UKs Inheritance Tax Crisis: Lakshmi Mittal, owner of the world’s second-largest steel company, ArcelorMittal and one of Britain’s top billionaires, is leaving Britain. Let us tell you that, according to the report of the Sunday Times, Mittal has taken this decision due to the preparation of the new Labour Party government to increase taxes on the rich. Mittal, an Indian, has a net worth of around ₹1.8 lakh crore and is the eighth richest person in Britain.
Table of Contents
UKs Inheritance Tax Crisis: Britain is Preparing to Impose a 20% Exit Tax
Rachel Reeves, the Finance Minister in the Labour Party government, is trying to raise 20 billion pounds (about Rs 2.3 lakh crore) in funding to improve the country’s economy.
Rachel Reeves’ budget is scheduled for November 26th. There is speculation that it may announce an exit tax of up to 20%. Previously, the government increased the capital gains tax from 10% to 14% effective April 2025. This will rise to 18% in 2026.
Mittal Family Adviser Statement On the UKs Inheritance Tax Crisis
A Mittal family adviser said the biggest concern is the inheritance tax. Most wealthy foreigners simply don’t understand why their worldwide assets should be subject to UK inheritance tax.
This is forcing us to leave the country.
It’s worth noting that inheritance tax in the UK is up to 40%, while in Dubai it’s zero. Following the abolition of non-dom status in April, many wealthy individuals decided to leave the UK.
This old system (200 years old) allowed wealthy people in Britain to pay tax only on their earnings.
Mittal May Set up a New Base in Dubai or Switzerland
Mittal already owns a luxurious mansion in Dubai. He has reportedly also purchased land on Na Island in the UAE. Dubai and Switzerland have become popular among the wealthy because they have no inheritance tax.
This is why large families from around the world are relocating there. Mittal’s decision comes at a time when many prominent entrepreneurs and investors are fleeing Britain.
They Have Also Left Britain
- According to the report, Revolut co-founder Nick Storonsky has shifted to the UAE to avoid paying the huge capital gains tax bill.
- Indian-born Harman Narula is also relocating to Dubai from the UK. He owns Improbable AI and has lived in the UK since he was two years old.
UKs Inheritance Tax Crisis: Mittal’s properties
- According to the Forbes Rich List, Lakshmi Mittal has a net worth of approximately ₹1.8 lakh crore. He is the 12th richest person in India and the 104th richest person in the world.
- Chairman of ArcelorMittal, the world’s largest steel company, Mittal moved to London in 1995 and quickly became Britain’s most prominent Indian businessman.
- He owns several properties in Kensington Palace Gardens (known as Billionaires’ Row), London’s most expensive neighbourhood. The most famous of these is the “Taj Mittal” property.
- According to reports, he will retain his major residence in London, but is shifting base to Dubai and Switzerland so that future generations do not have to pay inheritance tax.
UKs Inheritance Tax Crisis: The UK Economy Could be Harmed
This move is a problem for the UK government, as people like Mittal not only pay taxes but also bring jobs and investment. This Labour Party policy threatens to force the wealthy to leave Britain, leading many global businessmen to consider leaving.
One percentage point in three days?
— Michael A. Arouet (@MichaelAArouet) November 26, 2025
Has someone an idea how the UK can avoid a debt crisis? Increasing the already high tax burden will throttle growth even further and will make even more entrepreneurs emigrate. pic.twitter.com/WTsekHYg10
Jay Chavda He is the Founder and Writer of businesspulsecare.com. He is an I.T Engineer, Freelancer, Businessman. He posts Business, Stock/Share Market, Finance Related News and updates on the website. 🔗