With Keir Starmer's resignation, attention is quickly turning to what an Andy Burnham-led government might mean for investors, business owners and wealthy families. While Burnham has yet to publish a formal manifesto, his comments over the years point towards a clear theme: those with the greatest wealth should contribute more.
On inheritance tax, the current system imposes a 40% charge on estates above £325,000 (subject to other available reliefs). Interestingly, Burnham has previously discussed replacing inheritance tax with a flat 10% charge on estates after death to help fund universal social care. While such a proposal would simplify the current system, it would also broaden the number of estates contributing to public finances.
Property owners may face even greater change. Burnham has expressed support for moving away from council tax, which remains based on property valuations from 1991, towards a system linked to current property or land values. For many homeowners this could be relatively neutral. However, for owners of high-value properties, particularly in London and the Southeast, it could be a very different story. Multi-million-pound homes could potentially face substantially higher annual tax bills under a land or property value-based system.
Burnham has also previously suggested there is "definitely a case" for reintroducing the 50p top rate of income tax, further reinforcing a broader shift towards taxing wealth, assets and higher earners.
Whether these proposals ultimately become government policy remains to be seen. However, for high-net-worth individuals, business owners and internationally mobile families, now may be the time to review existing structures and assess potential exposure to future tax changes.
For some, that may simply mean a health check of their assets or estate planning. For others, it may involve considering whether the UK remains the most appropriate long-term base for themselves, their family or their wealth. We work with individuals, families and business owners to review their current position, identify potential risks and opportunities, and develop strategies around wealth preservation, succession planning and international relocation. If you'd like to understand how potential future reforms could affect you, please get in touch.
How can Sanctuary help?
Political change can quickly create uncertainty for high-net-worth individuals, business owners and internationally mobile families, particularly where future reforms may affect inheritance tax, property taxes, income tax or wider wealth planning.
At Sanctuary, we help clients review their current structures, assess potential exposure to future UK tax changes, and consider options around wealth preservation, succession planning and international relocation.
Visit our Tax & Advisory service page to find more about our tax & residency advisory services, or contact us for a bespoke consultation via the contact form or email us at: hello@sanctuary.ae.
For UK businesses considering opportunities in Saudi Arabia, the following steps outline the overall process:
1. Business Activity: Determine the appropriate business activity which will aligns with your business and satisfies all undertakings you will engage with in the Kingdom.
2. Local Partnerships: Consider any potential opportunities for collaborations with established local businesses to ease market entry and meet regulatory requirements.
3. Documentation: Gather the required documentation for incorporation in KSA.
4. Company Registration: Work with experts and the relevant governing bodies to assist with the incorporation process, ensuring compliance with local laws and regulations.
5. Other Requirements: Consider any other requirements for establishing in Saudi Arabia such as capital and tax requirements.
Saudi Arabia's Vision 2030 represents a significant opportunity for UK businesses to engage with an expanding market with vast potential. As the Kingdom continues to diversify its economy and expand its global influence, UK companies are well-positioned to support and benefit from this transformation. With the right strategy, partnerships, and local support, there are a wealth of possibilities.
By aligning your business with Saudi Arabia’s Vision 2030, the benefits for UK and international businesses looking to Saudi Arabia have never been greater.
At Sanctuary, we specialise in assisting businesses looking to expand into Saudi Arabia. We help navigate the complexities of the Saudi market, ensuring that you have the expertise needed to best prepare for success, so get in touch today.
Our expert team offers comprehensive support across a range of services, from company registration, advisory services, and more. Explore our services to discover how we can help you.
Vision 2030 is a strategic framework designed to diversify Saudi Arabia’s economy, reduce its dependency on oil, and transform the Kingdom into a global business hub.
Key points include economic diversification, social reforms, investment in technology and infrastructure, sustainability, and creating a competitive workforce.
The main focus of the Saudi Arabian Vision 2030 strategy is to build on key economic sectors such as hospitality, travel and tourism and build economic stability and sustainability.
Saudi Arabia’s Vision 2030 initiative is aimed at diversifying its economy through strategic investments into the non-oil sector and ensuring a more sustainable economic future.
Saudi Arabia has committed over $500 billion to Vision 2030, funding projects that span a variety of sectors, including energy, tourism, and infrastructure.
Yes, with its growing economy, reform initiatives, and investment incentives, Saudi Arabia is a highly attractive destination for foreign businesses seeking growth opportunities.
Key growing industries include renewable energy, tourism, healthcare, technology, and education.
Saudi Arabia permits foreign owned businesses and investment into the Kingdom, which has been elevated by the Vision 2030 initiative. A MISA licence is required for foreign investors or businesses to establish.
As a result of the diversification efforts of Saudi Vision 2030, the non-oil and private sector in the Kingdom have witnessed unprecedented growth in the past few years. The private sector continues to grow each quarter and the non-oil sectors continue to reach record contributions for the Kingdom’s GDP.
