UK Entrepreneur and Investor Visa Holders Take Confidence In The Strong British Economy
According to a report in the Financial Times, the UK was the fastest growing economy in the G7 and is showing no signs of slowing down despite the gloomy predictions of many economists following the vote for Brexit.
The Office of National Statistics reported a growth of 0.6% in the economy at the end of the fourth quarter, and the total growth for 2016 was 2%, just slightly down from 2.2% reported in 2015.
Confidence for entrepreneurs
Some of the best Immigration lawyers dealing with Tier 1 (entrepreneur) Visa applicants report that the buoyancy in consumer spending, despite slight inflation has given them the confidence to invest their £200,000 funds and their future in the UK.
But strong consumer spending is not the only good news for Tier 1 (entrepreneur) Visa holders looking for a stable market with good supply chains. Despite reporting a soft third quarter, manufacturing bounced back in quarter four and construction, cited as one of the most vulnerable industries to Brexit by economists, held firm.
According to the FT, Chancellor Philip Hammond, said he “believed there were signs that the positive effect from sterling’s depreciation on demand for British exports is outweighing the negative effects expected to come from rising inflation.”
“What we have already seen is a slower pass through rate of currency-driven inflation pressure than many people predicted,” said Mr. Hammond. He said the “highly competitive” nature of the UK’s retail market left “question marks” about how much retailers would pass rising costs on to consumers: “I think the evidence so far is that there has been quite a damping effect.”
Reassurance for investors
For high-net-worth individuals considering a Tier 1 (investor) Visa as a route to British Citizenship, investment opportunities remain strong, although it is imperative that applicants get the best professional advice from in-country wealth managers and Immigration solicitors before making their application.
The British Government has appeared to have thrown off the shackles of austerity and committed to a significant number of infrastructure projects to boost growth. These include:
- Hinkley Point C Nuclear Plant – this is estimated to provide 25,000 new jobs
- HS2 Railway – offering passenger links from Crewe to Manchester, the West Midlands to Leeds and London to the West Midlands
- A new runway at Heathrow
- A £15.2bn Roads Investment Strategy run by Highways England
A wealth of culture and opportunities for investors and entrepreneurs
The UK investor and entrepreneur route appeals to foreign investors and business people, not simply because of the wealth of career and profit-making opportunities that you can pursue, but the lifestyle advantage living in Britain brings.
- A stable and democratic government
- A strong rule of law and independent judiciary
- World-renowned private school and universities
- Exceptional residential properties
- Five international airports in London and high-speed rail connections to Europe
- A rich intellectual and cosmopolitan society.
In most cases, an applicant will need access to a certain level of funds, which can be made available to them by third parties (whether individuals or companies). The standard level of funding required is £200,000, but this is reduced to £50,000 if the funds are being provided by specific UK venture capitalists, seed funding competitions or government departments.
The applicant will also normally need to meet the English language requirement, provide a business plan and pass a ‘genuine entrepreneur’ test and have sufficient funds on top of the investment capital to support themselves financially.
This route is very attractive for high-net-worth individuals who will be making substantial financial investments in the UK as it typically affords the successful applicant:
- unrestricted self-Employment and Employment in the UK—with the exception that normally a Tier 1 (investor) migrant will not be eligible to work as a doctor or dentist in training
- more generous provision than other categories as to the absences permitted over the years leading to settlement—for Tier 1 (investor) migrants 180 days of absence is permitted in any 12 calendar-month period, and
- an accelerated route to settlement (Indefinite Leave to Remain) after 2 years for those who are willing to invest at least £10m, or after 3 years for those who are willing to invest at least £5m—although note that dependant partners and children may not be able to apply for Indefinite Leave to Remain at the same time.
To be eligible, an applicant is usually required to have £2 million of their own funds to invest, which must be held in a UK or overseas regulated financial institution They must also have opened an account with a 'UK-regulated bank' for the purposes of investing the required capital.
The importance of professional advice
Due to the vast amounts of money involved in applying for a UK entrepreneur or Investor Visa, it is crucial to seek the best advice from an experienced Immigration lawyer when making the initial application. Applicants will benefit from legal advice regarding collation the correct documents, satisfying the ‘genuine entrepreneur’ test and connections to wealth managers and financial advisors who can assist them in the management of their investment portfolio.
OTS Solicitors is one of the most respected Immigration law firms in London. By making an appointment with one of our Immigration solicitors, you can be assured of receiving some of the best legal advice available in the UK today. Our business immigration solicitors, Teni Shahiean, Oshin Shahiean, Nagesh Jain and Dr Lusine Navasardyan can assist you in obtaining a UK Tier 1 (entrepreneur) Visa or Tier 1 (investor) Visa.
If you wish to discuss any of the points raised in this blog, please phone our London office on 0203 959 9123.