According to the reports from various sources, the UK government will make a formal announcement next week that it is planning to end the so-called golden visa scheme that offers fast-track residency and, eventually, British citizenship to foreign investors amid concerns about potential fraud, abuse and money laundering.
The scheme has been under review by the UK government for some time now to address fears it can be exploited to facilitate corruption.
Officially known as ‘Tier 1 investor visas,’ the program established to encourage wealthy individuals to finance projects in Great Britain.
The scheme provided foreign investors who pump at least £2 million ($2.72 million) into the UK economy, and their families, with permanent residency status.
Currently, under the ‘Tier 1 investor visas’ program, foreign investors are required to invest the £2 million within five years or can shorten the process to three years by spending £5 million ($6.80 million) or to two if they shell out £10 million ($13.61 million).
The United Kingdom has previously been condemned domestically over the existence of the scheme and for the lax monitoring of the funds received.
Speaking in the House of Lords earlier this year, Liberal Democrat peer Lord Wallace stated that the UK is “behaving like Cyprus and Malta by selling residency,” suggesting it undermines Great Britain’s status as a “great global country.”
Incredibly wealthy (mostly for very questionable reasons) citizens from the countries like Russia, China, Kazakhstan and others, have secured UK residency since the golden visa program’s launch in 2008, by investing money into Great Britain through the scheme.
In a report on Russia published in 2020 by the Intelligence and Security Committee of British Parliament, it was stated that a “more robust approach to the approval process for these visas” is required to disrupt the “threat posed by illicit” funds.
