A development company has outlined reasons why it believes there’s been an increase in interest in Cyprus property investment.
Sotia Hadjineocleous of Domenica says Cyprus offers a mix of financial perks and lifestyle benefits that UK residents increasingly find irresistible.
“After the past few years of economic uncertainty in the UK, we’re seeing many Brits decide that life is simply too short for bad weather and high taxes.
“The number of Brits relocating to Cyprus continues to climb as people seek both financial stability and a better quality of life, with the advantages of Cypriot weather.
“Cyprus offers a blend of the comfortable and familiar with Mediterranean charm that helps new arrivals settle in quickly.”
The comments come as more UK citizens look abroad for better opportunities, with Cyprus proving particularly attractive due to its tax system and Mediterranean lifestyle.
Hadjineocleous highlighted six key reasons behind the island’s growing popularity with British expats.
1. Tax-friendly living
Cyprus’s favourable tax regime is a major draw for British expats. With no inheritance tax, no wealth tax and income tax capped at 35%, many Britons find they can retain more of their earnings than they would if they were in the UK.
The first €22,000 of income in Cyprus is completely tax-free as of January 2026, with tiered rates thereafter that remain significantly lower than British equivalents.
Property-related costs are also generally low. There is no annual immovable property tax, although owners are required to pay modest municipal or local authority fees, which cover services such as waste collection, sewerage and other local amenities.
These typically range from around €300 to €400 per year, depending on the property and location.
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2. Business opportunities
Cyprus offers a welcoming environment for both entrepreneurs and professionals. Company registration typically takes between one and two weeks, with English widely accepted in official business settings.
The corporate tax rate is 15.0% as of 1 January 2026, with certain exemptions for specialised incomes such as IP-box revenues or R&D activities, meaning many companies, particularly in the tech sector, can pay as little as 2.5% in corporate tax.
Non-domiciled residents also enjoy significant advantages, paying 0% tax on dividends, interest and most capital gains, including foreign income, for up to 17 years.
Other tax benefits include 0% inheritance tax, 0% wealth tax, and a flat 5% tax rate on foreign pension income, making Cyprus highly attractive for business owners and investors.
Professionals in IT, tourism, finance and education are in strong demand for their skills, and UK qualifications are also highly regarded across the growing financial services sector.
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3. Top education choices
For families relocating with children, Cyprus provides a smooth educational transition.
Many international schools follow the British curriculum and offer high standards at significantly lower costs than UK private schools.
Annual fees at leading international schools range from €7,500 to €17,000, far below the £30,000-plus often seen in London, making quality education more accessible for expat families.
Cyprus also has English-speaking universities with strong ties to British and American institutions, offering further options for higher education in a familiar academic environment.
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4. History, Culture and Familiarity
Cyprus offers an inspired cultural experience shaped by centuries of influence from Ancient Greeks and Romans to Venetians, Ottomans and the British. Expats can explore ancient ruins in the morning and relax on pristine beaches in the afternoon.
British influences remain evident across the island, from left-hand driving to the widespread use of English and familiar UK brands, helping newcomers settle quickly.
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5. Affordable cost of living
The lower cost of living is another key factor attracting Brits. A family of four can expect monthly living costs of around €2,500 excluding rent, roughly 40% lower than UK averages.
Groceries, dining, utilities and healthcare all come at lower prices, while private medical care is both affordable and high quality.
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6. Property offerings
Property prices in Cyprus offer remarkable value compared to the UK. A villa with a private pool near the coast can start at €400,000, a fraction of comparable UK prices for the quality and living situation.
Luxury apartments are also available from €180,000, boasting amenities that are rarely found in the UK, never mind at the price point offered.
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