This tiny European island is home to a thousand rich South Africans

Many South Africans looking for low taxes and a better quality of life have moved to the Isle of Man, and experts expect this number to increase as the island attracts more skills.

The Isle of Man is particularly popular among wealthy South Africans due to its low income tax for individuals and companies.

The latest population census of the small island in the Irish Sea showed that more than 1,200 South Africans lived there, representing around 1.5% of the population.

One of the island’s most known South African residents is billionaire Mark Shuttleworth, who moved there for financial purposes.

Richard MacNee, CCO of The ILS World, told BusinessTech that this does not tell the whole story as many South Africans who have moved to the island in recent years do not appear in the statistics. 

“For example, a family moved here a couple of years ago. The mother had dual nationality and held a British passport and a South African one,” he said.

“Her husband required a visa, but the children also had dual nationality, so three of them do not feature in the South African statistics.”

Managing Director of Kinley Legal, Christopher Kinley, agreed with MacNee, saying there was a steady increase in South Africans relocating to the Isle of Man. 

“Each year, we see an ever-increasing number of South African individuals and businesses moving here, many of whom we help navigate the red tape and visa requirements,” Kinley said.

“Official Isle of Man government policy will significantly increase the island’s population in the next few years.”

He said immigration is a very important part of that growth, and South Africans are the largest group moving to the Isle of Man from outside Britain and Ireland.

These experts added that the Isle of Man appeals to South Africans because of its combination of lifestyle, safety, and financial incentives. 

“The Isle of Man is a very safe jurisdiction; crime is very low, and children can grow up in a secure environment,” he said.

“There are many different options available for outdoor activities, including the annual TT Road Races, which offer spectacular entertainment for two weeks a year.”

Tax and business safe haven

Beyond lifestyle, Kinley highlighted that the island is attractive to South Africans from a business and financial perspective. 

“The government supports entrepreneurs and business owners moving and running their international operations from here. Grants are readily available across a wide range of schemes,” he said.

“The vast majority of companies pay 0% corporation tax, and individuals face a top rate of 21%, along with 0% inheritance tax (IHT) and capital gains tax (CGT).”

The Isle of Man’s attractive corporate and personal tax regime attracted many wealthy South Africans who were overtaxed in their home country.

“The island is politically stable. As a British Crown Dependency, it has its own government and legal system. The education system also offers a choice of private and public schools,” MacNee added.

Kinley highlighted that security remains one of the most compelling reasons South Africans choose the Isle of Man.

“South African clients tell us that for them, the key benefit of being in the Isle of Man is the feeling of security,” he said.

“The Isle of Man has one of the lowest crime rates in the world, making it a place where South African families can confidently live and work.”

The island also has great connectivity, with London only an hour’s flight away, making it an excellent place to do business.

“The strong South African community here means that new arrivals often find a welcoming environment and support network,” he added.

One of the driving forces behind the Isle of Man’s push for skilled immigrants is its growing need for talent across various industries.

“With a lack of suitably qualified staff, unemployment rates are negligible, so the government is actively looking to grow the working population over the next five years,” MacNee said.

“The tech sector, including eGaming and FinTech, always seeks experienced professionals. We have a shortage of accountants and compliance specialists, but there are opportunities in all sectors.”

Kinley added that the Isle of Man focuses on attracting professionals in several key sectors, including finance.

“In finance and professional services, accountancy, compliance, and fiduciary roles remain in demand due to the island’s strong financial and gaming industries,” he said.

The tech and digital industries are experiencing significant growth, particularly in AI, software development, cybersecurity, and digital marketing.

Healthcare and social care professionals, such as doctors, nurses, and care workers, are needed, although requalification requirements can pose challenges.

“Hospitality and tourism also contribute to the local economy, creating demand for chefs, hospitality managers, and customer service professionals,” Kinley said.

Isle of Man photos