Wealthy foreigners to lose tax benefits

Link: Brown clamps down on super rich tax deals

There are an estimated 60,000 people living in the UK that benefit from the 200-year-old loophole, and Brown is expected to provide an update to the reforms in his pre-Budget report next month.

Officials at Whitehall expect closing the loophole – which Labour promised to do while it was in opposition – will earn the treasury an extra £1bn.

Present rules allow UK residents with non-domicile status to avoid paying tax on their overseas income. A group of Greek shipping owners based in London are leading the fight against any changes.

Related reading