How do I move money from the UK?

Getting your savings to Spain is mostly about three things: not losing money on the exchange rate, declaring what Spain asks you to declare, and knowing how Spain will tax what you leave in the UK.

The exchange rate

On 8 October 2026 one euro was worth 0.8477 pounds, or about €1.18 to £1. We use that rate across our Spain guides. Rates move every day, so check again before you send.

Banks and transfer firms make money in two ways: a fee, and a margin (a mark-up) on the exchange rate. A transfer advertised as “free” can still cost you through a poor rate. The fair way to compare is the total number of euros that arrives.

• Compare quotes on the same day, for the same amount
• Ask whether the receiving Spanish bank charges to receive an international payment
• For large sums, ask whether the rate is negotiable
• Don’t try to time the market with money you need on a fixed date, such as a rental deposit

Choosing a transfer provider

Check that a UK provider is on the FCA (Financial Conduct Authority) Financial Services Register. The brand name may differ from the company name on the register. Money held by a non-bank payment firm is not covered by the FSCS (the UK’s Financial Services Compensation Scheme). Electronic money and authorised payment institutions must “safeguard” your money instead; small payment institutions don’t have to. Don’t leave large sums sitting with a transfer firm.

Once the money reaches a Spanish bank, deposits are covered by Spain’s Fondo de Garantía de Depósitos (FGD) up to €100,000 (about £84,700) per holder, per bank.

Carrying cash: the €10,000 rule

Spanish anti-money-laundering law (Ley 10/2010, article 34) says anyone entering or leaving Spain with €10,000 (about £8,470) or more in “means of payment” must declare it before they travel, on the form called modelo S1. This is a customs form and has nothing to do with the NHS S1 health form. Means of payment include cash in any currency, bearer cheques, unregistered prepaid cards and gold. Cash sent without you, for example by post, in unaccompanied luggage or in a removals container, must be declared within the 30 days before it moves. Moving €100,000 or more in cash within Spain also needs a declaration. A bank transfer avoids all of this.

Keeping UK accounts

Many movers keep a UK current account for UK bills, pensions and visits home. UK deposits stay protected by the FSCS up to £120,000 per person, per bank (the limit since 1 December 2025). Some UK banks limit what they offer customers who live abroad, so ask yours before you go and update your address.

ISAs, savings and UK investments

You can keep your ISA when you move, but you can’t pay into it once you are no longer UK resident, and you must tell your ISA provider. The UK still treats it as tax-free.

Spain does not. Once you are a Spanish tax resident (broadly, more than 183 days in Spain in a calendar year, or your main economic interests are here), interest, dividends and gains inside an ISA are taxed in Spain like any other savings income. Savings income has its own scale, made up of a state half and a regional half:

UK pensions

The UK–Spain double taxation agreement decides which country taxes your pension. HMRC’s manual says the UK gives up its taxing rights, so Spain taxes them, for the UK State Pension and for private and workplace pensions paid to a Spanish resident. Government service pensions (for example civil service, local authority or armed forces) are different: the UK only gives up its right to tax them if you are both a Spanish national and resident in Spain. Lump sums and drawdown can be treated differently in Spain than in the UK, so take advice from someone who knows both systems before you draw on a pension. Get advice See Your UK pension and Telling HMRC you’re leaving.

Modelo 720: declaring assets abroad

Spanish tax residents must report assets held outside Spain on Modelo 720, an information return, if they are worth more than €50,000 (about £42,400) in any one of three categories: bank accounts; securities, funds and insurance; and property. It is filed between 1 January and 31 March for the year before. One law firm’s 2026 guide says you then only file again if a category rises by more than €20,000, and that crypto held abroad goes on a separate return, Modelo 721. In January 2022 the EU Court of Justice (case C-788/19) ruled Spain’s old penalties for this return were disproportionate, but the duty to file remains. GOV.UK also reminds UK residents in Spain that there are penalties for not declaring assets abroad. Get advice

How much cash you need to rent

Under the national tenancy law (LAU), a landlord must take a deposit (fianza) of one month’s rent for a home. They may ask for extra security (garantía adicional) on top, capped at two months’ rent for leases of up to five years (seven if the landlord is a company). Agency and contract fees can’t be passed on to the tenant.

Example: a mid-range two-bedroom flat in Madrid at €2,050 a month could need €2,050 deposit, up to €4,100 extra security and €2,050 first month: up to €8,200 (about £6,950) before you buy a bed. See Renting a home in Spain and Cost of living.

A sensible order

1. Open a Spanish bank account (see how)
2. Send a first amount by transfer to cover temporary housing, the deposit and the first month’s rent
3. Keep a UK account open for UK bills and income
4. Get cross-border tax advice before you sell UK investments or take pension money