Iceland Named Most Welcoming Country for Expats in 2026 Study

A recent study by international health specialists William Russell has revealed the most welcoming countries and cities for expats in 2026, with Iceland taking the top spot. Despite having only around 2,000 British expats, the country offers strong integration opportunities, with 84.2% of expats employed and a visa openness score comparable to most EU countries. Approximately 25% of Iceland's population are migrants, and 98% speak English, giving it an overall welcoming score of 8.94 out of ten.

Iceland's Appeal and Drawbacks

Iceland boasts stunning natural beauty, but its cost of living is among the highest in the world, similar to Switzerland and Singapore. Winters can be harsh, with only four hours of daylight in December. However, Reykjavik offers a high quality of life despite its expense.

Other Top Countries

Luxembourg came second, with a migrant population of 51.2% and high scores for quality of life and housing. New Zealand narrowly beat Australia, offering a higher foreign-born employment rate and easier visa options for Brits (skilled migrant applications up to age 55, compared to Australia's cutoff of 45).

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Friendliest City

Zurich was named the most welcoming city, with high safety scores and low social friction, though it also has a high cost of living. Competitive salaries and excellent living standards make it popular among expats.

Low-Ranking Countries

Japan and South Korea ranked low, indicating integration difficulties. South Korea's foreign-born employment rate is just 5.3%, and Japan's is only 2.8%.

William Cooper, Director at William Russell, commented: “One of the biggest mistakes expats make is assuming that popular countries guarantee an easy transition. In reality, the first few months are when most challenges arise, such as navigating healthcare systems and securing a stable income. Preparing for those early stages is often more important than the choice of destination.”