As I understand it, the Government have made it so that it is no longer tax efficient, from April, for wealthy foreigners to retain residence in the UK.
So, according to City AM & the FT , they will be leaving in their droves.
When they leave, they will defacto sell their UK property holdings and presumably some of their investments. When they do that, it will have a knock on effect on prices in the South East, making property somewhat more affordable. That would be great for Londoners who can’t afford to get on the property ladder but not so good for those who remember foreclosures through “negative equity!”.
In addition to that though, it will also mean that they no longer employ the help, buy the cars, the clothes, the houses, the furnishings or live the A lister lives or indeed pay tax at all. (I wonder what will happen to Chelsea FC?).
Just now we can’t even guarantee that our run of mill foreigners will stay.
London’s income’s not going to soar – how can it?
I wonder if HMRC will be better or worse off? And if it’s worse off (which is highly likely) – won’t that mean more taxes for us?