Retiring in Italy After Living in Switzerland or the UK: Procedures and Tax Benefits

For many international professionals, spending their working life in Switzerland or the United Kingdom and then retiring in Italy represents the ideal balance between financial security and an enviable lifestyle. Sun-drenched landscapes, refined gastronomy, world-class healthcare, and access to rich cultural heritage make Italy a natural choice for retirement. At Knotted.it, we support expats and high-net-worth individuals (HNWIs) who are ready to take this step, helping them navigate residence permits, pension transfers, and tax optimisation so they can fully enjoy their golden years.

Why Italy Appeals to Swiss and UK Retirees

Italy offers a unique blend of affordability, elegance, and accessibility, attracting retirees from nearby Switzerland and the UK. Swiss residents often appreciate the possibility of enjoying a milder climate while remaining close to family and friends across the Alps. British retirees are drawn to the country’s art cities, coastal resorts, and culinary traditions, as well as its proximity to London via frequent flights. The lower cost of living compared to other European destinations, combined with Italy’s emphasis on community, wellness, and high-quality food, adds to its appeal.

Knotted.it frequently works with clients who wish to complement their retirement with a second home in Tuscany, Liguria, or Puglia, transforming their relocation into a lifestyle upgrade.

Understanding the Paperwork: Residence and Pension Transfers

Retiring in Italy after years in Switzerland or the UK involves several administrative steps. The first is obtaining the correct residence permit. EU and EFTA citizens — including Swiss nationals — benefit from simplified procedures, while UK citizens (post-Brexit) must follow the rules for non-EU applicants, which usually involve an elective residence visa or, in certain cases, a family reunification permit. Timely preparation of documentation such as proof of income, private health insurance, and accommodation contracts is essential to avoid delays.

Another key aspect is the transfer of pension rights. Those who have contributed to the Swiss AVS/AHV system or to UK pension schemes can generally export their entitlements to Italy, but the process may require coordination between social security authorities. Knotted.it works with trusted legal and social security specialists to streamline applications, ensuring that retirees receive the benefits they are entitled to without unnecessary bureaucracy.

Tax Incentives for New Residents

Italy offers several favourable regimes for retirees who become tax residents. One of the most attractive is the 7% substitute tax for pensioners transferring their residence to certain municipalities in southern Italy. This flat rate applies to foreign-source pension income and can be maintained for up to ten years, provided the retiree meets specific residency conditions. Alternatively, for HNWIs with significant worldwide assets, the Flat Tax Regime (100k or 200k) may offer an efficient solution, especially for those with complex investment portfolios or income streams.

Local property taxes, inheritance planning, and reporting obligations (such as the RW form for foreign assets) also need attention. At Knotted.it, we integrate tax planning with lifestyle objectives, making sure retirees benefit from available incentives while safeguarding their wealth and heirs’ interests.

Healthcare and Quality of Life

Access to healthcare is a major concern for retirees moving abroad. Italy’s national health service (SSN) offers excellent coverage, and residents can also complement it with private health insurance for faster access to specialists or premium clinics. For retirees coming from Switzerland or the UK, understanding how to register with the SSN, transfer previous health rights, or arrange private cover is crucial for peace of mind.

Life in Italy goes far beyond practicalities. From morning walks along Lake Garda to leisurely meals in small Umbrian villages, the rhythm of everyday life encourages well-being and social interaction. Many retirees choose locations with vibrant expat communities, allowing them to maintain an international network while embracing Italian culture.

Final Thoughts and Expert Support from Knotted.it

Relocating to Italy after retirement is an opportunity to create a life rich in comfort, culture, and personal freedom. With the right planning, you can enjoy tax advantages, smooth pension transfers, and an inspiring environment that makes every day feel like a holiday. Knotted.it provides tailored advice for Swiss and UK residents planning their move, coordinating visas, fiscal strategies, and property searches to build a truly rewarding retirement.

📲 WhatsApp: +41 76 771 30 22

📧 Email: info@knotted.ch

Contact us today to arrange a personalised consultation and discover how to make your transition to Italy seamless, secure, and full of new possibilities.