These are Best Places For Brits to Retire Abroad In 2025

According to recent research, 88% of Brits dream of retiring abroad. In the aftermath of Brexit and with soaring living costs in the UK, this dream may feel more desirable than ever for many retirees – but also potentially hard to achieve. 

Starting a new chapter doesn’t have to feel scary, however. Our experts at Gibraltar Residency have done the research for you, and uncovered the best places for Brits to retire, taking into account several important factors to think about when choosing a place to settle down. Whether it’s the dismal UK weather or unpredictable politics, there’s somewhere suitable for everyone.

Important Factors to Consider When Choosing Where to Retire Abroad

• Healthcare – how strong is this country’s healthcare system? 
• Personal tax rates – how much tax will you pay on your pension?
• Cost of living – how far will your pension go? 
• Sunshine hours – is the country a sunny location, where you can spend your days relaxing and sunbathing?
• Retirement residency / visa options – does this country have a visa specifically for retirees?
• The percentage of the population that speak english – will you be able to communicate with the locals?

The scores were also weighted, with healthcare, tax rates and cost of living each accounting for 25% of the total score, and sunshine hours, residency options and English proficiency making up the final 25%, as we believe the first 3 factors are the most important when it comes to choosing a retirement location abroad.

So, where should Brits consider settling down?

Here are the top 40 results:

Let’s look at the top 5 in more detail.

1. United Arab Emirates

(Source: Unsplash)

With 0% tax rates, a comprehensive, government-funded health system and plenty of sunshine year round, it’s easy to see why the UAE is steadily becoming one of the most attractive places for Brits to retire to. With an already strong community of British expats, and a reported 75% of the population speaking English, retirees will have no issues making new relationships and fitting in with the community. Although the cost of living is relatively high in comparison to some other countries on the list, the savings made on taxes, the glamorous lifestyle and the good quality of life will all make it worth it.

2. Thailand

(Source: Unsplash)

For those seeking a luxury retirement on a slightly tighter budget, Thailand offers an excellent mix of low taxes, accessible residency options and widespread English usage in key areas, making it a convenient and attractive destination for Brits to retire. While the cost of living is slightly higher than some of its regional neighbors, it’s still considerably more affordable than living in the UK. Thailand enjoys a warm climate year round and has good healthcare services, particularly in major cities. Its combination of a relaxed lifestyle and low cost of living keeps Thailand firmly on the radar for retirees seeking an adventurous yet comfortable retirement.

3. Malaysia

(Source: Unsplash)

Malaysia stands out as another low cost country, also with friendly tax rules. Healthcare is affordable and of decent quality, and English is widely spoken, especially in urban areas such as Kuala Lumpur. With straightforward residency options and a warm climate, it offers an appealing blend of comfort, culture and affordability, where you can spend your days lounging or snorkelling on one of its many pristine beaches.

4. Mexico

(Source: Unsplash)

Mexico ranks highly for its affordable cost of living and solid healthcare, making it a practical choice for Brits looking to stretch their retirement savings. The country also offers accessible residency options and a warm climate, with plenty of sunshine to spend your days lounging on the beach. While English is not widely spoken outside tourist areas, there are lots of expat-friendly communities which can make integration easier. With plenty of beautiful sights to admire and explore, like the unmissable Chichén Itzá, Mexico is a great retirement destination for those seeking both value and an exciting lifestyle.

5. Gibraltar

(Source: Unsplash)

Retirement in Gibraltar offers UK nationals a seamless transition to a Mediterranean lifestyle, with all the comforts of home. As a British Overseas Territory, Gibraltar is naturally appealing to UK retirees, with English as the official language and a similar legal and healthcare system. It offers a low cost of living and excellent tax rules, as well as a stunning location, with great links to Spanish hotspots like Marbella and Malaga. Retiring to Gibraltar from the UK would see UK retirees benefit from a high amount of Spanish sunshine, and its British ties and ease of integration make it a great retirement choice for UK citizens overall. 

Many UK retirees also choose Gibraltar because it provides an excellent environment for estate planning helping to preserve wealth for future generations and optimize their Gibraltar pensions. Many also choose to invest in buying property in Gibraltar as part of their long-term retirement in Gibraltar.

Furthermore, a new treaty was agreed on June 11th, 2025 between Spain, Gibraltar, the EU and the UK, which allows residents of Gibraltar free movement between Gibraltar and the Schengen area. This restores the pre-Brexit ability to stay 180 days within a 365 day period with the European Union.

The land and border controls will effectively disappear along the Spanish & Gibraltar border, allowing for free movement throughout the Schengen zone, meaning all individuals who are  Gibraltar residents from the UK (and not already EU nationals) will now have secured visa and passport free movement currently enjoyed by many Europeans. This is a huge win for Brits wishing to relocate, and if Spain and other European countries are also attractive to you, travel just became considerably easier as a Gibraltar resident than as a UK resident. 

An International Retirement Doesn’t Have to Feel a World Away

So, whether you’re drawn to a sunnier climate and an easier-going lifestyle, or feel compelled to leave the uneasy living situation faced by many in the UK currently, use our data to consider your options carefully. 

Should you consider Gibraltar your dream retirement destination, don’t hesitate to get in touch with us, and one of our experts will be happy to help you start moving to Gibraltar from the UK. We will help you begin your journey to a place with a unique blend of Mediterranean lifestyle, British culture and a stable political, social and economic environment all in one, supported by wealth management professionals in Gibraltar.

Methodology:

In order to find the best locations for UK expats to retire to, we gathered data for several factors to rank the countries, which included:

• Residency / Visa options – we identified whether the country had a dedicated retirement visa option for UK citizens by using local government website data
• Healthcare – using Numbeo’s healthcare index for 2024, we identified each countries score, with a higher score representing stronger healthcare, beneficial for retirees
• Personal Tax Rates – using data from Trading Economics, we identified each country’s personal tax rates to show how much of their pension retirees might keep
• Sunshine Hours – we calculated average sunshine hours by country from Wikipedia data, to show how much sunshine retirees could expect
• Cost of Living – we used Numbeo’s cost of living rankings to identify the expense of monthly costs retirees could expect 
• % of Population That Speak English – we found a source on Brilliant Maps that collated global survey data to identify the proportion of each country that spoke English, to see how easily retirees could communicate

Each factor was scored out of 40 (the number of countries in the analysis), and each score was then weighted, with healthcare, tax rates and cost of living each accounting for 25% of the total score, and sunshine hours, residency options and English proficiency making up the final 25%.

We then ranked each country based on their total weighted score, to show the best countries for expat retirees.