiring property connected with a residence strategy; or
- retaining UK property while living in Saudi Arabia.
Property ownership rules and eligibility can depend on the applicant, location and type of transaction. For Premium Residency holders, the statutory framework provides specified property rights, subject to restrictions and applicable rules.
Where a purchase is being considered, the immigration, legal, tax and financial implications should be reviewed together.
Housing and where to live
The practical experience of relocating can vary substantially depending on where in Saudi Arabia you will be based. Common destinations include:
- Riyadh;
- Jeddah;
- the Eastern Province;
- Al Khobar;
- Dammam; and
- locations connected with major development projects.
Your choice of location may depend on:
- employment;
- schools;
- commuting;
- housing;
- lifestyle;
- family requirements; and
- access to international travel.
For families in particular, schooling and accommodation can materially affect which area is most practical.
Schools and education
Families relocating from the UK may need to consider international or private schooling. Important questions can include:
- curriculum;
- admissions;
- availability;
- school fees;
- location;
- transport;
- term dates; and
- whether employer allowances cover education costs.
Where children are involved, school availability can affect both the timing and location of the move.
Healthcare and medical insurance
Healthcare arrangements should also be understood before relocation.
Depending on your employment and residence arrangements, healthcare may be provided or supported through an employer or require separate insurance arrangements.
Families should consider:
- medical insurance;
- dependant coverage;
- ongoing treatment;
- prescription medication;
- specialist care; and
- the terms of the employment package.
Banking and moving funds
A move to Saudi Arabia may require new banking and financial arrangements. This can involve:
- opening Saudi bank accounts;
- salary payments;
- retaining UK accounts;
- transferring savings;
- business banking;
- investment capital;
- property funds; and
- demonstrating source of funds.
Where substantial amounts are being moved internationally, it is useful to anticipate the documentation that banks or professional advisers may require.
Investments and pensions
You may also need to review existing UK investments and pension arrangements. This could include:
- ISAs;
- pensions;
- investment portfolios;
- company shares;
- investment property;
- business interests; and
- other financial assets.
A change in residence may affect the tax treatment or availability of some financial arrangements. Where regulated financial or pension advice is required, it should be provided by an appropriately authorised professional.
Knightsbridge can help identify those issues and coordinate the relevant advisers.
Leaving the UK properly organised
Relocating to Saudi Arabia should not focus solely on what happens after arrival. Before leaving the UK, you may need to consider:
- UK tax residence;
- your home;
- rental property;
- employment;
- businesses;
- investments;
- pensions;
- banking;
- insurance; and
- your UK immigration status if you are not a British citizen. The UK departure and Saudi arrival should ideally form part of the same plan.
How Knightsbridge helps
We approach a move to Saudi Arabia as a wider international relocation rather than simply a residence application.
We can help you:
Assess
Understand why you are moving and the residence options that may fit your circumstances.
Plan
Identify the immigration, tax, business, property and family considerations involved.
Prepare
Coordinate the immigration and documentation requirements within the appropriate professional framework.
Coordinate
Work alongside Saudi-based professionals where local legal, tax, business or property expertise is required.
Review
Consider how your Saudi arrangements interact with the UK position you are leaving behind.
Before you move to Saudi Arabia
Saudi Arabia can present significant opportunities for professionals, executives, entrepreneurs and businesses. But the strongest relocation plans begin before the flight is booked. Your residence route, departure date, family arrangements, business interests and UK financial position can all affect how the move should be structured.
If you are considering moving from the UK to Saudi Arabia, tell us what you are trying to achieve, who will be moving with you and what UK property, business or financial interests you intend to retain.
We can help identify the areas that require attention and build the next steps around your proposed relocation.
