Set up a company in England | Save tax legally | W-V Law Firm LLP
Tree
Avoid mistakes, proven solutions

Setting up a company in England?

Find out how to do it legally and compliantly:
Fast company formation
Trustworthy global location
International reputation
Strong access to banks
You can legally reduce your tax burden. We will be happy to advise you in detail and offer you a free initial consultation.
Watch video
Person
Ask a Question
(Response time under 24 hours):

Pros and cons of setting up a company abroad

If you relocate your residence:
  • By establishing UK tax residence, worldwide income is generally subject to taxation. Forward planning before moving is crucial, particularly with regard to investment income, shareholding structures and trust arrangements

  • The Non-Dom remittance system has been abolished. Since 6 April 2025, a four-year Foreign Income and Gains (FIG) regime applies for qualifying new arrivals, subject to certain conditions and trade-offs

  • No inheritance tax is due if the estate is below £325,000 (approx. €372,000). If the estate exceeds this amount, only the portion above it is taxed at 40%

Without emigrating:
  • If your UK company is in practice managed from your EU country of residence, your home state may claim the company’s tax residence and tax the profits under domestic law or on the basis of double taxation agreements

  • Many EU states apply CFC rules under which low-taxed foreign profits can be attributed to the shareholder, even if they are not distributed

  • Opening bank accounts and being able to defend the tax position generally require genuine directors, clear governance structures and demonstrable decision-making in the United Kingdom

What makes England attractive as a business location?

England is part of the United Kingdom, a major economic hub in north-west Europe. The United Kingdom is not an EU Member State. The currency is the British pound (GBP). The population is around 69.5 million (mid-2025, provisional estimate).

From a tax perspective, there is a tiered corporation tax system. The reduced rate is 19% for profits below about €57,300. The main rate is 25% for profits above about €286,130. Between these, a marginal relief rule applies.

The United Kingdom generally does not levy withholding tax on dividends. Withholding tax is mainly relevant for interest and royalties, typically 20% under domestic law, subject to exemptions or DTA relief. For certain cases, an increase to 22% from 6 April 2027 is being discussed.

Operationally, the United Kingdom offers a high level of legal certainty, reliable court enforcement and broad access to established banks. However, it is a fully regulated onshore location. Company data is publicly accessible, substance requirements must be genuinely met, and profits that are taxable in the UK are subject to the standard corporation tax rates.

Contact us for an individual analysis and, where appropriate, suitable alternative structuring solutions.


FAQs

Is it easy to obtain a VAT number?

Registration is usually straightforward, provided the activity, turnover structure and documentation are coherent. Registration is mandatory as soon as taxable turnover exceeds £90,000 within a 12-month period.

Is a local director required?

In practice, for banking processes and tax substance requirements, genuine directors, functioning governance structures and a local business address in the United Kingdom are required.

Is remote formation possible?

Yes. The formation can be completed entirely online, provided all required information and documents are prepared.

How long does the formation take?

Usually straightforward within 24 hours.

Which locations worldwide are best suited to paying as little tax as possible?
Tax Burden Banking Reputation Bureaucracy Legal Security Costs
England 25-19%
from EUR 1,000
USA 21-0%
from EUR 1,900
Singapore 0%
from EUR 2,950
Hong Kong 0%
from EUR 1,900
Cyprus 15%
from EUR 1,900
Malta 5%
from EUR 2,500
Ireland 12,5%
from EUR 1,950
Trust 0%
from EUR 4,900

Tax compliance in your country of residence

Your country of residence may impose tax and reporting obligations for foreign business activities and dividend income, in some cases even where profits are not distributed.

Depending on your personal situation, a suitable holding structure may be necessary to comply with tax regulations and avoid unnecessary tax risks.

To determine which jurisdiction and structure best meet your requirements, please use the contact form and describe your plans in as much detail as possible.

Our advisers will be happy to review your case and advise you accordingly.

1.
Analyse your needs
We assess your situation in order to define goals, risk tolerance, tax exposure and priorities for asset protection.
2.
Carry out a location analysis
We compare potential jurisdictions based on tax laws, banking access, compliance requirements and your country of residence.
3.
Form the company and, if needed, set up a foundation
Open accounts and custody accounts and, where required, implement the asset management.

Our advantages

Tax optimisation
Tax optimisation
Legally reduce your tax burden by 50–85% domestically and internationally.
Sustainable asset protection
Sustainable asset protection
Protect your assets over the long term against economic and legal risks.
Cross-border business models
Cross-border business models
Develop international corporate structures for greater economic freedom.
Corporate structuring & company formation
Corporate structuring & company formation
Optimise your corporate and shareholding structures for growth and tax savings.
Foundations & wealth management
Foundations & wealth management
Use tailored foundation structures for future generations.
Emigration & exit taxation
Emigration & exit taxation
We support your change of residence and help you avoid exit taxation.
Personal advice & implementation
Personal advice & implementation
Bespoke solutions with personal support from analysis through to implementation.
Exclusive network of experts
Exclusive network of experts
Access to experienced tax advisers, solicitors and international business experts.

How our clients successfully reduced their tax burden with our strategies

Comprehensive personal advice with a great result!
Conversation in Nice with our long-standing client Marco about our collaboration to date.
Marco V.
Marco V.
Conversation with Andreas Schneider
Andreas relocated to Switzerland many years ago and shares his experiences of Switzerland and of us as his trusted partner throughout the journey.
Andreas S.

W-V Law Firm LLP

Your partner for corporate law, foundations, banking and expansion
Successfully established in the market since 2013.
Advised and supported more than 2,000 clients
Advised and supported more than 2,000 clients
Leading law firm in the European region
Leading law firm in the European region
Always solution-focused and personally available
Always solution-focused and personally available