Monaco, the tiny principality wedged between the foot of France’s southern Alps and the Mediterranean, is a magnet for the wealthy. Its allure is easy to explain: glamour, a benign climate, tight security, good transport links – and very little in the way of direct taxes.

The city-state, which gets most of its revenues from value added tax, charges no capital gains tax, income tax (except for French citizens who moved to Monaco after 1957) or inheritance tax for direct descendants.