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Foreign Pensioners - Retiring to Cyprus

Retiring to Cyprus is a very popular option, especially for Britons.

The combination of the mild climate, the wide use of English, the low crime rate, the low cost of living and tax benefits (see below) is attractive to many retirees. There’s also an extensive support network for expatriates moving to the country or those living there for part of the year.

UK retirees are particularly well provided for with English-language newspapers, several British societies in the main cities and towns and a UK Citizens’ Association (UKCA), which has branches in Larnaca, Limassol and Paphos (Tel. 25-344 578,


There are substantial tax benefits for retirees in Cyprus, which imposes very low income tax on pensions and has double-taxation treaties with many countries under which retirees’ pensions aren’t subject to withholding tax at source, although husbands and wives are taxed separately.

Some countries, e.g. Canada and the UK, have an agreement with Cyprus that allows state pensions to remain index-linked when pensioners are resident in Cyprus. UK retirees can check their situation with the Inland Revenue’s International Centre for Non-Residents (Tel. UK 0151-210 2222, or the International Pension Service (Tel. UK 0191-218 7777,

Once you arrive in Cyprus as a retiree, there are also a number of duty-free privileges, including the duty-free importation of a car and personal effects.


Retired and non-active EEA nationals don’t require a visa before moving to Cyprus, but a Temporary Residence Employment permit Category F is necessary. If you plan to retire to Cyprus, you should apply for this as soon as you can after arrival. (You’re allowed to stay in Cyprus without a residence permit for up to 90 days, but the application process can take over a month).

Along with your application for a TRE permit, you must provide proof that you have an adequate income or financial resources to live in Cyprus without working. The minimum amount is around CY£6,000 per person, but each case is considered individually by the authorities. When your application is approved, you won’t be allowed to be involved in any form of business or work, whether paid or unpaid and will always have to support yourself while you live in Cyprus.

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