The power couple recently purchased the house next door to the home they already had in London's Belsize Park, The Mail on Sunday reported.
Paltrow and Martin, the frontman for Coldplay, said that they want their children, Moses, 1, and Apple, 3, to be educated in Britain.
"Gwyneth and Chris have just sold their townhouse in New York's trendy TriBeCa area because they want to be in London full-time," a source in New York told The Mail. "They bought the house next to their London pad so they can have more space and plan to put their children through British schools. Gwyneth is particularly impressed with the English education system."
Paltrow and Martin won't have any trouble paying school fees, they reportedly made almost $6 million in profit from selling their New York home.