Wealth Taxes, Non-Doms and Capital Flight: Foreign Investors for Britain CEO Speaks to Knight Frank

On Knight Frank’s Intelligence Talks podcast, Leslie McLeod-Miller, chief executive of Foreign Investors for Britain (FIFB), warns that more wealthy people will leave the UK unless the government adjusts the rules that replaced the non-dom regime.

Under the old system, non-doms could live in the UK without paying UK tax on overseas wealth. The new residence-based rules include a four-year limit and would apply UK inheritance tax to assets held abroad, which is the main concern for overseas investors. McLeod-Miller argues that wealthy individuals are highly mobile, and that if they go, tax receipts will fall and the government’s finances will tighten further. Speculation about a wealth tax is adding to investor unease, and he is urging the Chancellor to rule one out.

He remains hopeful, pointing out that overseas investors are willing to pay more tax and the government needs the revenue. He believes any change to inheritance tax rules could be presented as raising money for public services.

FIFB is also lobbying for an Italian-style flat tax, under which investors would pay an annual sum to remain in the UK, possibly evolving into an investor visa. Reform UK has floated a similar idea, a Britannia Card with a one-off £250,000 payment, which McLeod-Miller sees as the lower end of what could be charged.

The article notes that the Office for Budget Responsibility has also acknowledged that migration is expected to be a significant response among non-domiciled taxpayers, a shift in tone from its earlier reports.

Source: Knight Frank Newcastle, original article (14 August 2025)