Three major European countries may follow Spain’s lead in imposing a hefty 100% tax charge on UK tourists, according to Mike Harvey, managing director at 1st Move International. He noted that the move has “set a significant precedent” and revealed that popular destinations like France, Greece, and Portugal are “now considering similar measures” Mr Harvey warned: “While these policies aim to address housing shortages, they could have unintended consequences-impacting digital nomads, retirees, and international buyers who contribute to local economies.”
He expressed concerns about Greece, stating: “A 100% tax on foreign buyers could hurt Greece’s competitiveness and economic stability. The country is already tackling housing pressures by banning new short-term rental licenses in key Athens areas. Further changes could reduce investment and affect both the property market and the local economy.”
Mr Harvey also highlighted potential issues for Portugal, saying: “Additional taxes on foreign buyers could strain the market,” and “slowing property investment and tourism.”
He pointed out: “Portugal’s tourism contributes to 15% of GDP, reaching €25.1billion in 2023 with a predicted revenue of €66.5billion by 2034.”
He concluded with a cautionary note: “However, with the introduction of new property taxes on foreign buyers, this growth could be at risk. Portugal remains a top destination for Brits, but the introduction of these taxes could dampen that interest, affecting both the property market and the broader economy.”, reports Birmingham Live.
He explained: “Our internal data shows it was the 6th most sought-after destination between 2022 and 2024. The island offers a great Mediterranean lifestyle, featuring sunny weather, affordable living, and a welcoming environment.”
“With English widely spoken, expat-friendly tax perks, and a relaxed yet lively atmosphere, it’s clear why Cyprus is gaining traction as a top destination for those seeking a vibrant lifestyle abroad.”
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Meanwhile, Spain’s move to impose a 100% property tax on non-EU buyers stands out as one of the most significant housing policy shifts in Europe of late. Intended to benefit locals and curb escalating housing costs, this reform has left many international investors pondering if investing in Spain is still advantageous.
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