Pros and cons of living in Andorra

Tucked away in the Pyrenees mountains, Andorra offers expats the chance to live a more remote lifestyle filled with outdoor pursuits. But like all new destinations, there are several pros and cons of living in Andorra worth researching before you decide to relocate from the UK. From the favourable tax system to the lack of transport services, you’ll find everything you need to know below.

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Pros and cons of living in Andorra - An overview

We’ve listed the main pros and cons of living in this tiny European principality in the table below.

Pros	Cons
Scenic outdoor spaces	No airport or train service
Affordable cost of living	Language barrier
Low crime rates	Limited employment opportunities
Quality healthcare	Remote location
Low taxes	Simple lifestyle
Close-knit community	High social security contributions

Pros of living in Andorra

There are many advantages of moving to Andorra from the UK. Keep reading to get stuck into some of them.

Scenic outdoor spaces

One of the main draws to Andorra is its beautiful location in the Pyrenees. Winter offers the chance to ski, snowboard and snowmobile around the snow-capped mountains, with ski resorts and winter sports villages allowing locals to hit the slopes in their free time, as well as in the holidays.

Water sports like diving, rafting and sailing are popular in the summer, when you can make the most of Andorran lakes and rivers. The mountains also attract hikers and mountain bikers looking for incredible views – alternatively, road cycling is a popular outdoor pastime.

Affordable cost of living

Food and rent in Andorra is relatively affordable, especially compared to other European cities. The cost of living in Andorra is also 20% lower than in the UK.¹ To rent a 1-bedroom apartment in the city centre, expect to pay around 1015 EUR per month, with accommodation outside the city centre averaging around 820 EUR.²

The affordable cost of living in Andorra makes it easier to manage money when you’re living there. In terms of banks in Andorra, there are just 3 major banks in operation. However, these banks serve both local and international customers and can help you open a bank account in the country. Knowing Catalan here will drastically help (more on this later!).

You can also check out non-bank alternatives, like the Wise account, to manage your money in Andorra.

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Low crime rates

Andorra is considered an extremely safe country and has very low crime rates.³ In fact, there is a general conception that good Sanitarians will hand in a purse if it’s left on a table! Since the country is landlocked, few and highly protected entry points make illegal activities very uncommon.

The Police Corps of Andorra are integral to the country, helping to maintain order and protect those living there. Cooperation agreements with next-door countries, like Spain, also mean Andorra’s judicial system is better prepared to fight any cases of organised crime.⁴

Quality healthcare

Andorra’s quality healthcare is another pro of living in the country. The principality has heavily invested in the healthcare system, ranked by The Lancet as the best in the world ahead of countries like Norway and Switzerland.⁵ Andorra’s health and social security system, CASS, also covers most of your healthcare costs. You can find more information about CASS later in this article.

As well as within Andorra, healthcare is also integrated into the neighbouring healthcare systems of France and Spain. If you have a medical emergency in either of these countries (as well as in Portugal), CASS will cover the cost of your treatment.

Low taxes

Tax rates are extremely low in Andorra, with residents paying no wealth tax, inheritance tax or gift tax.⁶ Andorra also has the lowest VAT rate in Europe.⁷ Income tax rates in the country are calculated within salary tax brackets:

Annual salary	Income tax
0 EUR - 24,000 EUR	0%
24,001 EUR - 40,000 EUR	5%
40,001 EUR or more	10%

Married couples can also earn up to a combined 40,000 EUR before paying any income taxes, while entrepreneurs moving to Andorra from the UK only have to pay a corporate income tax of 10%.⁶

💡 Read more: Can you keep your UK bank account when moving abroad?

Close-knit community

The small size of Andorra means the community is close-knit. The country is known for being friendly and welcoming, attracting expats from all corners of the world. Many expats in Andorra use Facebook groups, WhatsApp chats and forums to connect.

While being able to communicate in Catalan makes meeting locals easier, some online groups chat in English, in particular, Facebook pages specifically for Andorran Expats. There is even a WhatsApp chat for keen skiers and snowboarders who like to meet early and be first on the slopes.

Cons of living in Andorra

Living in this tiny yet beautiful country in Europe also has several drawbacks. We’ve delved into some of them below.

No airport or train service

Without its own airport or railway line, Andorra is badly connected to the rest of Europe. This is a stark comparison to the fast and affordable transport available throughout the continent and in neighbouring France and Spain.

Apart from the small airport near the border in La Seu D’Urgell (which mainly handles private and expensive flights), Andorra’s closest major airports are Barcelona and Toulouse – both over two and a half hours drive away. Similarly, the nearest train station is L’Hospitalet-près-l’Andorre, 3 km from the French border.

Language barrier

Catalan is the official language of Andorra, but since it’s only spoken by just over 9 million people worldwide (8.8 million of those speakers living in Spain) it can be difficult to pick up.⁸ Most Andorrans speak French or Spanish as a second language, with the number of Portuguese speakers in the country increasing.

This language barrier can make integrating with the community and understanding official paperwork difficult. Especially since English is mostly reserved for tourist areas and clusters of expats. To combat this, the Andorran government offers free Catalan language classes to help expats learn the local tongue.⁹

Limited employment opportunities

Occupying just 468 square kilometres, the small size of Andorra means there are limited employment opportunities available, especially for specialised professions. A smaller labour market also means competition for positions is tougher, particularly if you don’t speak Catalan, French or Spanish.

Tourism is the main source of revenue for Andorra, meaning work in this sector (as well as retail) is consistent. The mountainous location also offers plenty of seasonal and winter work for those who love the snow. With one of the best internet connections in Europe, working remotely is popular with expats, as well as teaching in one of Andorra’s multilingual schools.

Remote location

For UK expats moving to Andorra from big cities, the remote position of this country might come as a shock. Andorra can seem behind the times with many modern services. For example, some online retailers don’t ship to Andorra and the country’s 6-digit phone number can make filling out online forms a hassle.

Many expats get around this problem by getting their parcels shipped to shops in La Seu d’Urgell. Companies that accept international packages on your behalf and deliver them to your doorstep for a small fee are also becoming more popular in Andorra.

Simple lifestyle

The pace of life in Andorra is slow. With a big focus on outdoor living, residents lead simple and leisure-filled lives, very different to the fast-paced style of major European cities like Paris, Barcelona and London.

For many expats, this simple lifestyle can be a blessing. But for those used to things moving a little quicker, it can take some time to adjust. Local groups and expat meetups can help you stay integrated and find new things to do.

💡 Read more: Best ways to spend money while travelling abroad

High social security contributions

Andorra’s health and social security system, CASS, covers essential services in the country. However, contributions can be high depending on your income. CASS collects 22% of your gross monthly salary, split between the employer and employee. For example, workers allocate 6.5% of their monthly salary and companies contribute the remaining 15.5%.¹⁰

For self-employed workers in Andorra, the contribution base is calculated by applying a percentage to the global average salary of salaried workers.¹¹

Quick facts about Andorra

Discover what life is like in the country with these quick facts, great for helping you weigh up the pros and cons of living in Andorra.

💰 Currency	Euro (EUR)
👥 Population¹²	82,000
🗣️ Language	Catalan, French, Spanish
📊 % of foreign-born residents¹³	68% (mostly from Spain)
👶 Age distribution (years) ¹⁴	0 - 14 (6.2%), 15 - 64 (77.3%), 65+ (16.5%)
☁️ Weather	Mediterranean mountain climate with cold, snowy winters and warm, relatively dry summers.

What’s the best place to live in Andorra?

The small size of Andorra means there isn’t just one best place to live. To help you choose, we’ve listed the characteristics of each of Andorra’s urban parishes below.

• Andorra la Vella: the busiest city and capital of the principality. Here, you can find everything you need in one place.
• Escaldes-Engordany: next to Andorra la Vella, this parish is great for making the most of busy la Vella but living closer to nature.
• Ordino: the parish with breathtaking scenery, including valleys, lakes and historical heritage.
• Sant Julia de Loria: the parish with the warmest weather next to the Catalonian/Spanish border.
• La Massana: the parish is known for its English community and is ideal for sports enthusiasts thanks to its proximity to Pal Arinsal’s ski and bike resort.
• Canillo: the largest parish in Andorra offering a relaxed pace of life with the least number of residents.
• Encamp: the border parish with France known for its gondola access to the Grandvalira ski resort.

Is Andorra safe?

Yes, it’s extremely safe to live in Andorra. In fact, Andorra is considered one of the safest countries in the world.¹⁵ With a low crime rate, stable political environment and strong law enforcement, Andorra continues to have a high reputation for safe living in the expat community.

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Sources used:

1. Numbeo- cost of living in Andorra
2. Numbeo- accommodation costs in Andorra
3. Numbeo- crime rates in Andorra
4. Ocindex - crime justice and security with neighbouring countries
5. Andorra Guides - healthcare system
6. Andorra Guides - taxes in Andorra
7. GVC - VAT rates
8. Babbel - Catalan language
9. Govern d’Andorra - free Catalan language courses
10. Andorra Partner- CASS contributions
11. Papers - CASS contributions for self-employed
12. Worldometer - Andorra population
13. CIA.gov - Andorra foreign population
14. WHO - Andorra age range
15. CEO World - safest countries in the world

Sources last checked on date: 20-March-2025