Daily Brief – UK Non Doms

UK Non Doms

An excellent suggestion from the previous CEO of Rolls Royce, Sir John Rose in a letter that he had published in Saturday’s Financial Times: before it’s too late, offer a flat tax amount to non doms of GBP 500,000. At a stroke that would more than compensate for the disastrous treatment of those very wealthy people and would raise, it is estimated GBP 34 billion. Given that Italy has recently raised its flat tax amount from EUR 200,000 to EUR 300,000, the UK offering a higher amount as the flat tax would not be that far out of line, given the attractions that the UK and London offer. The only not inconsequential thing holding Chancellor Reeves back is that her party is driven more by envy than economics which is likely to make such a sensible measure wholly unattainable.

GBP/USD 1.3311.

Gathering Winter Fuel

Readers of a certain seniority will have experienced a frisson of excitement at the end of last week when they received a letter confirming that they will indeed receive a Winter Fuel Allowance of GBP 200 in either November or December. Reading further down that frisson will probably have turned from excitement to irritation when they discovered that HMRC will recoup the GBP 200 using the mechanism of an adjustment in the tax code of anyone whose Personal Income exceeds GBP 35,000. The irritation will not be directed at the entirely sensible means tested methodology but at the sheer waste of time and effort of sending out letters and paying the GBP 200 to one and all before taking it back again. In case you are wondering, Personal Income is defined as Salary/Wages/Bonuses, Self Employed Profits, Pension Income, Rental Income, Savings Interest, and Dividends. The only other type of income is of course Capital Gains, and should you be canny enough to keep beneath the GBP 35,000 personal income threshold and live on your capital gains, you will richly deserve the GBP 200 WFA.

EUR/GBP 0.8736.

Banque de France

In a move that re-defines the concept of closing the stable door well and truly after the horse has bolted, lived its life, and been dispatched to the glue factory, the management of the Louvre museum in Paris undertook a secret operation on Friday when they transferred the most (remaining) valuable jewels from the Louvre a whole 500 meters away to the Banque de France which has a secure vault 27 meters below ground. Maybe France will take a leaf out of the Tower of London’s book and like the Tower only display replicas of the fabled Crown Jewels.

EUR/USD1.1627.

Never Say Never

In the stakes for the competition to identify the least likely political comeback which was originally pioneered by Sarah Palin the 2008 Republican VP nominee under John McCain, the latest candidate is Kamala Harris, who has coyly informed Laura Kuenssberg that she may run again for President. If that is the Democrats’ best shot at finding an answer to the Donald, it may be some time before there is a Democrat President tripping the light fantastic in the new ballroom of the White House at the Inaugural Ball.

EUR/JPY 177.77.

Back to Black

This day in 2006, the phenomenon that was Amy Whitehouse released her album Back to Black which included not one but five smash hit singles, including this one. This excerpt unfortunately gives all the clues as to what her short future held in store for Amy Whitehouse.

He left no time to regret
Kept his dick wet
With his same old safe bet
Me and my head high
And my tears dry
Get on without my guy

You went back to what you knew
So far removed from all that we went through
And I tread a troubled track
My odds are stacked
I’ll go back to black

We only said goodbye with words
I died a hundred times
You go back to her
And I go back to…

I go back to us

I love you much
It’s not enough
You love blow and I love puff
And life is like a pipe
And I’m a tiny penny rolling up the walls inside

Discussion and Analysis by Humphrey Percy, Chairman and Founder

Click Here to Subscribe to the SGM-FX Newsletter