Britain’s wealthy threaten mass exodus… here’s why!!!

Britain’s wealthy have threatened to leave London en masse ahead of proposed tax changes. Global destinations including Monaco, Italy, Switzerland and Dubai are attracting the UK’s wealthy ahead of proposed changes to the country’s divisive non-dom tax system.

Nearly two-thirds (63%) of wealthy investors said they plan to leave the UK within two years or “soon” if the Labour government goes ahead with plans to scrap the colonial-era tax break, according to a new study from Oxford Economics, which assesses the impact of the proposed plans.

UK Chancellor of the Exchequer Jeremy Hunt has invoked one of Labour’s key fiscal policies when he announced the abolition of the non-dom system. Non-doms do not pay tax on their overseas earnings, but are subject to tax on their income in the UK.

The UK’s non-dom system is a 200-year-old tax rule that allows people who live in the UK but are domiciled elsewhere to avoid paying tax on overseas income and capital gains for up to 15 years, according to CNBC. As of 2023, an estimated 74,000 people had the status, up from 68,900 the previous year. Last month, Labour laid out plans to scrap the status, expanding a pledge in its election manifesto and ramping up previous proposals by the previous Conservative government to phase out the system over time.