Issue of UK Tier 1 (Investor) plummets during Covid-19 lockdown quarter
For decades, the UK has been one of the attractive markets for foreign investment. Every year, individuals travel to the country to leverage ever-changing investment environments. On that note, the UK government offers a unique combination of investment and immigration opportunities to boost the UK’s economy and promote growth.
The concept of Tier 1 (investor) is one of the unique combinations by the UK Government which came into effect on 30 June 2008. This is an immigration route to attract foreign investors. However, the novel Coronavirus has severely impacted migrant priorities which are easily reflected in the migration statistics shared by Shard Capital. The data reflects the leftward shift in migration habits of other countries except for America and Asia which contemplate factors like the respective nation’s handling of the virus, and the solidity of the nation’s healthcare systems.
A shift in American Migrants
Investment migration has declined altogether. But it may come as no surprise to those who are keeping a tab on the inflow and outflow of migrants. More and more Americans are bringing wealth and keeping the UK economy afloat. According to the industry experts, they are optimistic about the inflow of American investors which will be reflected in the period of Q4’20-Q1’21.
More property acquisition by Asian Investors
Till 2018, billions of pounds were invested in property and businesses by the Asian market. Even in times of crisis, investments by Asian investors are booming and the credit goes to Brexit. The Great British Pounds dropped considerably which has attracted Asian investors to invest more. For the first time, the number of passport holders from Hong Kong SAR surpassed the number of applicants from Mainland China.
An Asian investor can reap a reward during the transition from the freedom of movement to the points-based system. However, there are several other challenges that one investor needs to consider when the country is actually propelling through the crisis of Coronavirus.
Undoubtedly the weakening of the pound has encouraged more and more Asian investments in the UK. But profoundly lower interest rates can raise alarm in terms of return on investment. The ongoing economic crisis under COVID-19 can make it harder for investors to yield good profits. It could even take a longer time for the economy to recover if the second wave of Coronavirus hits the nation. Moreover, the economic transition due to Brexit can impact the portfolio. So, it is very important to assess the current economic climate before withdrawing any investment from the UK.
Understanding Tier 1 Visa Requirements
Come and take advantage of Tier 1 Investor Visa which is primarily designed for high net worth individuals from outside the European Economic Area (EEA) and Switzerland who wish to invest £2,000,000 or more by entering and remaining in the UK. The individual must:
- be 18 or over to apply for the visa,
- be able to provide evidence that the money belongs to a spouse, unmarried, or same-sex partner.
- have an account at a UK regulated bank.
The funds must be held in one or more regulated institutions. The fund must be free to spend in the UK. Those individuals who are already holding a Tier 4 general visa can also apply for a Tier 1 Investor Visa. However, they will need to undergo an unconditional agreement with the financial sponsor if their living costs and course fees are paid by the government.
Please note that visa applications can be complex. So, get in touch with an experienced team of immigration solicitors who can navigate the complexities of the immigration route. Hire A Y & J Solicitors which will be your first step towards your successful Tier 1 (investor) visa application.