Ed Miliband’s plan to end non-dom status may have won the support of Dragon’s Den star Duncan Bannatyne, but George Osborne was quick to criticise the proposal.
Mr Osborne said the Opposition’s proposals amounted to “tinkering around the edges” and not a complete ban.
The Chancellor of the Exchequer said complete abolishment of the status could cost Britain hundreds of millions of pounds in lost tax revenues and investment, or they are just adjusting the rules on the period to which people can be non-dom.
He said: “This confusion is another reminder of why they can’t be trusted with our economy.”
Hitting non-doms with higher annual charges for exploiting the system is the “right approach”, according to Mr Osborne, although this effectively makes it only worthwhile for the wealthiest of people.