2024 has seen the ultimate record of wealth fleeing the UK. According to LBC’s report and a research of Oxford economists, the abolition of NonDoms does not bring in additional tax revenues in a whole, but will cost the UK further billions a year.
Labour puts forward an own calculation saying that the NonDom abolition will bring in some 13 Billion in tax money over the next years. While it is certain that the remaining abolished NonDoms will pay taxes on their worldwide income, assets and inheritance, Labour omits to quantify the effects of those who are leaving the country en masse.
Oxford scientists come to the conclusion that the effect of abolishing NonDoms goes into a different direction. NonDoms were big investors, spenders and employers in the UK and their wealth was distributed all over the country but principally in the London area. These investments, spendings and employments will be lost with a multiplying negative effect to the UK economy and tax revenues.
Bad luck for the UK. And happy can be the new destinations for millionaires, such as European countries with preferential tax schemes and tax rates for foreigners (Italy, Greece, Malta, Cyprus, Hungary etc.) or Monaco, UAE and other Middle Eastern countries. Yes, why should a Saudi millionaire remain in the UK when Gulf countries do not tax him? With better weather and lower costs of living and of services the decison to move is easily made.
