George Osborne’s announcement on non-dom tax status is already being cast as the equivalent of Labour’s proposition from the general election (yeah, the one that was billed as “cataclysmic” by the Tory press).
— Nick Robinson (@bbcnickrobinson) July 8, 2015
But instead of abolishing an anachronism from the colonial era, it turns out Osborne has merely tweaked it — allowing the ultra-wealthy to live in the UK for 15 years in a row and pay no tax on their total income:
“This measure removes access to non-UK domiciled tax status from longer-term residents who have been living in the UK for at least 15 out of the last 20 years.
Remember this poster?
With the Conservatives having scaremongered about a “talent flight” before the election it turns out that the OBR has accorded their own policy a “very high” level of uncertainty partly because “choosing to become non-UK resident” is one of the main risks.
It is even predicted to lose the country money in the first year — another plank of the pre-election Tory attack.