Surprise at non-dom U-turn

Alistair Darling’s U-turn on the taxation of UK assets owned by wealthy foreigners living in Britain surprised advisers, who felt it ran counter to what the chancellor had been trying to achieve.

The concessions mean that non-domiciled residents, including property investors and private equity investors, will still be able to invest in British assets without an immediate capital gains tax charge. Stuart Skeffington of Withers, a law firm, said the decision seemed at odds with the chancellor’s stated aims.