Tax changes drive non-domiciles out of the UK

A quarter of non-domiciled individuals are planning to leave the UK in the next year according to research by Moore Stephens.

The changes to the UK’s tax system are a common reason for leaving. These include changes to the remittance basis and the failure to correct legislation for offshore assets. Other reasons were the less welcoming environment from the government (26%) and Brexit (23%).

The firm says the departure could trigger a significant reduction in tax receipts. It points out that non-doms paid £9.4bn in income tax capital gains tax and National Insurance in 2016-17.

Simon Baylis partner and head of private client services at Moore Stephens said: ‘As non-doms have the ability to leave the country at very short notice the government must be alive to the risk of losing them and the income they provide to the UK. They make an enormous contribution...