The UK government is set to revise its controversial changes to tax rules for non-domiciled residents following a record exodus of millionaires from the country. Chancellor Rachel Reeves announced the amendments during a fringe event at the World Economic Forum in Davos, acknowledging concerns raised by the non-dom community.  

 

 

“We have been listening to the concerns that have been raised by the non-dom community,” Reeves told Emma Tucker, editor of *The Wall Street Journal*. She revealed that an amendment to the Finance Bill would soon be tabled, increasing the generosity of the temporary repatriation facility. This facility allows non-doms to transfer money into the UK without incurring significant taxes, and the revised rules will expand the criteria for eligibility.  

 

Reeves also sought to address fears regarding double-taxation agreements, assuring non-doms that the changes would not affect such arrangements. “There’s been some concerns from countries that have double taxation conventions with the UK, including India, that they would be drawn into paying inheritance tax,” she said. “That’s not the case: we are not going to change those double-taxation conventions.”  

 

The urgency of these changes is underscored by alarming migration data. Last year, Britain experienced a net loss of 10,800 millionaires, a staggering 157% increase compared to 2023, according to data from New World Wealth and Henley & Partners. This outflow of wealthy residents was second only to China and included 78 centi-millionaires and 12 billionaires. The majority relocated to European countries such as Italy and Switzerland, as well as the United Arab Emirates.  

 

The exodus is expected to continue, with tax advisers reporting a growing number of British entrepreneurs considering leaving the UK due to the tax hikes announced in the autumn budget. The Office for Budget Responsibility (OBR) previously forecasted that Labour’s changes to the non-dom regime would generate over £33 billion for the exchequer during this parliament. A significant portion of this estimate relied on non-doms paying £10.6 billion in taxes at reduced rates through the temporary repatriation facility.  

 

However, the OBR has admitted to a “very high” degree of uncertainty in its predictions. Achieving these figures depends not only on non-doms remaining in the UK but also on their willingness to bring assets worth tens of billions of pounds into the country to take advantage of the facility’s newly lowered 12% tax rate.  

 

The record outflow of wealth has cast doubt on whether those considering relocating to London will follow through. Many believe that the recent tax changes, coupled with increasing financial pressures, have significantly diminished the UK’s appeal to high-net-worth individuals.  

 

As Reeves moves to adjust the rules in response to mounting concerns, it remains uncertain whether the revised measures will be enough to stem the tide of departures or restore confidence among the UK’s wealthiest residents.

 

Based on a report by The Times 2025-01-25

 

 

3 hours ago, Social Media said:

As Reeves moves to adjust the rules in response to mounting concerns, it remains uncertain whether the revised measures will be enough to stem the tide of departures or restore confidence among the UK’s wealthiest residents.

 

The damage is done. Why would they even think about coming back.

 

 

 

What did she think was going to happen?

 

They would all stay and happily hand their cash over to Rachel from accounts? 

 

Staggering incompetence. 

 

 

Same thing will happen in Thailand.  Tax world income and inward remittances and voila.

16 minutes ago, The Cyclist said:

 

The damage is done. Why would they even think about coming back.

 

 

 

Money is as shy as a deer grazing at the forest's edge, one loud noise and it's gone.

This moron is shutting the barn door after the horses have bolted.

2 hours ago, koolkarl said:

Same thing will happen in Thailand.  Tax world income and inward remittances and voila.

If you think Thailand has eno qualified tax agents that speak 40 languages, know the tax rules in those co and can pinpoint when the remittances were actually earned, then you still believe in fairytales, just like Reeves does!

4 minutes ago, zepplin said:

If you think Thailand has eno qualified tax agents that speak 40 languages,

 

Why would Thailand need tax agents that speak 40 languages ?
 

Tax filing can be done in 2 languages, Thai and English.

 

But the poster is correct. Tax people too much, and those that can leave, will leave.

Another Labour U turn under Starmer. He has expressed every confidence in his chancellor. Probable the only person in the country who has

DEI hire

 

 

1 hour ago, jippytum said:

Another Labour U turn under Starmer. He has expressed every confidence in his chancellor. Probable the only person in the country who has

 

He is an absolute fool.  He can't get rid of her no matter how useless she is after his stupid speech where he grinned like a cheshire cat lauding her immutable characteristic that she is a female and little girls will look up to her as she is a female (never mind that fact there have already been 3 females in the higher position of PM).  He doesn't want to have to make the speech announcing that she is also the first female to get fired from this position. 

I wonder how she is going to fill the funding black hole caused by this screw up?

4 hours ago, koolkarl said:

Same thing will happen in Thailand.  Tax world income and inward remittances and voila.

 

Won't happen.

 

The Thais are much smarter than Rachel from accounts. 

5 hours ago, JonnyF said:

What did she think was going to happen?

 

They would all stay and happily hand their cash over to Rachel from accounts? 

 

Staggering incompetence. 

 

All entirely predictable. She was told by the OBR this would happen before she changed the non-dom rules. But socialists never learn - money goes where it is treated best.

 

I expect Chomps will be along soon to tell us getting the most productive people to leave the UK is all part of the grand Labour plan.

She a dumb b#@th , a liar and now she is gonna have to do a U-turn 

2 minutes ago, roquefort said:

All entirely predictable. She was told by the OBR this would happen before she changed the non-dom rules. But socialists never learn - money goes where it is treated best.

 

I expect Chomps will be along soon to tell us getting the most productive people to leave the UK is all part of the grand Labour plan.

 

I'm sure they'll be replaced by Rwandan refugees.

 

We will all be culturally enriched until they breed and produce the likes of the "Welsh choirboy".

1 minute ago, Theforgotten1 said:

She a dumb b#@th , a liar and now she is gonna have to do a U-turn 

 

If she's smart it will be the first of many.

 

Spoiler alert - she isn't. 

5 hours ago, The Cyclist said:

 

The damage is done. Why would they even think about coming back.

 

 

 

Didn’t the Brits learn their lessons under the Wilson and Callaghan Labour governments of the mid-70s? Problem is no Margaret Thatcher on the horizon.

26 minutes ago, Nid_Noi said:

Didn’t the Brits learn their lessons under the Wilson and Callaghan Labour governments of the mid-70s? Problem is no Margaret Thatcher on the horizon.

 

Hah

 

Too funny 😀😀

 

It will be different this time, or something equally stupid.

32 minutes ago, Nid_Noi said:

Didn’t the Brits learn their lessons under the Wilson and Callaghan Labour governments of the mid-70s? Problem is no Margaret Thatcher on the horizon.

Yeah, i thought when the conservatives and Margaret Thatcher took over that returning to UK would be a good idea. Hahaha. I spent the next 18 months on the dole, the employment situation was 10 times worse than when i left. Had to retrain as a computer programmer, throwing away all my scientific experience in water management. Thatcher deliberately restricted the ability of the regional water authorities to borrow money for investment, then blaming them for failing to meet standards, privatised it; 

 

Look where we are today - in 2017, 83% of people wanted all water services to be renationalised - the only people to benefit from the privatisation were shareholders, who asset stripped the companies to line their pockets, and water services today are in a worse state than 40 years ago.

 

https://en.wikipedia.org/wiki/Water_privatisation_in_England_and_Wales

 

I will never vote conservative, foe ruining the water industry and my career.

6 minutes ago, rickudon said:

Yeah, i thought when the conservatives and Margaret Thatcher took over that returning to UK would be a good idea. Hahaha. I spent the next 18 months on the dole, the employment situation was 10 times worse than when i left. Had to retrain as a computer programmer, throwing away all my scientific experience in water management. Thatcher deliberately restricted the ability of the regional water authorities to borrow money for investment, then blaming them for failing to meet standards, privatised it; 

 

Look where we are today - in 2017, 83% of people wanted all water services to be renationalised - the only people to benefit from the privatisation were shareholders, who asset stripped the companies to line their pockets, and water services today are in a worse state than 40 years ago.

 

https://en.wikipedia.org/wiki/Water_privatisation_in_England_and_Wales

 

I will never vote conservative, foe ruining the water industry and my career.

I know exactly what you mean. Many trade unionists who lost their jobs in the 70s emigrated to the dominions (Australia, NZ and Canada). They were very active in implementing the socialist policies in the Crown corporations then in the private sector. Our actual problems derived from these policies. Canada (9th) and Australia (5th) are among the 10 countries with the most labour strikes.

 

Http://chartsbin.com/view/42129

2 hours ago, JonnyF said:

 

Won't happen.

 

The Thais are much smarter than Rachel from accounts. 

Already is.  CRS.