Move over Spain and Dubai. Portugal has quietly become the new destination of choice for Britons looking for a sunnier, cheaper life abroad.Even royalty has succumbed to its charms. Since 2022, Princess Eugenie, 12th in line to the throne, has lived in Comporta, 90 minutes south of Lisbon – and chose to have her third baby there last week.But this is about far more than one royal. Portugal’s foreign population has doubled in just four years, according to Instituto Nacional de Estatística data, as newcomers flock to its golden beaches, laid-back lifestyle and warmer climate.The British are playing a starring role in the boom. Emigration from the UK has trebled in the past decade, with many heading for the villas and beaches of the Algarve or the increasingly fashionable suburbs around Lisbon.And now there is an unexpected twist: even Britons who decamped to Dubai are looking for a way out, with some turning their backs on the Gulf and setting their sights on Portugal instead.So what has made Portugal such a magnet – and why are so many people suddenly deciding to call it home?For one thing, it is remarkably easy to reach from Britain: less than three hours by plane. Add a mild climate, sunshine for much of the year and mortgage rates of around 3 per cent, and the appeal starts to become obvious.Then there is the money. The cost of living is around 37 per cent lower than in Britain, putting Portugal among the most affordable places to live in Western Europe. The Algarve is a popular destination for expats, with beautiful beaches and azure seas The cost of living is around 37 per cent lower than in Britain, putting Portugal among the most affordable places to live in Western Europe. Pictured: PortoAnd the Portuguese government has been making the proposition even harder to resist, introducing a raft of incentives aimed at attracting newcomers – from tax breaks to schemes designed to make settling in the country easier. Applications for visas are relatively straightforward compared to other European countries, with residency attainable in five years – and the possibility of later applying through ‘naturalisation’ for citizenship and the right to an EU passport.For those with deep wallets, ‘golden’ visas are possible either by spending €500,000 (£427,000) on a Portuguese approved investment or making a €250,000 (£213,000) donation – see details below.For royals, the attraction is more subtle.Speaking to the popular podcast Table Manners about her decision to emigrate to Portugal’s Alentejo coast, Princess Eugenie said: ‘Portugal is the dream because I can go to the supermarket in my exercise gear and my hair piled on my head and not mind. Not care. No one cares.’Her faith in the safety of Portugal is, however, supported by statistics. The nation placed seventh in this year’s Global Peace Index, which assesses crime rates, the threat of terrorism, exterior security threats and political stability. Additionally, Unicef ranks Portugal fourth in the world for child wellbeing.It’s also become a hotspot of a different type.Although not emigrating, celebrity regulars include Madonna, Sharon Stone, Scarlett Johansson and George Clooney. Meanwhile, Prince Harry and Meghan holidayed in Comporta with their children this summer. Princess Eugenie has lived in Portugal with her husband Jack Brooksbank and their children since 2022 The Alentejo region offers beautiful countryside as well as stretches of pristine coastIt’s little wonder the country has attracted such a starry set. Those wild Atlantic beaches on the western edge of Europe seem far removed from conflict in Ukraine, providing something of a haven for those escaping domestic politics or instability further afield.Among those fleeing tension in the Middle East have been the former footballer Rio Ferdinand and his family, who own a villa on the luxury resort of Quinta do Lago on the Algarve.Ferdinand’s wife, Kate, has spoken about struggling to adapt to the culture of Dubai and its distance from the UK – so no doubt feels closer to home both culturally and geographically on the Portuguese coast.There is a historical connection between England and Portugal, too. Portugal is the country with which England holds the longest recorded diplomatic alliance.All in all, there are many good reasons for digital nomads, retirees and celebrities to make a beeline for the country.But with varying property prices and administrative requirements to be aware of, where is the place to move in this sunny spot – and how best to do it?The Algarve or Lisbon?For many retirees, the sleepy Algarve has been the perfect place for relaxed days on the golf course or by the beach – but now families and remote workers are joining them, too.‘The main drivers are quality of life, safety, wellbeing and climate, combined with Portugal’s political stability and the Algarve’s accessibility,’ says Alda Filipe of Kronos Homes, the owner of five-star golf resort Vale do Lobo. Lisbon is the perfect spot for those seeking a big-city buzz at an affordable price‘Many second-home owners are choosing to spend longer periods here or relocate permanently.’Homes on the Algarve cost between €765,000 (£653,000) for a secondhand apartment and €45million (£38.4million) for an eight-bedroom villa. For top-tier living, try the ‘Golden Triangle’, where luxury resort communities include Quinta do Lago, plus four international schools and the Vilamoura Marina resort. English is widely spoken.House prices become more affordable the farther inland you look, with townhouses for around €200,000 (£171,000) – and the simpler pleasures of local village life.For those seeking culture, a big-city buzz or a growing tech community, choose a city centre apartment in Lisbon. The upscale seaside towns of Cascais or Estoril, or the modern district of Park of Nations – are all home to international schools and expanding expat communities.The uptick in interest has been reflected in market: good-quality villas in Cascais cost north of €3,500 (£3,000) a month to rent or over €2million (£1.7million) to buy.For surfing-mad digital nomads and creatives, the fishing villages of Peniche, Nazaré or Ericeira, north of Lisbon, might be more favourable. Closest to the city, Ericeira is the most expensive but you can rent a one-bedroom apartment for less than €1,000 (£850) a month.South of the city in Comporta, CostaTerra Golf & Ocean Club is the upscale private community where Princess Eugenie and her family reside – and her husband, British entrepreneur Jack Brooksbank, works.Owned by the American Discovery Land Company, the site includes a golf course, private beachfront and homes from around £4million.Around this gated community, a host of other new villa and high-end hotel projects are gradually populating this once-quiet stretch of fishing villages and paddy fields (beware the mosquitoes). It is, however, highly seasonal and low on infrastructure – so remains, for most, a summer escape.How to do it?Unless you hold an EU passport, you will need a visa to spend more than 90 days out of 180 in Portugal. However, the country offers one of Europe’s swiftest routes to citizenship, bestowed after five years’ residency.You apply for visas in the UK, at VFS application centres, before you go (visa.vfsglobal.com).There are several visa options, with the D7, or passive income visa, the most popular. As long as you can prove €920 (£785) a month of passive income – pensions, rental returns, dividends, remote work – you can get a residency permit for two years and then choose to renew later down the line. Visa applications cost from around €350 (£300), but many pay closer to €1,000 (£850) for a hand-holding service.For those who are freelance or remote working, there’s the digital nomad visa, or D8. This requires a much higher income – at least €3,680 (£3,140) a month, or €5,520 (£4,710) for a couple – and lasts for one or two years. This is also extendable up to five. For both visas, you need to also show proof of €11,040 (£9,420) in savings; 12 times the monthly minimum wage of €920 (£785).The D2 visa for entrepreneurs requiring a business plan is less popular. ‘There’s a lot more room for interpretation, confusion, and rejection,’ says James Cave of Portugalist, an online relocation service.Another option is the golden visa. You can no longer apply for residency through buying a home, you must spend €500,000 (£427,000) on a Portuguese approved investment or make a €250,000 (£213,000) donation.You only need to spend an average of seven days per year in Portugal to maintain it, so it works well for someone who is trying out life in Portugal before committing fully.Will you be better off financially?Don’t assume you will pay lower income taxes by emigrating to Portugal. In fact, you may well pay slightly more under the country’s progressive tax brackets.Be aware of a flat 11 per cent social security charge on your full salary (with no upper cap) if you are a working resident.But, on the flip side, there’s no wealth tax, inheritance tax or gift taxes between spouses, children and parents.While they won’t apply to most, there are also two relatively new potential tax perks worth noting.Open to academics and other highly qualified professionals in science and technology sectors, the IFICI tax regime, Portugal’s tax system, offers a flat 20 per cent tax rate on Portugal-derived income and zero tax on certain non-Portugal-derived income, such as capital gains, for ten years.Alternatively, under-35s moving to Portugal to work are eligible for a 100 per cent exemption on personal income tax on the first year of earnings up to €29,542 (£25,200), gradually reducing over ten years from 75 per cent in year two to four, 50 per cent in five to seven, then a 25 per cent relief during years eight to ten.Portugal has a good-quality state healthcare system into which residents contribute modest co-payments. D7 visa applicants must take out private healthcare for the first year.UK movers of state pension age can get healthcare paid by the UK government via an S1 Certificate. Some of the private hospitals are among the best in Europe… as Princess Eugenie no doubt enjoyed.