Croatia named best European country for those dreaming of living by the sea

At a glance

Croatia has been ranked as the best coastal EU country to live in, scoring 85.76 out of 100 in a study by Philippou Law Firm. The study assessed 22 coastal EU countries based on factors like household spending, housing costs, personal tax competitiveness, crime perception, sunshine, and temperature. Croatia's low crime rate and affordable living costs make it an attractive option for those considering relocation.

• Croatia ranks first as the best coastal EU country to live in, scoring 85.76 out of 100. It performs well across all six factors, and has the lowest rate of perceived local crime, violence or vandalism of any country, at 1.4%.

• Cyprus comes in fourth place, being the warmest and sunniest country in the list, with a mean temperature of 21.2°C and 4,053 hours of annual sunshine per year.

• Romania ranks third overall, ahead of more popular coastal destinations such as Portugal, which rounds out the top 10, and Spain (13th place).

• Bulgaria offers the highest personal tax competitiveness score, scoring a perfect 100 out of 100.

For anyone dreaming of trading their daily commute for sea views, a slower pace of life and fresh produce from a local market, a new study has named the coastal European country that ticks every box: Croatia.

That’s according to Cyprus-based Philippou Law Firm, which conducted an index study to rank 22 coastal EU countries offering the best overall quality of life. Each country was scored out of 100 based on six factors: average household spending per person, housing costs as a proportion of household income, personal tax competitiveness, perceived local crime, violence or vandalism, annual sunshine, and mean temperature.

Croatia claims the top spot with the highest overall score of 85.76 out of 100. The country offers one of Europe’s most financially accessible options for those looking to relocate. Average household spending per person is €12,410 a year, one of the lowest of the entire ranking. Housing costs account for only 11.5% of income, the second lowest in the study.

Malta placed second, scoring 80.91 out of 100. As the second sunniest country in the study, with 3,963 hours of annual sunshine per year, the island also offers the highest mean temperature outside of Cyprus at 20.7°C. It also scores very highly on personal tax competitiveness with a score of 93.8/100, which measures how simple and favourable a country’s personal tax system is for individuals.

Perhaps not the first country that comes to mind for coastal living, Romania surprises with third place overall (78.92 out of 100). Average household spending per person is the lowest in the index, at €11,460 per year. Romania’s tax system is almost as favourable as Bulgaria’s: the second highest personal tax score in the study, at 97.7/100.

Those who love sunshine should consider Cyprus, which takes fourth place with a score of 75.52. It is the warmest and sunniest country in the study, with a mean temperature of 21.2°C and 4,053 hours of annual sunshine per year. Housing is among the most affordable too, with costs accounting for just 10.9% of household income, the lowest in the entire index.

Interestingly Portugal ranks 10th overall (65.71 out of 100). It has both the sixth highest sunshine, at 3,698 hours per year, and the sixth highest mean temperature, at 17.3°C, and ranks in the upper half of the pack, at 10th best for perceived local crime (6.9%). It is let down by its personal tax score (58.2 out of 100), however, with Portugal placing sixth from the bottom for this factor.

The Top Coastal Countries in Europe to Relocate

Rank

Country

Average household spending per person each year

Housing costs as a percentage of income

Personal tax competitiveness score (0-100)

Percentage of people perceiving crime in their area

Sunshine hours per year

Mean temperature(°C)

Index Score (/100)

1.

Croatia

€12,410

11.50%

83.6

1.40%

3,600

17.2

85.76

2.

Malta

€17,570

12.60%

93.8

7.40%

3,963

20.7

80.91

3.

Romania

€11,460

15.60%

97.7

5.90%

3,331

14.3

78.92

4.

Cyprus

€20,080

10.90%

83.8

9.60%

4,053

21.2

75.52

5.

Slovenia

€16,100

12.80%

77.1

6.80%

3,314

15.3

70.20

6.

Bulgaria

€9,250

18.10%

100

15.60%

3,375

14.2

70.07

7.

Poland

€12,730

15.80%

72.6

2.80%

2,831

10.8

67.79

8.

Lithuania

€15,000

15.30%

78.1

2.70%

2,807

10.3

66.96

9.

Latvia

€12,520

15.50%

77.4

5.40%

2,816

9.2

65.73

10.

Portugal

€16,050

16.30%

58.2

6.90%

3,698

17.3

65.71

11.

Italy

€21,320

14.10%

62.4

6.40%

3,724

17.4

63.92

12.

Estonia

€14,940

18.90%

84.6

4.30%

2,790

7.9

62.38

13.

Spain

€17,710

16.00%

54.9

13.60%

3,875

19.6

59.15

14.

Greece

€15,150

34.60%

84.5

20.90%

3,940

20.3

47.99

15.

France

€22,200

18.50%

50.7

14.70%

3,631

16.1

45.92

16.

Belgium

€26,670

17.60%

72.0

12.40%

2,666

12.0

41.28

17.

Sweden

€23,350

24.20%

65.5

9.40%

2,749

8.8

38.72

18.

Ireland

€28,120

16.20%

52.5

9.60%

2,486

11.1

36.48

19.

Finland

€24,210

21.10%

59.6

11.50%

2,776

7.1

35.57

20.

Netherlands

€26,680

19.90%

57.3

16.70%

2,733

11.8

31.04

21.

Denmark

€27,670

33.00%

58.9

6.30%

2,741

10.1

28.90

22.

Germany

€26,600

24.10%

29.5

10.70%

2,676

10.8

24.77

Nikolas Avgousti, Associate at Philippou Law Firm, commented:

“Relocating to a new country is one of the most significant decisions a person can make, yet the tax implications can be one of the most overlooked aspects. While salary and cost of living are of course important, the rate and simplicity of personal taxation can make a dramatic difference to how far your income stretches, and it’s something people often don’t think about until they’ve already made the move.

Countries like Croatia and Malta are becoming increasingly attractive to expats and remote workers not just for their climate and living costs, but because they also score strongly for personal tax competitiveness. Malta was rated third best for personal tax competitiveness in our study, while Croatia also performs well, meaning these countries should certainly be on your radar if you’re planning a move abroad.”

Editorial insight

The latest ranking of European coastal countries for quality of life places Croatia at the top, highlighting a shift in perceptions around the continent's most desirable seaside destinations. While countries like Spain, Portugal, and Italy have long been associated with beachside living, the findings suggest that less traditional options are gaining ground among those considering relocation, particularly on measures such as affordability, safety, and tax competitiveness.

For professionals and families weighing a move abroad, the study underscores the importance of looking beyond headline attractions like climate and scenery. Factors such as personal tax rates, housing costs, and perceived safety can have a significant impact on day-to-day life and long-term financial wellbeing. As remote working arrangements remain common and interest in international mobility continues, these practical considerations are likely to play a growing role in shaping relocation decisions across Europe.

Story ideas and journalist angles

Politics/policy

The Role of Tax Competitiveness in Attracting Expats to Eastern Europe

This angle examines how tax policies in countries like Croatia, Romania, and Bulgaria are making these nations attractive destinations for expats. The story could delve into government strategies around personal tax competitiveness and how they compare to Western European countries.

Target audience politics-public-affairs, business-finance Story potential 8/10 Consumer trend

Lifestyle Shift: Why More People Are Choosing Croatia Over Traditional Destinations

Explores the reasons behind Croatia's appeal over more traditional coastal destinations like Spain and Portugal. The story could include interviews with recent expats, highlighting factors like cost of living, perceived safety, and lifestyle preferences.

Target audience consumer-lifestyle, travel-tourism Story potential 6/10