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An easy route to a
UK green card
the Investor Visa
Nicolas Groffman, Claire Thompson
(Harrison Clark Rickerbys)
Sam Jacobs (Quilter Cheviot)
With you every step of the way
An easy route to a UK green card
the Investor Visa
The UK is one of the world’s top destinations for immigration and
capital domicile for high net worth individuals (City-speak for “wealthy
people”). Many wealthy individuals (especially those from outside
the EU) relocate to the UK because of its housing market, its private
education system and its status as a global commercial and financial
centre - all underpinned by a reputation for political and legal
stability. For high net worth individuals and families (especially those
originating from rapidly developing countries), the relatively low level
of pollution and the UK’s global interconnectedness can create an
ideal and strategic ‘home away from home’.
For those with the financial means and
who are considering the UK as an offshore
destination, they would be well advised
to make use of the UK’s Tier 1 Investor
Visa. However, it is important to note that
although the application is much easier
than a spouse visa or other types of long
term visa, a surprising number of mistakes
do occur which ultimately lead to rejection,
frustration and higher cost. Expert advice
is critically important.
Minimum £2 million investment
The visa is available to those who will invest
a minimum of £2 million in UK registered
companies. In return, the applicant is
allowed residence in the UK for three years
and four months or longer if a successful
application to extend is made. Once the
applicant has remained in the UK for five
years (a shorter period of three or two years
is possible for investments of £5 million and
£10 million respectively), he or she can apply
for permanent settlement in the UK. During
that residency period, the applicant needs
only to remain in the UK for half the year.
If the applicant meets the requirements
Due diligence
Applicants need to bear in mind that
on receipt of the visa, if the money is
subsequently invested in UK listed securities
to activate the programme then the
investment service provider (this could be
an investment manager or banking group
providing investment management services)
will be obliged to undertake enhanced due
diligence as part of their source of wealth
and politically exposed person checks
under the FCA (Financial Conduct Authority)
which is integral to anti-money laundering
policy and process. This means that is quite
possible to meet the initial requirements of the
Home Office and be issued with a visa but
not meet the secondary requirements of an
FCA regulated investment manager who will
facilitate the investment in eligible securities.
If the information gap is not bridged it will be
difficult to fulfil the visa requirements.
Invest in private companies
It should be pointed out that there is
nothing to preclude applicants investing
in non-listed companies. In these
circumstances, investor applicants would
and has a clean immigration history, it is
have to make arrangements to ensure
less onerous than most visa alternatives.
they were satisfied of the integrity of
For example, there is no English language
the investee companies by employing
requirement at the point of application.
independent professionals to both advise
them and undertake ongoing valuations.
also means capital growth). Therefore, only
This route is seldom used due to the relative
natural income (eg dividends) can be paid
transparency of investee companies (as
out from the portfolio.
opposed to listed companies with tight
reporting and disclosure obligations),
liquidity concerns and the cost of additional
professional services. A further issue is that if
this investment is made outside the ambit of
the FCA, then there is no agency statutorily
tasked with undertaking enhanced due
diligence checks. In these circumstances, an
unavoidable Home Office in-depth source
of wealth enquiry could arise at a later stage
(e.g. visa extension, application for indefinite
leave to remain etc.). This could prove
stressful for an unprepared visa holder who
has committed time, energy and capital.
Irrespective of whether the investment
is made in listed or non-listed securities,
the funds need to be invested in suitable
The Tier 1 investor must provide quarterly
reports (usually supplied by the investment
manager for market listed investments) showing
that the investment has been maintained in
accordance with the rules. In this instance, the
reports are submitted to the Home Office along
with a letter from the investment manager for
the purposes of securing a visa extension and,
ultimately, permanent settlement in the UK.
Grounds for refusal
UK Visas and Imigration (UKVI) caseworkers are
empowered to refuse a Tier 1 investor application
if they have reasonable grounds to believe that:
i. the applicant is not in control of the
investment funds;
strategies within 90 days and appropriately
ii. the funds were obtained unlawfully (or
evidenced. The investment can only be in
by means which would be unlawful if they
• UK government bonds,
• UK share capital; and
• UK corporate debt (issued by UK
registered trading companies).
You cannot just buy a house or invest
in property worth £2 million, although,
somewhat confusingly, there are propertyrelated investments which may be Tier 1
compliant. These are usually businesses that
are focused on providing property related
services as their main operation rather than
development or investment. Caution should
happened in the UK); or
iii. the character, conduct or associations
of a party providing the funds mean that
approving the application is not conducive
to the public good.
For an application to be successful it is
important that the applicant has the
evidence and explanations necessary to
assuage any UKVI doubts.
Why the Tier 1 investor visa
is a good choice
be exercised here as these investments are
Provided that the application is handled
non-listed and have proximity to a toxic asset
correctly and the funds are managed
class for Tier 1 purposes.
properly, this type of visa is less complex
than any other type of UK settlement visa.
Ongoing requirements after
the money comes in
Although it is still easy for the applicant to
There are ongoing compliance requirements.
visa issuance, this category of migrant is
Whilst there is no longer a requirement for
actively encouraged by UK government
make a mistake that might jeopardize the
the Tier 1 investor to top up the fund if the
policy, unlike most other categories, and so
market value of the portfolio falls below the
there is less motivation to reject provided the
purchase value of £2m, the capital cannot
applicant has legitimate funds to invest and
leave the account (in practical terms, this
is of good character.
Nicolas Groffman, Partner
Harrison Clark Rickerbys
07816 592934 | [email protected]
Claire Thompson, Partner
Harrison Clark Rickerbys
01905 746462 | 07824 622 474 | [email protected]
Harrison Clark Rickerbys, a leading law firm whose roots go back to 1796, has
grown in size, stature and reach to more than 380 staff across seven offices from
the Thames Valley through the South West and the Midlands to Birmingham. We
field a dedicated team of lawyers experienced in dealing with international
business matters, offering a real alternative to London law firms, with coverage
across most of southern and central England.
The breadth and depth of our expertise means we are ideally placed to handle all your
business needs at home and abroad, in conjunction with partners such as Quilter Cheviot.
www.hcrlaw.com | @HCRlaw
Sam Jacobs, Business Development Director
Quilter Cheviot
020 7150 4253 | [email protected]
Quilter Cheviot has been successfully managing investments on behalf of clients
for over 240 years. We are one of the leading providers of Tier 1 Investment Services
and have built a reputation for rigorous process ensuring our clients have expertly
managed investment portfolios which are individually tailored, liquid, transparent and
fully compliant with the Tier 1 (Investor) Visa rules.
In addition to our Tier 1 Investment Service, we are well-positioned to assist with
broader overseas investment plans in conjunction with Harrison Clark Rickerbys.
www.quiltercheviot.com | @quiltercheviot