Cyprus is the third largest island in the Mediterranean, and for thousands of years has been a trading centre due to its location at the crossroads of Europe, Africa and Asia. In recent years it has become a leading holiday destination due to its excellent climate with very warm, dry summers and mild winters, combined with a wide variety of natural beauty, famous historical sights and rich culture. Several factors have combined to make Cyprus an attractive proposition for residence and investment, particularly with the British: English is widely spoken, the cost of living is cheaper than the UK, driving is on the left, and the crime rate is very low.

The Climate:
One of the healthiest and sunniest anywhere in the globe including the four seasons cycle, with temperature ranging from 10C (50 F) in January, the coldest month, to 38C (100F) in August, the hottest month. The main rainfall occurs during December-March with snow on the mountains giving a lush and colourful springtime. With virtually no rainfall between April and October, the end of the summer can be parched and dusty, leading to rich Autumnal colours.

System of Government:

Cyprus is an independent and Sovereign republic with the elected president (5 year election cycle) as head of state. The legislative power lies with the elected House of Representatives and appointed council of ministers. The legal system is based on the British/European system with independent power exercised by the judiciary. Cyprus is a member of the UN, the British Commonwealth, the non-aligned movement, World Bank and IMF. Cyprus became a full member of the EU in May 2004

Language:

The main language spoken in Cyprus is Greek, but over 85% of the population speak English, as Cyprus was once a British colony. Most of the shop signs, street signs and road markings are in English.

Currency/Banking:

The Cyprus banking system is very similar to the English system. You can open your own local bank account offering you all the same privileges as at home, such as cheque book, Visa/MasterCard, cash card, overdraft limit etc. There are many International banks throughout the island. Most credit cards are accepted and used in Cyprus such as Visa, American Express, Diners Club and Master Card.

It is also advisable after purchasing your property and opening a bank account, to make arrangements to have all your bills paid by Direct Debit, as this method of payment is especially convenient when not permanently residing in the country.

The currency system is a decimal with one Cyprus Pound made up of 100 cents. Coins are issued from 1 cent to 50 cents with bank note denominations of 1, 5, 10 and 20. The exchange rate in relation to other currencies is issued daily by the Central Bank of Cyprus, based on and controlled by the international banking system.

There are both domestic and foreign banks operational within Cyprus, to international standard offering a range of services, from investment, H.P. to mortgage facilities.

Banks are normally open to the public between 8.30 and 12.30, Monday-Friday, although many banks in the tourist areas also have an afternoon opening.

Residence Permits:
EU/EEA citizens intending to work, study or engage in business in Cyprus for more than three months will require a residence permit. They must apply for such a residence permit before the expiration of this 3-month period to the Civil Registration & Migration Dept.
To apply for a residence permit, you must turn up personally at the Civil Registration and Migration Department (this service is for the time being, provided at the local Immigration Branch of the Police) and submit the following documents:

• A duly completed standard form (obtainable from Civil Registration & Migration Dept or from the local Immigration Branch of the Police) depending on the category of residence permit applied for (employed activity, self-employment, after having been employed, students etc.).
• Valid Passport or ID Card
• 2 photos
• Document of engagement of employment from the employer, stamped by the Labour Dept. (standardized form available from Civil Registration & Migration Dept or from the local Immigration Branch of the Police) to be completed and signed by the employer.
• A fee of CY£5

The residence permit is issued within 6 months from the date of application and the submission of the required documents by the applicant and is valid for a 5-year period, which is renewable. It should be noted that the conclusion of formalities for acquiring a residence permit is not an obstacle for the immediate commencement of employment.
If you are retired, retiring to Cyprus the process remains the same: if your stay in Cyprus is to exceed three months you need to apply for a residence permit. You may apply for this a resident's permit as a retired person and will be given a permit renewable after five years.

The requirements remain that you should be able to demonstrate that you can support yourself through pension or savings. You will also need to have a Form E121 and register with the Cyprus Health Authority so as to obtain a Cyprus Medical Card, thus entitling you to receive the same public healthcare benefits as Cypriot citizens. 

Permanent Residence
Nationals of EU Member States who are entitled to permanent residence may exercise it within two years of becoming entitled. A Permanent Residence Permit will be issued on request.
An EU national may be granted permanent residence if (but not limited to the following):

• You have been resident in the country for five years, and employed for at least 12 months.
• You have been self employed in Cyprus and have now retired, or reached retirement age (65) and entitlement to an old age pension
• You have lived and worked consistently for over two years but have been forced to stop as a result of permanent incapacity to continue.

Taxation:
A person is liable for tax in Cyprus if they spend more than 183 days per year in the country and are considered tax residents. All tax residents are taxed on their worldwide income. All persons not residents will be taxed in Cyprus on income earned in Cyprus. Personal income tax is levied at different rates from 0%-30% as follows:
For an income up to CY£10,000: 0% tax rate
For an income up to CY£10,001 – 15,000: 20% tax rate
For an income up to CY£15,001 – 20,000: 25% tax rate
For an income over CY£20,000: 30% tax rate
Cyprus has a Double Taxation Treaty with the UK, which enables retired United Kingdom citizens to receive their pensions and investment income in Cyprus free of UK tax, even if the income is generated in the UK. The first CY£2000 of retirement income is free of tax. Thereafter the rate is 5%.

Weight and Measures:

In Cyprus the weight and measures system used is metric (Kilos, Litres, Kilometres and Metres).

Food:

Cyprus offers an excellent variety of fresh and inexpensive fruit, vegetables, meat and fish. Because of the Paphos climate, an abundance of fresh fruit and vegetables grow throughout the year, such as bananas, oranges, mandarins, apples, melons, avocados, tomatoes, cucumbers, potatoes, grapes, lettuce etc. Also, the large hypermarkets offer a wide selection of imported commodities, with many familiar British and European grocery brands being available.

Medical Services:

Cyprus is working towards a National Health Service. At the moment, there is a mixture of public and private care. Free public health care is provided to residents whose income is less than CY£9000 or members of families where the family income is less than CY£18000, rising by CY£1000 for each additional dependant child.
Visitors from other EU countries can get free urgent medical attention on production of the EHIC (European Health Insurance Card), which replaced Form E111 in January 2006.
Accident and emergency treatment is free to everyone, irrespective of nationality or economic circumstances. However, fees for subsequent hospitalisation in Cyprus will be payable.

Also, the general hospital offers health care to foreigners once you have become a permanent resident for a small annual fee, although many people buy private health insurance, which is very reasonably priced.
Pharmacists are very well informed and may save you a trip to the doctor. Most pharmaceutical products in Cyprus can be brought directly over the counter.

Communications:

Mobile phones are freely available, with rates much lower than in the UK. The Internet is easily accessible, with broadband being available in the more populated areas. In rural areas, you may have to use dial-up.

Church services:

Cyprus is mainly a Greek Orthodox Country, but other religions such as Anglican and Catholic hold regular Sunday services and special religious services at Christmas and Easter.

Education:

Free state education in Cyprus is in the Greek language. There are fee-paying international primary and secondary schools in all major towns, where instruction is in English.

Important Note
The information on this website is based on our interpretation of the current regulations in Cyprus. Whilst we make every endeavour to provide accurate information, we cannot accept liability for any loss incurred due to inaccuracies or omissions on this website. Prospective buyers are strongly recommended to take independent legal advice before entering into any agreements or parting with any money.