Italy has launched a digital nomad visa that will allow remote workers to live and work in the country on a continuous basis.
The Italian Digital Nomad Visa was introduced on 4 April, permitting foreigners – including from the UK – to remain in the country for up to a year. It can be renewed annually.
This initiative forms part of Italy’s broader strategy to stimulate growth and combat under-population in some areas.
The Italian government has defined a digital nomad as a citizen of non-European Union states “who carries out a highly qualified work activity with the use of technological tools capable of allowing them to work remotely, both as a worker self-employed or as a collaborator or employee of a company even if not resident in Italy.”
UK immigration policy
UK immigration policy harmful to business
Businesses will be ‘priced out of market’ for talent by new immigration rules
Schools may struggle to recruit after relocation scheme changes
The visa is aimed at those with high levels of expertise, similar to the qualifications required for the EU Blue Card, a residence permit for qualified non-EU foreign nationals.
Applicants must sign up for a health insurance plan that lasts their entire stay and have an annual income of at least three times the minimum level for exemption from participation in healthcare costs in Italy — about £24,000 annually. This income level doesn’t have to be achieved entirely through the worker’s employment – it could be generated partly from rental income or a trust fund, for example.
Evidence of an existing employment contract or binding offer must be shown as part of any application.
Anyone interested in applying for a digital nomad visa must do so through an Italian consulate, of which there are three in the UK.
Successful applicants, after obtaining the residence permit, will pay tax in Italy on their employment income. They will also have the opportunity to obtain a permanent EU residency card and can sponsor a spouse, young children and older parents under the family reunification pathway.
Digital nomads opting for freelance work must establish a Partita IVA (Italian VAT number) and conduct their trade from Italy. Using a foreign entity to renew a visa is not permitted under this scheme.
For Masha Sutherlin, director, global corporate legal and mobility at payroll and compliance firm Deel, the launch of Italy’s digital nomad visa is an example of what the UK should be doing to attract skilled workers.
She said: “If the UK is to effectively compete with other markets when it comes to talent attraction, it should consider simplifying its complex visa application processes and procedures – which might be discouraging potential hires and entrepreneurs lacking the resource and energy to embark on the process.
“There are lots of starting points. But, a streamlined process and the introduction of a business visitor visa scheme could be a good way to enable prospective employees to gain experience in the UK before committing to a permanent move.”
Rose Carey, partner and head of immigration at Charles Russell Speechlys, said it was unlikely that the UK would follow Italy and introduce a similar digital nomad visa type because “the current government is concerned with the increase in the net migration figures and unlikely to want to introduce a new visa category.
“The UK also has a Global Talent visa for highly skilled tech entrepreneurs and workers and they can be employed or self-employed in the UK,” she added.
Prior to Brexit, while the UK was in the EU, there were no barriers to UK employees and freelancers working in Italy under freedom of movement rules introduced in the trading bloc in 1992.
Sign up to our weekly round-up of HR news and guidance
Receive the Personnel Today Direct e-newsletter every Wednesday
The easiest digital nomad visas to get in Europe in terms of eligibility criteria, lowest fees and fewest bureaucratic hurdles are considered to be those of Romania, Croatia, Malta, Greece, Norway and Spain, according to immigration experts.
Latest HR job opportunities on Personnel Today
Browse more human resources jobs