The United Kingdom is experiencing a significant outflow of affluent residents due to changes in tax policies. The abolition of the non-domiciled (non-dom) tax status, which has already come into effect, is a primary driver of this trend.
The non-dom regime, which had been in place for over two centuries, allowed foreign residents to pay taxes only on UK-earned or repatriated income. This reform aims to generate additional revenue, with estimates suggesting an annual increase of several billion pounds. Status as a "non-resident" was originally conceived for settlers who made their fortunes on the other side of the world and wanted to avoid taxes until they brought their money home.
Approximately 10,800 wealthy individuals, including centimillionaires and billionaires, departed the UK in 2024. The United Arab Emirates, particularly Dubai, has become a primary destination for those seeking tax-free income and residency options.