This article explores how the elite are leaving the UK due to fears of increasing potential taxes under a Labour government led by Sir Keir Starmer. The article mentions a leading City lawyer, Ayesha Vardag, who has seen a “flood” of clients migrating to low-tax destinations like Dubai and Monaco to get away from potential increases in capital gains tax and inheritance tax reforms.
A leading City lawyer, Ayesha Vardag, gives notice that the wealthy are fleeing Britain due to fears of wealth tax increases under a potential Labour government led by Sir Keir Starmer. Vardags’ firm has seen people moving to low-tax areas such as Dubai and Morocco to avoid capital gains tax and reform taxes.
Labour’s platform promises not to elevate taxes on “working people,” but the party has not eliminated increases in profits from sales of companies, second homes, and shares. There are also concerns about potential reforms to inheritance tax, making it harder to give money and assets tax-free.
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According to Vardag, England is losing its position as a top cosmopolitan city with a brilliant education system and tax reforms, leading to a brain drain and loss of inward investment. The eradication of the non-dom regime and Labour’s plans to tighten loopholes are also contributing factors to the exodus.
Vardag says it is wrong to think that the rich will not stay in Britain when they can move to other beautiful countries. She considers that England had a competitive edge in attracting inward investment from rich individuals but is now throwing it away. Vardags comments mention the debate around taxation and economic growth, with Labour minding wealth redistribution and the Conservatives emphasising a low ratio of taxes for prosperity. The potential changes have sparked fear among the super-rich, leading some to consider transferring to low-tax destinations.
By Yahoo News
