Nigel Farage will today unveil a plan to charge non-doms £250,000 in return for avoiding a raft of taxes, with the proceeds going to the lowest-paid workers.
In his latest lurch to the Left, the Reform UK leader will use a speech this morning to pledge to ‘restore the social contract between rich and poor’ in Britain.
Under the plan, non-doms would be offered the chance to pay a £250,000 one-off ‘Entry Contribution’ in return for not being taxed on any offshore income or gains.
They would also not be liable to pay inheritance tax, the Mail understands.
The ‘contribution’ would then be distributed to Britain’s lowest earning 10 per cent of full-time workers, delivered automatically by HMRC as a cash dividend.
It is designed to make the UK a more attractive place to wealthy individuals, as it would reinstate the non-dom regime which Labour abolished in April.
Non-domiciled status allows people who live in the UK, but who have a permanent home elsewhere, to only pay tax on the money they earn in the UK.
It can be used to shield any overseas income and profits from UK taxes, unless they are transferred into the country.
Chancellor Rachel Reeves is reportedly seeking to soften the changes, however, after fears that it is leading to an exodus of wealth creators.
It comes after three of Britain’s richest men – including a top investment banker -became the latest to join an exodus of the super-rich amid a government crackdown on wealthy non-doms.
In April, Ian and Richard Livingstone, brothers who own a £9bn property empire in the UK and abroad, an online casino and plush Monte Carlo hotel, were revealed as having quit the UK for Monaco, according to corporate documents.
Meanwhile, Goldman Sachs’ top banker, Richard Gnodde, worth over £130m, is understood to have ditched London for Milan.
Mr Gnodde is believed to be is the first senior banker leaving the UK for a different country, leading to fears the exodus of wealthy talent is spreading among the City’s higher echelons.
Leslie Macleod-Miller, chief executive of the non-dom lobby group, Foreign Investors for Britain, called for action to ‘stem the flow of highly desired – and highly mobile – individuals such as Gnodde’.
He told the City AM newspaper: ‘We are calling on the government to create an internationally competitive environment that attracts and retains top global talent and investment.’
In her budget last October, Rachel Reeves scrapped centuries-old tax privileges for non-doms – under which they were only taxed on income and gains brought into Britain.
Now all UK residents will be taxed in Britain on their worldwide income and gains.
