In a world of increasing geopolitical instability and regulatory complexity, relocating a family office to the UK is becoming an attractive strategy for many ultra-high-net-worth (UHNW) individuals and multi-generational families. Whether for reasons of security, jurisdictional stability, tax optimisation or succession planning, the UK remains a leading global destination for family offices. We are seeing a particular increase in US UHNW citizens, family offices and British expats making a beeline for British shores.
From London’s world-class financial services sector to its robust legal framework, the UK offers compelling advantages for relocating family offices. However, successful relocation requires more than booking flights and registering companies, it demands strategic immigration, tax, and governance planning.
Britain remains a clear alternative for many families, not only because of a common language and cultural ties, but also from a tax and immigration perspective. Despite the political rhetoric to the contrary, there remain various options for visas for US nationals, which we will explore below. But since the changes to the UK non-dom tax rules there are opportunities for both Americans and British expats who are looking to move.
Below are some key areas UHNW families and their advisors must consider when relocating a family office to the UK.
Strategic Immigration Planning for Principals and Key Personnel
Relocating family offices to the UK often means securing the right immigration status, not just for the principal and their family, but also for essential staff such as investment professionals, executive assistants, estate managers, or private tutors.
British Passport Holders
For Brits making the journey home, obtaining the right documents is fairly straightforward. All you need is a valid British passport and the UK will roll out the red carpet.
US Nationals and Other Non-British Citizens
For American partners, children, friends and colleagues, it is slightly more complicated. For them, securing a visa likely will be the first step towards living in the UK. There are numerous visa categories available and which category is most suitable for an individual depends on the individual's personal plans for working, traveling and that of their family.
The ‘Skilled Worker’ visa is often used by family offices relocating senior staff to the UK, such as investment professionals or personal aides, to ensure continuity of services. Meanwhile, principals and their spouses often enter on spousal, innovator or ancestry visas depending on eligibility.
The key visa options for our American allies, include:
Spouse/partner visa
This visa:
- Is available to those married to or in a long-term relationship with a UK citizen or settled resident.
- Requires proof of a genuine relationship and financial stability. Currently, there is a minimum income requirement of £29,000 p.a. or more than £88,500 in savings.
- Leads to ILR after five years of residence.
- Allows full work rights in the UK without the need for employer sponsorship.
- Requires applicants to meet the English language and accommodation requirements.
- Is initially granted for 2.5 years and must be extended before applying for ILR.
Global Talent, Innovator, and legacy investment visas
- The Global Talent visa: Requires an endorsement from an approved UK body. Applicants can apply without a job offer.
- The Innovator visa: Is designed for entrepreneurs with an innovative, viable, and scalable business idea endorsed by an approved UK body.
- The Legacy investment visas: Was previously available for high-net-worth investors but has now largely been phased out. However, it may still present a viable option for those already in the UK under certain circumstances.
These visas:
- Are available for highly skilled individuals, entrepreneurs, and investors in science, research, technology, arts, and culture
- Can lead to ILR in as little as three years for top-tier applicants.
High Potential Individual visa
This visa:
- Is available for individuals who have received a qualification in the last five years from one of the highly regarded international universities on the UK government’s maintained Global Universities List.
- Does not require a job offer or sponsorship, thus allowing flexibility to seek employment in the UK.
- Grants a two-year stay (three years for PhD holders) but does not directly lead to ILR.
- Allows successful applicants to later transition into other visa categories, such as the Skilled Worker visa, for long-term residency options.
Student and Graduate visas
- The Student visa: Allows US nationals to study at UK institutions. This visa requires proof of acceptance from a licensed UK education provider, financial self-sufficiency, and English proficiency.
- The Graduate visa: Is available to those who have completed a UK degree, allowing them to stay and work for two years (three years for PhD graduates) without sponsorship.
- Individuals who successfully obtain either a UK student or graduate visa can transition into a Skilled Worker or other long-term visa route after their student/graduate visa expires.
Skilled Worker visa
This visa:
- Is designed for individuals with a confirmed job offer from a licensed UK employer in an eligible role.
- Requires the individual to be highly skilled in the role they are to be sponsored in. Currently this includes either a bachelor's degree or a number of years of on the job experience. This is likely to change in the coming months to require all individuals to have at least a Bachelor's degree.
- Requires employer sponsorship and a minimum salary threshold (usually £38,700 based on a 37.5 hour working week, though exceptions apply for New Entrants, STEM roles, and roles on the Immigration Salary List to name but a few).
- Typically grants a stay of up to five years, currently leading to ILR eligibility.
- Allows dependents (spouse and children) to accompany the visa holder and work in any role in the UK.
- Requires applicants to meet the financial, English language, and tuberculosis test requirements where applicable.
Ancestry visa
- A cheap 5-year visa, which will allow holders to live and work in the UK without sponsorship. After the 5 years, the holder can immediately apply to settle in the UK.
- Some Americans may even be able to apply for UK Ancestry if they are a commonwealth citizen (e.g. hold an additional passport for Canada or any other commonwealth nation) or a British overseas citizen and can demonstrate that one of their grandparents was born in the UK, the Channel Islands or the Isle of Man.
- This is a much less common option for Americans but a fantastically straightforward, quick and cheap option for those that can meet the complex eligibility requirements. Therefore, it's worth considering.
Top tips to avoid common pitfalls
Many applicants endeavour to apply for visas without legal support or instead opt for 'stack 'em high and sell 'em cheap' online visa application support services, with varying degrees of success. Visa applications must satisfy the Immigration Rules and any relevant UK government visa application guidance that are in place at the time of application. Interpreting and cross referencing these documents is not always easy, and we are frequently instructed to assist clients that have had application rejections for these very reasons.
Our top tips for avoiding common pitfalls are:
- Ensure all documents are complete and accurate before applying. Errors or missing information can lead to delays, refusals, or bans on reapplying.
- Plan ahead for the financial requirements. Insufficient funds or incorrect financial documentation can result in visa refusal, especially for spouse and skilled worker visas.
- Understand visa processing times and application deadlines. Missing a deadline can require a new application, leading to additional costs and delays. If you apply for a visa in the UK, you will likely have to surrender your passport for a period of time. You will need to plan your travel commitments around this.
- Be truthful and consistent in your application. Discrepancies between documents or false information can lead to a rejection and may impact future applications.
- Check the validity of supporting documents. Expired or incorrect documents, including passports and financial statements, can cause a visa refusal.
- Consult a professional if you're unsure. UK Immigration and tax rules frequently change and getting the right advice can prevent costly mistakes.
UK Tax Planning Strategies When Relocating a Family Office
The UK tax landscape has changed this year and for American and British expat families and family offices, there are broadly three key points to keep in mind.
- A new Foreign Income and Gains (FIG) regime was introduced from 6 April 2025 replacing the remittance basis regime. Provided you have not been UK resident under the UK statutory residence test in the 10 years prior to your arrival in the UK you can claim the FIG regime which means that you will not be taxed on your non-UK source income and gains for the first 4 years you are UK resident albeit you will need to file a tax return and claim the relief.
This is excellent news for Brits who were classed as "formerly domiciled residents" who were not able to benefit from the old remittance basis regime.
- Domicile is no longer the key connecting factor for inheritance tax purposes in the UK. The extent of your liability to UK inheritance tax depends on whether or not you are a Long Term UK Resident (i.e. you have been resident under UK rules in the UK for 10 out of the previous 20 tax years).
If you are not a Long Term UK Resident then you are only liable to UK inheritance tax on your UK situated assets, but if you are Long Term UK Resident then you are liable to UK inheritance tax on your worldwide assets subject to any reliefs and the US/UK Estate and Gift Tax Treaty.
So if you return to the UK and are not a Long Term UK Resident you could have 10 years before your non-UK assets fall within the inheritance tax net. Given the huge disparity between the US combined gift and estate tax lifetime allowance (currently $13.9m) and the UK nil rate band (currently £325,000) this change is very helpful as it gives time.
- The US and UK have two double tax treaties that continue to remain in force and provide opportunities for planning not necessarily available to those from other countries.
These changes will help American and British families and family offices returning to the UK and although they give more time to restructure and plan for those looking to remain in the long term, there are pre-arrival planning steps that need to be taken before you return.
Governance and Succession Planning for Family Offices
Relocating a family office to the UK is also a moment to review legal, operational, and succession structures. Consider the following:
- If you are the trustee or a beneficiary of a US trust make sure this is reviewed from a UK perspective. Trusts do not fall under the FIG regime and are dealt with separately for UK tax purposes. If you are a trustee, by becoming a UK resident, you could accidentally bring the trust within the UK tax net. If you are a beneficiary you need to understand how any distributions will be taxed.
- LLCs are popular vehicles in the US as they provide corporate protection but remain tax transparent. HMRC treats these as opaque for tax purposes. This means that the member is taxed in the US on their share of the LLC profits. The UK will then tax any distributions the member receives from the LLC without allowing credit for the tax paid in the US. These should therefore be considered carefully before you move.
- If you are a director of any corporate entity and will be working in the UK once you move you need to consider whether this will bring the company within the UK tax regime. The FIG rules will not prevent a company you manage falling within the UK tax net.
- Certain investments may be beneficial or benign in one country but punitively taxed in another. For example, investments within ISAs in the UK are tax free but the same benefit will not be available in the US. Equally investments in collective investment schemes in the UK will be treated as PFICs in the US and taxed at higher rates in the US.
- If you own assets or intend to hold assets in the UK, it is sensible to ensure you have a separate UK Will and Lasting Powers of Attorney in place as US estate plans can cause issues in the UK.
Professional Support for Seamless Family Office Relocations
With the ever-evolving immigration and tax laws, staying informed is crucial. If you’re considering making the UK your home, seeking professional guidance can ensure a smooth and successful transition.
Relocating a family office to the UK requires seamless coordination between immigration counsel, tax advisors, trust specialists, and estate planners. Our team at Somers Partnership works closely with trusted legal partners such as Michelmores to guide UHNW clients and their family offices through this complex process. We therefore happily recommend that you make contact with Michelmores' Lynsey Blyth and James Frampton for guidance and support on your journey (back) to the UK.
