List of famous non-doms including Lakshmi Mittal as Labour's tax crackdown targets wealthy UK residents

“Non-domiciled” individuals, or non-doms, are UK residents who claim their permanent home, or “domicile”, is in another country. This status allows them to avoid paying UK tax on foreign income and capital gains, provided those earnings stay overseas. The system has long been controversial, seen by critics as a loophole for the ultra-wealthy to sidestep tax while enjoying life in the UK.

The Labour Party, under Sir Keir Starmer, has pledged to scrap the regime “once and for all.” In its 2025 election manifesto, Labour vowed to end what it called an unfair tax break that benefits the rich. The abolition of the non-dom system became official under Chancellor Rachel Reeves' maiden Budget.

Under the new rules, most non-doms will now be taxed on their worldwide income once they are UK residents. The government also introduced a transitional regime: foreign nationals who haven’t been UK tax residents in the past decade can still enjoy four years of tax exemption on overseas income under a new Foreign Income and Gains (FIG) regime.

Tax firm RSM noted that “the tax reliefs provided by the new regime are arguably more generous than the previous tax regime for non-doms, albeit the time allowed for individuals to benefit from them is much shorter.”

High-profile figures, including steel magnate and former Labour donor Lakshmi Mittal, have reportedly begun preparations to leave the UK. Global relocation firm Henley & Partners said enquiries from non-doms looking to move abroad rose by 183% in early 2025, compared to the same period the year before.

Critics however warn the policy could backfire economically. A report by the Adam Smith Institute suggests the crackdown could cost the UK £10 billion per year in lost growth and result in 44,000 job losses by 2030. They estimate a potential economic shortfall of £111 billion over the next decade.

“This is going to have a severe impact on the UK economy,” said Maxwell Marlow, director at the think tank to The Telegraph. “Fewer non-doms will mean reduced investment, a lower tax take, worse public services and fewer jobs.”

He added: “The Government’s fiscal planning assumes that abolishing non-dom status will raise revenue, but the exodus of wealth creators could leave a serious hole in the UK’s finances.”

The Treasury has rejected those claims, saying the projections are inaccurate. An HM Treasury spokesperson stated: “The figures presented by the Adam Smith Institute are incorrect and we do not recognise them. The independent Office for Budget Responsibility has confirmed that the changes to the regime will raise £33.8bn over the next five years.

“Replacing the outdated non-dom tax regime with a new internationally competitive residence-based system addresses unfairness in our tax system, attracts the best talent and investment to the UK, and ensures everyone who is a long-term resident in the UK pays their taxes here.”

Who are some famous UK non-doms?

Akshata Murty: Wife of former Prime Minister Rishi Sunak and daughter of Indian tech billionaire Narayana Murthy. Murty previously held non-dom status, allowing her to avoid UK tax on her overseas income. She gave it up in 2022 following public outcry.

Roman Abramovich: The Russian billionaire and former Chelsea FC owner was long reported to be a non-dom during his time in the UK. His wealth and UK presence made him one of the most high-profile oligarchs before sanctions in 2022.

Lakshmi Mittal: The steel magnate and one of the UK’s richest residents has been reported to be non-domiciled. Mittal was a Labour donor but is now reportedly planning to leave the UK following the new crackdown.

Lord Ashcroft: A major Conservative Party donor and political figure, Lord Ashcroft’s non-dom status drew attention in 2010. He later admitted being non-domiciled for tax purposes while sitting in the House of Lords.

Sir Chris Hohn: The hedge fund manager, one of the UK’s richest men, has reportedly structured parts of his earnings via non-dom arrangements. His TCI Fund Management firm is known for its global activist investing.

David and Simon Reuben: The billionaire brothers made their fortune in metals trading and property. While both were born in India and grew up in the UK, they’ve been linked to non-dom status due to their extensive overseas wealth.