UK to Abolish Non-Dom Tax Status by 2025

The removal of the non-dom tax regime aims to raise billions but may lead to an exodus of wealthy individuals from the UK.

Rachel Reeves announced the abolition of the non-dom tax regime, effective April 2025, during the Budget presentation.
The non-dom status allowed UK residents with foreign domiciles to avoid UK taxes on overseas earnings.
Critics argue that the change could drive wealthy non-doms to leave the UK, potentially costing the economy billions.
The new residence-based scheme will offer competitive tax arrangements for temporary UK residents.
Experts warn of a possible decline in millionaires and investment, while the government aims to raise £12.7bn over five years.