Sir Ed Davey has called out ‘tax exiles like Isabel Oakeshott’ as he called on them to start paying taxes to fund the Armed Forces.
Over the weekend, the UK launched an operation to support at least 200,000 British nationals in the Middle East amid the growing conflict between Iran, the US and Israel.
Roughly 240,000 British nationals live in Dubai, where they are not required to pay personal income tax, capital gains tax, or inheritance tax.
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Speaking in the Commons on Monday after a statement from Keir Starmer about the UK’s position, Lib Dem leader Ed Davey called for Brits living in Dubai to start paying taxes to help fund the Armed Forces.
He said: “We rightly expect our Armed Forces to protect British citizens around the world in crises like this.
“But that includes tax exiles like Isabel Oakeshott and washed-up old footballers who mock ordinary people pay our taxes here [in the UK.
“So as we protect them, does the prime minister agree that it’s only right for tax exiles to start paying taxes to fund our Armed Forces just like the rest of us do.”
In a statement afterwards, Davey pointed to the example of US citizens, who are still subject to tax on worldwide income even if they are living abroad.
“We shouldn’t let them get away with it anymore,” Davey said.
“Tax expats should be subject to UK tax from now on, just like such Americans have to pay US taxes.”
The Foreign Office is working on plans to evacuate tens of thousands of Brits from the Middle East as Iranian strikes continue to cause mass disruption at airports in the region.
Home Secretary Yvette Cooper said some 300,000 British citizens are in the region, including residents, tourists, and those in transit.
By Monday morning, 102,000 had registered their presence in the Middle East on an online government platform set up in the wake of the conflict.
The majority of these are based in the United Arab Emirates.