Working in Spain After Brexit

Wondering how UK citizens can legally work in Spain after Brexit? From navigating residency permits to understanding visa options and even reclaiming taxes, we break down everything you need to know to make your Spanish career dreams a reality.

British protestors for the European Union

Photo by Jannes Van den wouwer

Can I Live and Work in Spain After Brexit?

Since the Brexit transition, rules for British citizens have changed dramatically. Although free movement no longer applies, you can still live and work in Spain, as long as you meet certain legal and immigration requirements. Understanding the new legal landscape is fundamental for any British person considering a life and job in Spain.

This article, elaborated by legal experts, aims to provide a comprehensive and accurate guide for UK nationals wishing to join the Spanish workforce. The departure of the United Kingdom from the European Union has introduced a complex web of new regulations that directly impact the ability of British nationals to seamlessly transition into the Spanish job market. Navigating these changes requires a meticulous approach and a deep understanding of Spanish immigration law and labor policies. This guide will delve into the intricacies of obtaining the necessary permits, managing tax obligations, and ensuring a smooth relocation process for those aspiring to work abroad in Spain.

The Impact of Brexit

Brexit ended the automatic right for British nationals to reside and work in European Union countries. Now, UK citizens are considered third-country nationals and must apply for the appropriate visa or work permit before relocating to Spain. This has completely transformed the migration and employment process, making planning and adherence to legal requirements more important than ever. The freedom of movement, one of the cornerstones of EU membership, no longer benefits British citizens, which means they must follow the same procedures as other non-EU nationals. This includes the need for specific residence and work permits, which were not previously required for UK citizens.

The complexity of these new requirements underscores the need for expert legal advice to avoid mistakes that could delay or prevent relocation. Before Brexit, a British national could simply move to Spain, register their residence, and begin employment without the need for a visa or work permit. This direct route has been replaced by a system that mirrors the procedures for citizens from countries outside the European Economic Area. Consequently, British individuals now face additional administrative burdens, including proving their eligibility, demonstrating financial solvency, and securing appropriate visas or permits from the Spanish consulate or immigration authorities before making the move. This shift necessitates a thorough understanding of the various visa categories and their specific requirements, which can often be intricate and time-consuming to fulfill.

Residency Requirements

To work legally in Spain, British nationals must regularize their status through immigration procedures and obtain a valid residence permit. This permit is the basis for any work activity in the country and is an indispensable step after Brexit. Legal residency not only allows work but also grants access to essential services such as healthcare and social security. It is crucial to understand the different routes to residency and select the one that best suits your individual situation, whether through an employment contract, self-employment, or sufficient financial means.

The Spanish government has established different types of visas and permits that address the diverse needs of immigrants. Each type of visa or permit has its own set of requirements, processing times, and eligibility criteria, making it imperative for applicants to choose the correct path. For instance, a work visa is specifically designed for individuals who have secured a job with a Spanish company, while a non-lucrative visa caters to those who wish to reside in Spain without engaging in employment, relying instead on their personal funds.

Work Visa

A work visa allows you to be employed by a Spanish company. It must be requested by the employer through immigration authorities and approved before the employee enters Spain. This type of visa is fundamental for those who have secured a job with an established company in Spain.

The process of applying for a work visa is often initiated by the company offering the employment, as they must demonstrate the need to hire a non-EU national and that the position cannot be covered by a Spanish or EU citizen. This process can be lengthy and require a significant amount of documentation from both the company and the applicant. The employer typically needs to prove that the job cannot be filled by someone already in the Spanish or EU workforce, often through a national job search. Once this is established, the employer applies for a work permit on behalf of the British national with the relevant Spanish immigration authorities. If the permit is approved, the British national can then apply for a work visa at the Spanish consulate in the United Kingdom.

Non-Lucrative Visa

This visa is for those who wish to live in Spain without performing any employment. It is suitable for retirees or individuals with sufficient funds to support themselves. Although it does not permit work, it is a popular route for those seeking residence in Spain who have other sources of income. It is important to emphasize that the non-lucrative visa demands rigorous proof of financial solvency and private health insurance that covers all risks in Spain. This visa is not designed for work, so any remunerated economic activity under this visa can lead to legal issues and the revocation of the residence permit. It is an ideal option for those with substantial capital or passive income.

The non-lucrative visa requires applicants to demonstrate that they have sufficient funds to support themselves and any dependents without needing to work in Spain. The specific financial requirements are updated annually and can vary depending on the number of family members included in the application. Generally, this involves proving a minimum amount of income or savings, often linked to the IPREM (Public Multi-Purpose Income Indicator). Applicants must also secure comprehensive private health insurance from a Spanish company, which must provide full coverage equivalent to the Spanish public healthcare system, without deductibles or co-payments.

Work Visa Requirements

To obtain a work visa in Spain, British nationals must fulfill the following requirements:

Signed job contract from a Spanish company: This is the most crucial document, as it demonstrates the formal employment offer. The contract must specify the working conditions, salary, and the duration of employment.
No criminal record: It is necessary to present a criminal record certificate from both the United Kingdom and any other country where the applicant has resided in the last five years.
A valid passport: The passport must have a minimum validity of six months beyond the intended period of stay in Spain and sufficient blank pages for visa stamps.
Health insurance: Comprehensive health insurance that offers coverage equivalent to the Spanish healthcare system is required. This ensures you won't become a burden on public health services.
Proof of financial means (if required): Although the work visa is based on an employment contract, some consulates may request additional proof that you can support yourself until receiving your first salary.

These requirements are designed to ensure that applicants are eligible to work and reside in Spain, and that they will not represent a burden on the state. It is vital to prepare all documentation meticulously and anticipate any possible additional inquiries from immigration authorities. The assistance of a legal expert can be invaluable to ensure all requirements are met and to navigate the application process, which can be complex and involve multiple administrative steps.

Can I Still Work in Spain After Brexit?

Yes, you can still work in Spain as a British citizen, but you need a valid visa or residency permit. Failure to comply with immigration rules may lead to penalties or deportation. The key is to understand that EU citizen status no longer applies, which means that standard procedures for third-country nationals must be followed. This implies that the job application process in Spain may be more complex and time-consuming than before Brexit. Advance planning and strict adherence to the law are essential for a successful transition.

While the automatic right to work has ceased, Spain remains a welcoming country for foreign talent, and various legal avenues exist for British citizens to secure employment. The shift from free movement to a visa and permit system requires a proactive approach from job seekers. This might involve obtaining a job offer from a Spanish company that is willing to sponsor a work visa, or applying for a self-employed visa if you plan to start your own business.

It's crucial for British individuals to research and understand the specific visa category that aligns with their professional intentions and qualifications. Attempting to work in Spain without the correct documentation can result in severe consequences, including fines, detention, or even a ban from re-entering the Schengen area. Therefore, securing the appropriate legal authorization before commencing any employment is non-negotiable.

For those who were already residing legally in Spain before Brexit, the situation is slightly different due to the Withdrawal Agreement.

Maintaining Residency

If you were already legally residing in Spain before Brexit and can prove it, you may retain your residency status under the Withdrawal Agreement. This agreement provides protection for British citizens who settled in Spain before December 31, 2020. However, this is not automatic; individuals must have applied for and obtained a new residence card (TIE - Tarjeta de Identidad de Extranjero) to confirm their status.

Maintaining this residency is crucial to preserve working rights and other benefits. It is important that British nationals who qualify under the Withdrawal Agreement ensure their documentation is in order and up-to-date to avoid any future issues. The Withdrawal Agreement was designed to safeguard the rights of EU citizens in the UK and UK nationals in the EU following Brexit.

For British residents in Spain, this meant a specific application process to transition from their previous EU residence status to a new, protected status under the agreement. The TIE card serves as physical proof of this legal residency and acknowledges the rights granted by the Withdrawal Agreement, including working rights, access to healthcare, and social security. Even if you have the TIE, it is vital to keep track of its expiry date and renew it promptly, as failure to do so could jeopardize your legal status.

Working Rights

Once you have legal residency, you have the same working rights as Spanish nationals, including access to the healthcare system, social security contributions, and labor protections. This means that, as a legal worker in Spain, you will be covered by Spanish labor law, which includes minimum wages, working hours, holidays, and protection against unfair dismissal.

You will also have access to public employment services and the possibility of receiving unemployment benefits if you meet the requirements. The Spanish social security system is a comprehensive system that covers everything from healthcare to pensions, providing a safety net for workers. It is a fundamental part of life in Spain and a significant benefit of legal residency.

These working rights extend to various aspects of employment, ensuring fair treatment and equal opportunities. For example, legally resident British nationals can access Spanish public healthcare once they are registered with social security through their employment. They will also contribute to and be eligible for social security benefits such as sick pay, maternity/paternity leave, and eventually, a Spanish pension, provided they meet the contribution requirements.

Moving to Spain after Brexit as a Self-Employed Person

You can also move to Spain as a self-employed professional, but you'll need to prove that your business idea is viable. The self-employed visa (or work visa for self-employment) is an option for those who wish to establish their own business in Spain. This type of visa requires detailed planning and the presentation of a convincing business plan that demonstrates the viability of your enterprise and its economic impact in Spain.

The Spanish government seeks to ensure that self-employed individuals can support themselves and contribute to the local economy. This process can be more complex than for an employed work visa, as the responsibility of demonstrating the solvency and viability of your business falls on the applicant.

The self-employed visa is a fantastic opportunity for British entrepreneurs and freelancers looking to expand their horizons in Spain. However, unlike securing a job offer, this route demands a comprehensive and strategic approach to prove the legitimacy and potential success of your business venture.

Proof That Your Business Proposition is Viable

To prove that your business proposition is viable as a self-employed person in Spain, you will need to submit the following:

Detailed business plan: This document must include a comprehensive description of your business, a market analysis, financial projections, and how your business will benefit the Spanish economy.
Proof of professional qualifications: If your business requires specific qualifications (for example, medicine, architecture), you will need to provide evidence of your degrees, professional certifications, and licenses.
Evidence of funding or investment: You will need to demonstrate that you have the necessary funds to establish and maintain your business until it generates sufficient income. This can include bank statements showing personal savings, loan agreements from financial institutions, or proof of investment from third parties.
Contracts with clients or projected income streams: Any proof of client interest or preliminary contracts can strengthen your application by demonstrating the demand for your services.
The self-employed visa application process is rigorous and requires meticulous preparation. Seeking advice from a lawyer specialised in immigration and business law can be extremely beneficial to ensure your application is strong and complete, increasing your chances of success.

Tax Reclaim in Spain for British Citizens

Understanding the tax system is key when working abroad. As a British national, you may be eligible to reclaim overpaid taxes. This is especially relevant for those with complex tax situations or who have paid taxes in both the United Kingdom and Spain. Spain has a network of double taxation agreements with various countries, including the United Kingdom, designed to prevent individuals from paying taxes on the same income twice. The Spanish Tax Agency (Agencia Tributaria) is the entity responsible for tax management. It is important to note that tax reclaim applies not only to employment income but also to other areas such as inheritances or gifts. Navigating the tax system of a new country can be daunting, particularly when dealing with cross-border income and assets.

Eligibility for Tax Reclaim

If you've paid too much tax while working in Spain or if you've received an inheritance or a gift, you may be entitled to a tax refund. It is crucial to review your tax status and the relevant laws to determine your eligibility. Common scenarios that may lead to a refund include paying taxes on income that is exempt under a double taxation treaty, or the incorrect application of deductions and tax credits. Furthermore, British nationals who have received an inheritance or gift in Spain, they may be eligible for tax reclaim if the taxes paid exceed what is stipulated by law or international agreements. We recommend reading: tax reclaim in Spain. This link will provide detailed information on the reclaim processes in these specific cases. Eligibility for a tax refund can arise from various situations. For employment income, it might occur if your employer withheld too much tax from your salary, or if you qualify for certain tax reliefs or deductions that were not initially applied.

The Tax Reclaim Process

The tax reclaim process in Spain for British citizens generally involves the following steps:

Gather your tax documents: This includes proof of income, certificates of withholdings, documentation of deductible expenses, and any other relevant documents that support your claim. Accuracy and completeness are key to a successful claim.
Verify your eligibility: Before submitting your claim, ensure that you meet all requirements and that you have a strong case for a refund. A specialised tax advisor can help you with this assessment.
File your claim with the Spanish government (Agencia Tributaria): The claim is filed through the official channels of the Agencia Tributaria, which may include online platforms or paper forms. It is fundamental to follow the correct procedures and submit the necessary documentation in a timely manner.
Track your application: After submitting your claim, it is important to track the status of your application to ensure it is processed correctly and on time. This may involve communicating with the Agencia Tributaria and responding to any requests for additional information or clarification.

Managing international taxes can be complex. Therefore, it is highly recommended to seek advice from a lawyer or tax advisor specialised in international taxation and Spanish law. An expert can navigate the complexities of the tax system and ensure your claim is managed efficiently, maximizing your chances of a successful refund. This is particularly true if you have assets or income in both countries or if your tax situation is unusual.