Uk France Social Security Agreement
The October HMRC bulletin attempted to assure employers and individuals that the government was cooperating with the EU on ”practical and reciprocal provisions on the coordination of social security… including the prevention of the dual social security obligation.” Pending such an agreement, this will be an area in which companies face considerable uncertainty and potential cost increases. Given the intensifying debate on the EU`s ”hard Brexit” and the triggering of Article 50 on 29 March 2017, this will gradually seem less likely. Admittedly, the comments of EU leaders were consistent – the UK will not be able to ”choose and choose” free trade, but will not be able to accept free movement. This means that after Brexit, the UK may no longer be able to benefit from the EU`s social security rules. This and many other areas related to the UK`s membership of the EU and how relations will enter after Brexit will be the subject of negotiations over the next two years. Under the withdrawal agreement, your health insurance and membership rules remain unchanged, provided your circumstances remain unchanged. They are still entitled to the same benefits under the same rules as they are today. You must inform your local social security service (in French) and the social services you are leaving if you have received unemployment benefits (in French) or child and housing allowances (in French).
In order to prepare France for a possible withdrawal from the United Kingdom without agreement, the French government has entered into contracts with very specific priority areas of application, in order to ensure continuity in certain areas that it has declared necessary for individuals and businesses. For example, the government ordinance on admission and stay in France, social rights and employment in the event of a Brexit without a deal was published in the French Official Journal on 7 February 2019. The list of countries that have a mutual agreement with the United Kingdom has been updated. We know that for the next two years, when the Kingdom negotiates its exit from the EU, the existing social security system will continue to apply, which will at least guarantee short-term security. In both cases, the certificate has the effect of confirming the country in which social security contributions are to be paid and avoiding double contributions. While the UK`s vote in favour of Brexit1 has paid close attention to the fate of the principle of free movement of workers – immigration rights – social security is another important area of concern for cross-border workers and their employers. To exchange your UK licence for a French licence before December 31, 2020, you can apply online with the National Secure Titles Agency. You must present an officially recognized document, such as a tax return, a social security certificate or an employment contract, to prove that you reside in France at least 185 days a year. In particular, the InPS confirmed that the EU`s basic principle of social security will continue to apply to the non-cumulative periods of insurance required to meet the social security provision requirement. Agreements with other EU countries are equally restrictive as to how long a worker can stay in his or her home country.
However, given that the NIC employer is levied at 13.8% and up to 12% for workers, the UK has one of the lowest social security rates in the EU. This can be compared to countries such as France and Belgium, where social security contributions can be more than 30%. Please note that EU citizens must apply to the UK authorities for a permanent residence (”settled status”) in accordance with the rules established by the UK government (online application) to ensure that they are eligible for the rights under the withdrawal agreement for EU citizens residing in the UK.