Wealthy British nationals are fleeing the Gulf conflict to Ireland and France to avoid triggering UK tax liabilities, as concerns mount over HMRC's willingness to grant leniency during the crisis. With the 2025-26 tax year ending on 5 April, many high-net-worth individuals who have been living in the UAE and nearby countries have already used up their allowed days in Britain without becoming tax resident.
Advisers warn that returning to the UK now could result in significant tax charges, including capital gains tax on assets sold while abroad. Nimesh Shah, chief executive of Blick Rothenberg, said he had received “a disproportionate number of calls” from people wanting to leave the UAE, but cautioned against relying on HMRC’s “exceptional circumstances” provision. “I can’t imagine HMRC are very sympathetic here,” he added.
The rule that granted 60 extra days during the Covid-19 pandemic is unlikely to apply this time, as the Foreign Office advises against “all but essential travel” rather than “no travel” to affected countries like Bahrain. One anonymous business owner told the Guardian he was staying in Dublin until after 5 April to avoid exposing a past business sale to UK capital gains tax. Another said he would spend time in France.
The number of days an individual can stay in the UK without becoming resident depends on ties such as accommodation, a spouse or children. For some, the limit is as low as 45 days; for others it can be up to 183. David Little of Evelyn Partners noted that even a few extra days could have “major consequences”, with worldwide income and gains becoming taxable, and gains from previous years retrospectively falling under UK taxation upon return.
