As I understand the situation, and perhaos any accountants out there will correct me), every UK resident has to pay tax on income earned in the UK. That applies to non doms as well. Even if the money is earned abroad, as soon as it comes into this country, say to buy a mansion, it is subject to UK tax. The issue is whether non doms should also be taxed on their (unrepatriated) overseas earnings (which are subject to tax in their own country, though possibly at a lower rate). To encourage such individuals to live in the UK and pay tax, the government for decades used to impose UK tax on UK earnings but a flat rate of around £60k on their overseas income. The Treasury always resisted attempts by previous chancellors to change this system on the grounds that any change was likely to result in reduced receipts. Jeremy Hunt, as you say, made a change and Rachel Reeves has doubled down. But now it appears that she has decided to revise her plan in order to encourage these individuals not to leave. It is obvious that if they leave, as many are already doing, along with 10 000 other millionaires, they will pay no tax at all. 45% of nothing is nothing.As to the rise in property prices, perhaps other ways can be found to prevent absentee landlords from buying up residential buildings for investment purposes.
Steven Rose ● 100d