Travel
Spain aims to ban golden visas from January – but one country is reintroducing its scheme
The EU is turning its back on golden visas – but one country is reintroducing its scheme.
Getting the right to live and work in another country can be a long and difficult process. But that’s not always the case for those with money to spend.
Golden visas offer the opportunity for wealthy people to essentially ‘buy’ the right to residency – sometimes without even having to live in the country.
And their popularity in the European Union is growing as people look to move away from countries facing instability and political decisions such as Brexit that may limit their safety and rights.
With the unsettled political and social environment in the US in recent years, applications for golden visas from Americans were also projected to increase.
But golden visas are now gradually being phased out across Europe.
Spain has finally secured a legal route to ending golden visas via property investment, with reports suggesting the ban could come into force by January 2025. The ban, which is still being debated, could also affect other investment pathways.
Portugal removed real estate investment as a basis for golden visa applications back in October 2023 in the hope of reducing property speculation.
The Netherlands followed suit, ending its golden visa scheme in January 2024.
But Hungary has bucked the trend by reintroducing its golden visa scheme, with applications open as of this month.
So what exactly are these golden visa schemes and why has the EU raised questions about their safety in recent years?
What is a golden visa?
Residence by investment schemes, otherwise known as ‘golden visas’, offer people the chance to get a residency permit for a country by purchasing a house there or making a large investment or donation.
Any applicants must be over the age of 18, have a clean criminal record and have sufficient funds to make the required investment.
There are also golden passports, known officially as citizenship by investment programs, that allow foreigners to gain citizenship using the same means.
For countries in the EU, this also means gaining access to many of the benefits of being a resident of the bloc – including free movement between countries.
Why is the EU against golden visas and passports?
In 2022, the European Commission called on EU governments to stop selling citizenship to investors.
Though this is different to golden visas, which offer permanent residency rather than citizenship, the call came as part of a move to crack down on this combined multi-billion euro industry. In the wake of the Ukraine war, there were concerns that these schemes could be a security risk.
Brussels also called for countries to double-check whether people sanctioned due to the war were holding a golden passport or visa that they had issued.
In the past, the EU has also said that schemes of this kind are a risk to security, transparency and the values that underpin the European Union project.
In October 2022, the European Commission urged Albania to “refrain from developing an investors’ citizenship scheme (golden passports)”. Such a scheme would “pose risks as regards security, money laundering, tax evasion, terrorist financing, corruption and infiltration by organised crime, and would be incompatible with EU norms,” it warned in a report. The country has since suspended its plans to introduce a golden visa.
Threats also come from outside the bloc. Also in October 2022, the European Commission proposed a suspension of Vanuatu‘s visa waiver agreement due to golden passport risks. This is because the scheme enables nationals of third countries to gain Vanuatu citizenship, which then earns them visa-free access to Schengen zone countries.
Which other countries have scrapped their golden visa schemes?
In February 2022, the UK government scrapped its golden visa scheme that allowed wealthy foreign nationals to settle in the country in exchange for bringing part of their wealth with them. The decision to end the scheme came as part of a move to clamp down on dirty money from Russia.
In February 2023, Ireland also axed its golden visa scheme – the Immigrant Investor Programme – which offered Irish residence in return for a €500,000 donation or three-year annual €1 million investment in the country.
Ireland had already suspended the scheme for Russian citizens in March 2022 as part of sanctions imposed on the country for the invasion of Ukraine. The following month, the European Parliament warned that the programme was vulnerable to tax abuse. The final decision to end the scheme was the outcome of various international reports and internal reviews.
Which EU countries still offer golden visas and what are the requirements?
There are only a few places that still offer golden passports in the EU. One of these countries is Malta. Here, the minimum investment amount starts at €690,000 and offers citizenship for between 12 and 36 months.
Many others, however, still offer golden visa schemes. Here are a few examples of exactly how much it costs to get residence by investment in these countries.
Does Spain still offer a golden visa?
Spain launched its residence by investment scheme in 2013. It allowed wealthy people from outside the EU to obtain residency permits on investing more than €500,000 in real estate or certain types of business.
However, in April, the country’s government said it plans to scrap the real estate route – which accounts for 94 per cent of applications – to reduce pressure on the housing market.
Socialist Prime Minister Pedro Sánchez said the reform was part of his minority coalition government’s push to make housing “a right, not a speculative business”.
The road to banning the visa has been a long and rocky one, having failed to secure parliamentary support from major opposition parties.
According to local media reports, a ban could be on the horizon in January 2025 but applications made before then are likely to be honoured.
The government says over 15,000 such visas have been issued since the measure was brought into law in 2013 by a previous right-wing Popular Party government as a means to attract foreign investors.
Since Spain announced plans to end its golden visa, Chinese investors have rushed to buy property in the country, a report by Spanish state broadcaster RTVE revealed.
The visa can also be gained by starting certain types of business in Spain, holding company shares or bank deposits with a minimum value of €1 million in Spanish financial institutions, or making a government bonds investment of at least €2 million. The ban could extend to these types of investments, also.
Hungary golden visa scheme
Bucking the trend, Hungary announced plans to reintroduce its golden visa scheme in July 2024, after having ended it back in 2017.
The so-called Guest Investor Program (GIP) offers three routes to residency, including through real estate investment funds (minimum €250,000), purchasing a residential property (minimum €500,000) or donating at least €1 million to a higher educational institution in the country.
The visa is extended to the spouse and dependent children of the applicant and grants visa-free travel in the EU.
Initial applications opened at the end of October, with further real estate investment funds expected to be released by the end of the year.
Italy’s golden visa scheme
Italy is another popular destination for those looking to get residence by investment. Introduced in 2017, its golden visa grants non-EU nationals a residence permit for two years in exchange for an investment in Italy.
The minimum investment here is €250,000 which must be done through an Italian limited company. Those holding these visas can also include their family in the application and benefit from a special tax regime.
Once those using the scheme have lived in Italy for 10 years, they can be eligible for citizenship.
Greece’s golden visa scheme
Greece offers golden visas, with one of the quickest processes for gaining residency. Qualifying foreigners can get a permit within 60 days of applying.
It used to have one of the lowest thresholds for investment at just €250,000 spent on property in the country. But the country raised this to €800,000 in September in areas facing severe housing shortages, such as Athens, Mykonos and Santorini.
Elsewhere, it only rose to €400,000 to encourage investment in a wider range of places.
Golden visa holders aren’t required to stay in Greece to keep their visas.
By the end of 2021, the country had seen 9,500 applications for these residence by investment schemes, one of the highest numbers in Europe.
Travel
All aboard the future: How high-speed battery-powered trains will change European rail travel
Will you be getting on board the latest revolution in rail travel: battery-powered trains?
Battery-powered trains are looking to shape the future of Europe’s rail after the first successful trial of an intercity battery train in the northeast of England. This ‘tribid’ train easily switches between battery, diesel, and electric power.
Right now, the UK’s railways run diesel trains, which draw their power from overhead electrified wires or onboard diesel generators. However, the last generation of diesel trains is due to be replaced, and so a phase-out to cleaner alternatives is underway.
The trial happened in the region that first brought coal-powered engines to the world and as Britain celebrates 200 years of the modern railway next year.
High-speed and cheaper? Battery-electric trains show promise
Using just one powerful 700kw battery, this innovative technology can run trains at speeds over 75mph (120kph), making them high-speed.
During the trial, the train operated solely on battery power for 70km before switching back to its diesel engine, but the engineers say this range is enough to cover a typical intercity route that includes bridges, tunnels, and stations.
When launched, it’s expected that the train will have a range of between 100 and 150kms.
Single-battery trains not only boast superior performance, but they’re also more cost-effective than diesel trains.
They can reduce fuel costs by around 35 to 50 per cent, according to this trial which was run by Angel Trains, Hitachi Rail, and TransPennine Express.
Passengers will no doubt hope that any cost savings will be passed on to them, particularly given rising ticket costs, which go up every year in many parts of Europe.
Battery-powered trains are more environmentally considerate
Electric trains are currently considered the best solution to delivering clean trains as part of the global railway industry’s transition to net zero. Other options, such as trains that use grey hydrogen, are carbon-intensive, as Euronews Green has previously reported.
Using battery-powered trains reduces the need for rail operators to install or upgrade overhead wires on any unelectrified tracks. In turn, this could save Europe billions of euros in electrification projects.
It’s good news for those who live near train stations, too. Battery-run trains can enter and leave stations in zero-emission mode, drastically reducing noise and air pollution.
“The success of this trial will pave the way for even greener, more reliable journeys for millions of passengers,” said the UK’s rail minister, Lord Hendy.
When will everyone get to travel by battery-powered trains?
The evolution of battery-electric technology is moving quickly.
Hitachi Rail is already considering this next-generation technology for railway networks and other large vehicles globally. This latest success comes after delivering the world’s first passenger battery train in Japan and Europe’s first battery ‘tribrid’ train in Italy, the Masaccio, a couple of years ago.
A EuroMasaccio platform is already on track to be rolled out across European countries, and if Italy’s project is any indication, this could immediately cut CO2 emissions in half when replacing existing diesel train fleets.
Meanwhile, Siemens Mobility has also developed bi-mode battery trains that are already being used by passengers in the Ortenau region of Germany, saving 1.8 million litres of diesel every year. Plans are underway to roll them out across more countries, including the UK and more regions in Germany, within the next decade.
Siemens’ new trains only require small sections of track to be electrified, as the company supplies its own fast-charging points along the route, known as Rail Charging Converters (RCCs).
Travel
Planning your next flight? How Europe’s different air passenger taxes impact your wallet
French pilots are calling for a strike over rising taxes. But what do air passenger taxes mean for your wallet?
In France this week, the national union of airline pilots (‘Syndicat national des pilotes de ligne’ or ‘SNPL’) is calling a strike to protest the rise in air taxes. Concerns have been voiced that the latest planned amendment to aviation taxes could lead to tens of thousands of job losses in the country and affect tourism.
Air passenger taxes across Europe have increased this year. Read on to discover how this impacts the cost of your next flight.
What is air passenger duty tax?
Air passenger taxes are usually in addition to other taxes you pay when you book a flight.
Governments add them to encourage flyers to consider the environmental impact of their travel choices and discourage unnecessary air travel.
As you would expect, each country calculates their taxes differently based on the size of airports, popular regions, and types of aircraft, such as commercial planes and private jets.
Collecting these taxes is the responsibility of airlines, who charge them to customers as part of their ticket. The money is then spent at the discretion of each country’s government, often to fund public services.
These air passenger levies can raise substantial sums – for example, the UK government raised over £3 billion (€3.75 billion) between 2019 and 2020.
Some taxes, such as the French Eco Air Tax, are specifically designed to fund climate and environment-related issues, such as raising revenue for alternative transportation modes and more sustainable aviation infrastructure.
Who is for and against air passenger taxes?
Airlines are concerned about what extra taxes mean to passengers and call them “anti-growth”.
IATA director general Willie Walsh slammed the German tax this year, while Ryanair’s chief executive Michael O’Leary said that the UK’s planned Air Passenger Duty (APD) rise would cause the budget airline to cut its flights to and from the UK by 10 per cent, which is the equivalent of five million passengers.
Environmental campaigners say that air passenger duty taxes could go much further to discourage flying.
Hannah Lawrence at Stay Grounded, a network to counter aviation, says, “Measures to stop the growth of air traffic are exactly what we need.”
“We need to see effective policies implemented across Europe that fairly reduce air traffic, such as the implementation of a Frequent Flying Levy. [This] would reduce emissions by reducing excessive flights for wealthy passengers.”
When Switzerland proposed a ticket tax (or ‘flugticketabgabe’) in 2021 to reduce aviation’s impact on climate change, over half of Swiss voters rejected it.
A year later, however, a representative survey conducted by the market research institute GfS Zurich and commissioned by environmental organisation Umverkehr indicated that almost three-quarters of respondents supported the Swiss ticket tax for climate reasons.
Many of the respondents were clear on the potential of such a fund: 75 per cent wanted the tax revenue to go towards Swiss climate protection projects, while 55 per cent wanted to see the money support international rail transport.
Interestingly, younger travellers were less in favour of the Swiss ticket tax.
How do European countries compare on their passenger air tax?
Passenger taxes are in addition to other taxes, including airport taxes based on the traffic volume at different airports and civil aviation tax.
France
France has an eco tax, known as ‘éco-taxe’ or ‘éco-contribution’, which first came into effect in January 2020. It applies to travellers departing from French airports.
Passengers travelling to destinations in the European Economic Area (EEA), the United Kingdom and Switzerland are charged either €2.63 or € 20.27 per passenger, depending on their class of travel.
For all other destinations, passengers pay €7.51 on the lower rate and €63.07 on the higher rate per passenger.
Germany
Germany’s aviation tax covers passengers on commercial flights, and a price increase came into effect on 1 May 2024.
The rates are fixed at €15.53 per passenger for short-haul domestic flights and €39.34 per passenger on long-haul flights no more than 6,000 kilometres, and includes countries in North and Central Africa, the Middle East, and Central Asia.
For some destinations, including transatlantic flights, the rate is €70.83 per passenger.
Italy
Any passengers arriving or departing from an Italian airport pay the Italian aero taxi tax, known as ‘imposta erariale sui voli dei passeggeri di aerotaxi’, which is similarly based on the distance travelled.
The lowest rate is €10 per passenger when the distance is below 100 kilometres and can be up to €200 per passenger for distances over 1,400 kilometres.
Commercial flights that sell seats rather than rent out the entire aircraft and private, non-commercial flights are both exempt from the tax.
UK
The UK’s APD was first introduced in 1994. Fees are based on distance in miles from London. The system also considers different classes of travel, with business and first-class passengers paying higher rates.
It was recently announced that the APD will increase from April 2026, meaning an extra £2 per passenger will be charged for economy tickets on short-haul international flights.
The lowest rate starts at £8 (€9.53) per passenger for domestic flights and can be as high as £1,141 (€1359.72) for private jet passengers.
According to Ryanair, this latest APD tax rise means that a family of four flying to Spain from the UK will need to pay an extra £60 (€71.50).
There remains an unusual loophole in Britain’s scheme, known as the ‘Inverness Immunity’.
Savvy travellers can avoid paying any APD by opting for return flights from Inverness, a small airport in the Scottish Highlands, to hubs like London and Amsterdam. As long as connecting flights are within a 24-hour window, passengers can avoid the tax due to an exemption that protects the region’s remote rural and island communities.
Denmark
Denmark is still to launch its passenger tax on air travel (‘passagerafgift på flyrejser’), which will come into effect on 1 January 2025. The specific goal of this tax is to support the country’s green transformation by investing in more sustainable aviation and transport technologies.
There are three tax rates based on the final destination of a journey, including intra-European, medium-distance, and long-distance journeys.
The tax applies to all commercial flights from Denmark, except flights from the Faroe Islands and Greenland.
The Netherlands
The Netherlands first implemented its air passenger tax in January 2021 and has one of the highest in Europe, costing €29.05 in 2024, regardless of a passenger’s final destination.
Children under two years of age, flight crew on active duty and inactive flight crew travelling to another airport for the purpose of work, as well as transit and connecting passengers, are exempt from paying.
Portugal
Portugal adopted its aviation carbon tax, known as ‘taxa de carbono sobre viagens aéreas’, in July 2021.
The tax law has undergone significant changes and now covers both commercial flights and non-commercial private jet flights, but for the average commercial passenger, it’s €2 each.
Travel
Afghanistan’s Taliban to attend their first UN climate conference
The Taliban will attend a U.N. climate conference for the first time since their takeover of Afghanistan in 2021, the environment agency said on Sunday.
The conference, known as COP29, begins on Monday in Azerbaijan and is one of the most important multilateral talks to include the Taliban, who do not have outside recognition as the legitimate rulers of Afghanistan.
The National Environmental Protection Agency posted on social media platform X that a technical delegation had gone to Baku to participate.
Matiul Haq Khalis, the agency’s head, said the delegation would use the conference to strengthen cooperation with the international community on environmental protection and climate change, share Afghanistan’s needs regarding access to existing financial mechanisms related to climate change, and discuss adaptation and mitigation efforts.
Experts told The Associated Press that climate change has led to numerous and negative impacts on Afghanistan, creating serious challenges because of the country’s geographical location and weak climate policies.
“Climate change has resulted in higher temperatures, which reduce water sources and cause droughts, significantly affecting agricultural activities,” said Hayatullah Mashwani, professor of environmental science at Kabul University. “The reduction in water availability and frequent droughts pose severe threats to agriculture, leading to food insecurity and challenges to livelihoods.”
In August, the international aid agency Save the Children published a report saying that Afghanistan is the sixth most vulnerable country to the impacts of climate change and that 25 of its 34 provinces face severe or catastrophic drought conditions, affecting more than half the population.
Afghanistan also had the highest number of children made homeless by climate disasters of any country as of the end of 2023, according to the report.
Professor Abid Arabzai, from Kabul University, said the climate conference would help to secure international assistance and funding to address Afghanistan’s climate challenges.
“Afghanistan can clarify its climate actions and commitments to the global community, enhancing its international reputation,” said Arabzai.
-
EU & the World5 days ago
Which Celebrities Are Leaving the Country After Trump’s Election Win?
-
Sports7 days ago
Milan, Alvaro Morata parties with Rafael Leao
-
EU & the World6 days ago
What Did Robert F. Kennedy Jr. Say About Fluoride in Drinking Water?
-
Sports7 days ago
Thiago Motta not content with a draw
-
EU & the World6 days ago
What Time Do We Find Out Who Is the President?
-
EU & the World5 days ago
Celebrities React to Trump’s Election 2024 Win
-
EU & the World6 days ago
What Are the Swing States? What it Means & Why They’re Called ‘Battleground’ States
-
EU & the World5 days ago
When Is Starbucks’ Red Cup Day 2024? How to Claim Your Holiday Freebie