As the Conservative close in on a majority government it can only be good news for our clients already in the UK and planning to come to the UK. The threat of Non Domiciled status being abolished has gone as least for now, although we would not rule out increases in the cost of retaining such status.
The good news is reflected in the markets with the pound increasing in strength against both the Euro and the Dollar by the largest single gain in many years, and the FTSE up by a significant margin on the mornings trading. These factors reflect that the economy in in safer hands that it could have been and that we are governed by a party that understands business and the need to generate wealth rather than rely on the magical money tree as some other parties seemed to be doing. The government recognises that to achieve growth you need skills and investment and these need to be encouraged and rewarded, which should provide some stability with regard to taxation, rather than the tax grab planned by the other parties.
So for now, its business as usual we await an emergency budget maybe in June but do not expect any major surprises in this as the government is expected to continue the work it has done to date. The vote on continued membership of the EU is now firmly on the horizon and we should maybe start to consider with the consequences may be if the UK vote to leave.
Posted on May 07, 2015.