In the wake of uncertainty created by Brexit and the possibility of a no-deal Brexit, UK-based companies must safeguard their preferred access to the European Union market by shaping their Brexit plan. Despite its small size, Malta is a highly attractive jurisdiction to set up an EU presence as it fosters an environment ripe for business growth while providing stability and peace of mind.
What are the benefits of relocating your UK company to Malta?
Language and skills
Often called Malta’s most valuable asset, the Maltese workforce is English speaking and highly skilled with salaries on average 20 to 30% lesser than in the UK.
As one of the two official languages, English is widely spoken by the local population and official documents are prepared in English which makes the transition from UK smooth and straight forward.
Establishment and operating costs are relatively low when setting up or relocating to Malta.
Despite a rather high 35% corporate tax, Malta’s tax regime provides for many reductions (2/3, 5/7 and 6/7), a participation exemption regime for qualifying holdings, and it is also the only EU jurisdiction to apply a full tax imputation system. Malta has also entered into over 70 double tax treaties and set up various regimes which provide for relief from double taxation.
UK Citizens special status
Prime Minister Joseph Muscat wants Malta to be the most UK friendly country once Brexit happens by ensuring a smooth transition for UK nationals living and working in Malta.
For instance, Malta will be implementing a 10-year residency permit for British citizens in the case of a no-deal Brexit as well as keeping in place the health agreement signed between Malta and the UK in 1975.
As a result of such measures, workers would be able to continue work in Malta, students will be able to study here and residents will be able to continue living here. The complete government plan in case of a no-deal Brexit can be found here
The Malta Financial Services Authority is one of the driving force behind Malta’s success as a financial services hub. Whilst ensuring a robust regulatory framework that ensures stability in the local fund market, the regulatory regime remains flexible with its open-door policy which allows asset managers to have informal talks with the regulator which offers sound advice about setting up in Malta.
Malta offers a diversity of innovative funds structures such as:
– Professional Investor Funds (PIFs)
– Alternative Investment Funds (AIFs);
– Notified AIFs, which may be incorporated and market to investors within just 10 days;
– UCITS (retail funds);
– Private Funds;
– Recognised Incorporated Cell Companies.
Malta’s progressive attitude towards DLTs (including blockchain) and cryptocurrencies has materialised into a regulated framework for innovative technology that is built upon three pillars: consumer protection, market integrity and financial stability.
This comprehensive legal framework is a world first and attracted some of the world’s largest crypto-exchanges who have either relocated to or commenced additional operations in Malta.
Without doubt, the gaming industry in Malta is a success story: in a decade, Malta has become the iGaming capital of Europe only seconded by UK and Gibraltar as the jurisdiction of primary establishment for most operators within the industry.
Quality of life
A haven at the crossroads between Europe, Africa and the Middle East, Malta is easily accessible to the rest of the world, while still offering a Mediterranean lifestyle with a fun-loving approach to life.
Malta is known for its high standard of living and cosmopolitan attractions, including luxury real estate and rental accommodation, top restaurants and bars, and world-class leisure – be it spas, golf or yachting.
Malta also boasts an array of exceptional business locations throughout the island including many highly sought after developments offering first-class office spaces such as Tigne Point, Portomaso, Pendergardens and Trident Park to name just a few.