Bermuda vs Cayman vs Isle of Man: Which Suits a UK Mover? (2026)
This guide is general information, not legal, immigration or tax advice. Some links may be affiliate links. See our disclosure.
Bermuda, the Cayman Islands and the Isle of Man often come up together when Brits think about moving somewhere low-tax and English-speaking. They’re very different places, with different immigration systems and tax regimes. This comparison uses each government’s own sources so you can see where you’d fit.
This is general information, not tax or immigration advice.
At a glance
| Bermuda | Cayman Islands | Isle of Man | |
|---|---|---|---|
| Status | British Overseas Territory | British Overseas Territory | Crown Dependency |
| Can a Brit just move there? | No: work permit or residence permission needed | No: work permit needed to work | Yes, to live (Common Travel Area), but a work permit is usually needed for a job |
| Personal income tax | None, but payroll tax on employees (0.25%–12.5% bands) | None | Yes: 10% on the first £6,500 of taxable income, then 21% |
| Main tax/revenue | Payroll tax, customs duty | Import duties, stamp duties, fees | Income tax, NI, VAT |
| Getting there from London | Direct BA flight from Heathrow | Typically via connections | Short flight or ferry |
Sources: see each section below.
Immigration: can you live and work there?
Bermuda
Almost all non-Bermudians need a work permit to work. The employer applies after advertising locally for at least eight days (gov.bm). If you have income from outside Bermuda, Permission to Reside needs at least $75,000 a year and private health insurance, and you can’t work locally (gov.bm PDF). British citizens can visit visa-free for up to 180 days in 12 months (gov.uk).
More: work permits · remote work options
Cayman Islands
British citizens generally need an employer-sponsored work permit. Cayman’s WORC policy requires employers to advertise vacancies on the WORC portal for 14 days before applying, so that Caymanians and other qualified residents get preference (WORC FAQ).
Isle of Man
The Isle of Man is in the Common Travel Area with the UK. Travel between the two is “an internal domestic journey” with no separate immigration control (gov.im). But anyone who isn’t an “Isle of Man worker” needs a work permit to take up a job, including self-employment, unless the job is exempt (gov.im). Exempt jobs include registered doctors, dentists, nurses and midwives, secondary school teachers (see the exemptions list on gov.im).
Bottom line: the Isle of Man is the easiest place for a Brit to live. For working, all three have permit systems, though the Isle of Man’s has broad exemptions.
Tax
Bermuda
No personal income tax, but employees pay payroll tax. For 2026–27 that’s 0.25% on the first $48,000, then 7.75%, 10.75%, 11.5% and 12.5% in higher bands, with remuneration capped at $1m (gov.bm). See payroll tax and pensions.
Cayman Islands
The Cayman government states: “There are no income, corporate, capital gains, inheritance, or property taxes.” Revenue comes mainly from import duties, stamp duties and fees (gov.ky).
Isle of Man
Income tax for 2026/27 (gov.im):
- personal allowance £17,000 (£34,000 for a jointly assessed couple), reduced by £1 for every £2 of income over £100,000,
- 10% on the first £6,500 of taxable income (£13,000 for couples),
- 21% on the rest.
The Isle of Man also has National Insurance and VAT.
Your UK tax position, wherever you go
Leaving the UK doesn’t end UK tax automatically. The Statutory Residence Test decides (gov.uk). Bermuda has a social security agreement with the UK. Check GOV.UK’s list of reciprocal agreements for the others (gov.uk). See UK tax when you move.
Cost of living
Bermuda’s costs are well documented: Numbeo’s crowd-sourced data puts a city-centre one-bed in Hamilton at about $3,868 a month, and single-person costs excluding rent at about $2,068 a month (numbeo.com). See cost of living in Bermuda. Compare Cayman and the Isle of Man on Numbeo or local property sites before deciding. Both import heavily as islands, but rents and wages differ.
Who each suits
- Bermuda: professionals with a job offer, especially in insurance and finance, or people with $75k+ of foreign income who want a mid-Atlantic base. Also anyone who values a direct London flight.
- Cayman Islands: people with an employer offer who want no direct taxes at all and Caribbean weather.
- Isle of Man: Brits who want to live somewhere close to the UK with no immigration hurdle to live there, and who accept a low, but not zero, income tax. Especially people in exempt professions.
Next steps if Bermuda’s top of your list
- Read moving to Bermuda from the UK: the complete guide.
- Budget with the cost of moving and cost of living.
- Plan a recce trip.
Sources checked 12 October 2026.
FAQ
Can a British citizen move to Bermuda freely?
No. You need a work permit, which the employer applies for, or Permission to Reside, which needs at least $75,000 a year of outside income and private health insurance.
Does the Cayman Islands have income tax?
No. The Cayman government states there are no income, corporate, capital gains, inheritance or property taxes. Revenue comes mainly from import duties, stamp duties and fees.
What is income tax in the Isle of Man?
For 2026/27, after a personal allowance of £17,000, 10% on the first £6,500 of taxable income and 21% on the rest. The Isle of Man also has National Insurance and VAT.
Do I need a work permit in the Isle of Man?
Anyone who isn't an Isle of Man worker needs a work permit to take up a job, including self-employment, unless the job is exempt. Exempt jobs include registered doctors, dentists, nurses, midwives and secondary school teachers.
Does moving abroad end my UK tax?
Not automatically. The Statutory Residence Test decides whether you remain UK tax resident.