Asked by: Lord Petitgas (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government, further to the Written Answer by the Exchequer Secretary to the Treasury on 27 November 2024 (HC14948), what assessment they have made of the potential effect of proposed changes to the non-domiciled tax regime on the UK's international reputation as a destination for high-net-worth individuals; and whether they plan to update the value for money assessment and scenarios for the changes to the non-domiciled tax regime in view of the reported current migration of such individuals.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government is making elements of the non-dom reforms simpler to use and more attractive, whilst retaining the structure announced at the Budget. We do not expect these changes to impact the £33.8 billion of tax revenue that the OBR forecast to raise over five years from this government’s and the previous government’s changes to the non-dom tax regime.
Evidence from reforms in 2017 shows that the vast majority of former non-doms who became liable for tax on their worldwide income and gains remained UK resident and continued to contribute to the UK economy.
The Government published a Tax Information and Impact Note for this policy on 30 October, which can be found on GOV.UK.