Move to Panama
from the UK

Panama ranked #1 best country for expats worldwide in the InterNations Expat Insider survey for both 2024 and 2025, with 94% of surveyed expats saying they have a "good life" there.

Decadent, dazzling, and diverse, Panama is a place to experience wild and natural wonders or indulge in a sophisticated city lifestyle, all the while bathing in the sunshine of almost perpetual summer…

For Brits, the appeal is pretty obvious once you scratch the surface.

You’ve got a territorial tax system (which can mean very low tax on foreign income, depending on your setup), a retirement visa that’s unusually generous, private healthcare that’s priced competitively, and a US dollar economy that removes any worries about using an exotic currency.

It's not the Caribbean fantasy some imagine…

Panama City's skyline rivals Hong Kong - it’s breathtaking - but the bureaucracy rivals a particularly bad day at the DVLA.

Getting setup here, as a British expat, is not easy.

(And for that reason, the British community still remains small.)

Brits don't feature in Panama's top-10 immigrant nationalities, despite the recent hype around Panama as an expat hotspot.

That said, the broader English-speaking expat community is sizeable, particularly in Boquete where roughly 5,000 expats live among 25,000 residents.

British expats tend to cluster in Panama City's upscale neighbourhoods (Costa del Este, Punta Pacífica) and Boquete, mixing with a largely North American scene.

You won't find a British pub on every corner, but you'll find WhatsApp groups, volunteer organisations, and enough social infrastructure to avoid isolation.

Daily life revolves around the "tranquilo" pace.

And by that, we mean: It’s not exactly NYC.

Fresh tropical fruit costs pennies, the coffee is world-class (Boquete Geisha is among the planet's finest), and the climate is relentlessly warm on the coasts (24–34°C year-round) - although Boquete sits at a pleasant 16-27°C.

In this guide, we’ll be looking at what Panama does differently to attract expats - and what could be improved.

Access to good quality medical care in Panama depends largely on your location. Both public and private facilities are available, but these do not often extend into smaller towns or rural areas, and though the general standard of healthcare is good, the costs for state of the art treatment in private clinics can be expensive.

Panama runs a three-tier healthcare system: CSS (social security for contributors), MINSA (public hospitals), and private. In reality, most expats use private care almost exclusively.

The quality in Panama City is genuinely solid. Hospital Punta Pacífica is affiliated with Johns Hopkins Medicine International and widely considered the top facility in the country.

Across the private system, you’ve got many doctors that were trained in the US or Europe, and English is commonly spoken in the better hospitals and clinics.

Healthcare costs

Private GP visits, dental work, and diagnostics are typically far cheaper than the UK, and you can usually see a specialist within days rather than waiting weeks or months.

A private GP visit costs £19-45 (compared to £50-100+ privately in the UK).

Where it gets expensive is hospitalisation, if you are unlucky enough to need it - mid-tier hospitals charge upwards of £150 per night, and luxury facilities like Punta Pacífica are well over £600 per night.

For day-to-day care, many expats report that Panama often feels faster and more responsive than the NHS - shorter waits, more time with doctors, and easier access to specialists.

But the trade-off is simple: there’s no safety net.

Without insurance, a major medical event can become a serious financial problem very quickly. So, we suggest you invest in some.

Health insurance

Local insurance is relatively affordable (starts from around £50/month), and international policies are widely available. As a rough guide, expect to pay somewhere in the region of £150–250/month per person for solid coverage, rising with age and level of cover.

You can pay out of pocket for minor issues, but anything beyond routine care makes insurance essential rather than optional.

Pensionado visa holders get 10-25% legally mandated discounts on medical services and prescriptions.

Pharmacies, mental health, and emergencies

Pharmacies are easy to access, and many of your basic medications that require prescriptions in the UK are available over the counter.

Prices are generally lower… though quality and advice can vary.

Emergency services are less reliable than in the UK, particularly outside Panama City. Many expats opt to go directly to a private hospital rather than wait for an ambulance.

Mental health support (in English) exists but it is limited, so it’s worth researching options in advance. You’re more likely to end up in a Zoom call back to the UK than hiring a local in Panama.

Panama City has solid options for British families but it’s not as cheap as you’re probably expecting.

One-off entry fees (often called capital donations or entrance fees) are standard, non-refundable, and a sucker punch to your bank balance.

For two children, it’s not unusual to be £15,000-25,000 in before the first term even starts.

International schools

• King's College Panama (Clayton): Full British National Curriculum through IGCSE plus IB Diploma. 90% native English-speaking staff, ~500 students. Fees range from $8,000-24,000/year.
• The Oxford School: Cambridge curriculum (IGCSE, AS/A Levels) since 1984. Six campuses across Panama including David and Pedasí. Established reputation.
• Metropolitan School of Panama: Nord Anglia network with MIT and Juilliard collaborations. IB programme. Typically $11,000-23,000/year plus a chunky one-off registration payment.
• International School of Panama: The country's only non-profit independent international school. Full IB from age 3. Fees roughly $10,000-19,000/year, with a large capital contribution and annual fees on top.

Those initial ‘capital contribution’ fees (often over £7.5K) are particularly brutal, and they slip under the radar for many families.

State schools

Public schools are free and open to residents, but everything is in Spanish and support for non-Spanish speakers is limited.

Not a good idea if your kid only speaks English.

Safety

Panama is one of the safer countries in the region, and neighbourhoods like Clayton, Costa del Este, and Punta Pacífica feel very secure by Latin American standards.

Admittedly, we’re dealing with some fairly dangerous competition in the region.

LATAM countries tend to have a reputation for safety issues in the eyes of many Brits… in Panama, that rep is slightly unfair, as long as you steer clear of obvious crime hotspots.

A bigger risk to kids is traffic. Panama City can be heavily congested, and driving standards take some getting used to - putting it lightly.

Panama’s low cost of living is a big part of its appeal as a retirement haven for expats.

While it isn’t the cheapest expat destination in the world, it nevertheless offers a comfortable lifestyle at an affordable price.

Family is at the heart of daily life in Panama, and the welcoming and easy going locals have a strong sense of community and look out for one another.

Here are some extra practicalities to consider before you commit to any move:

Transport

Panama is relatively small, but there are nonetheless some domestic air services which operate internal flights which are often the quickest and most comfortable way to explore the country’s many islands and more inaccessible locations.

If you choose to take a boat or ferry to the islands, there are regular services from Panama City, as well as organised tours.

For most long distance journeys however, buses are the most popular mode of transport. MetroBus covers the city from as little as 19p per ride - quite the steal. Outside the capital, public transport is basic: intercity buses from Albrook Terminal run from around £3.80-15.15.

Taxis are unmetered… always agree a price first. Uber and Didi work in Panama City. In Boquete, Pedasí, and rural areas, a car is essential.

Phone and internet

From what we’ve seen, +Móvil offers the best coverage and speed, with unlimited plans from around £15/month.

Home fibre in Panama City delivers around 215 Mbps average for prices starting from around £20/month.

Rural areas, as you might expect, are a completely different story - speeds fall off a cliff, often to around 1-20 Mbps, and Elon Musk’s Starlink is increasingly popular. Especially with the digital nomad and tech crowd.

Banking

Oh boy, brace yourself…

Banks like Banco General and Multibank are commonly used by expats, but requirements vary and can change depending on your profile. At a minimum, expect to provide your passport, proof of income, and evidence of your connection to Panama (residency, employment, or investment).

In practice, banks often ask for more (and can be painful to deal with) - reference letters, additional ID, or supporting documents - and approvals can take time.

Having residency (or applying for it) makes the process significantly easier, but it’s still the opposite of fun.

Language

Spanish is the official language. Only 8-14% of Panamanians speak English, concentrated in Panama City's professional class and Bocas del Toro.

You can survive without Spanish in Boquete and parts of Panama City.

You’ll struggle though.

You don’t need to be fluent on day one, but you do need to commit. The good news is lessons are cheap and widely available, so most expats pick it up faster than they expect.

Buying property

Foreigners can buy property in Panama on essentially the same basis as locals, and you don’t need residency to do it. Most purchases are freehold, though restrictions apply near international borders and directly on the coastline.

A common rule of thumb: only buy titled property. “Rights of Possession” land can look cheaper, but it’s legally messy and not something most expats should touch with a barge pole.

Transaction costs are relatively low - expect roughly 2% transfer tax and around 3-5% total closing costs depending on the deal.

Mortgages are possible but difficult without local income, so most buyers either pay cash or finance from abroad.

If you’re new to the country, renting for 6-12 months first is the smart move.

Pets

The paperwork is really important if you want to bring pets into Panama.

You’ll need an Export Health Certificate from an APHA-approved vet, a microchip, and up-to-date vaccinations (including rabies at least 30 days before travel). The documents then need to be apostilled or consularised before you fly.

Before arrival, you’ll also need to submit a home quarantine request a few days in advance. On arrival at Tocumen Airport, expect to pay official inspection and processing fees (around $150 total per animal, in cash).

If everything is in order, pets are typically released to home quarantine rather than held in kennels. Total costs vary depending on vet fees and paperwork.

Moving pets to Panama can be a stressful process and it’s worth looking at a pet export agency for peace of mind.