A UK Wealth Exodus? Why ‘Non-Dom’ Crackdown Risks Backfiring for Reeves

The debate over the UK’s “non-dom” status has taken center stage yet again. The decision by Chancellor of the Exchequer Rachel Reeves to end a two-century old tax break for wealthy foreigners has triggered the exit of many well-heeled residents from the country.

What started as a trickle of departures risks turning into an exodus as rich individuals grapple with a raft of other changes hitting their finances — from higher taxes on private equity investments to levies on private school fees. Technology entrepreneurs and heirs to storied European fortunes have already left, and a mass withdrawal could see the government’s efforts to boost tax revenue backfire.