Table of Contents
Key Points
- Nassef Sawiris cites “years of incompetence” by the UK’s Conservative government as the key factor behind his move to Italy.
- Sawiris, Africa's fourth-richest person, left the UK after its abolition of the non-dom tax status, seeking Italy’s flat tax scheme instead.
- Sawiris’ departure signals a broader trend of wealthy individuals relocating due to the UK’s rising tax burdens and regulatory challenges.
Just after relocating to Italy, following years of benefiting from the UK’s non-dom tax status, Egypt’s richest man, Nassef Sawiris, pointed to “years of incompetence” by the Conservative government as the driving factor behind his decision to leave.
Sawiris, who ranks as Africa’s fourth-richest person, explained that the Conservative government’s handling of tax policies played a major role in his decision to depart the UK. As a prominent investor in the UK, the billionaire had long navigated its economic landscape. But rising tax changes and increasing regulatory hurdles ultimately led him to reassess his options.
Sawiris moves to Italy over tax reforms
Earlier this month, Sawiris became the latest billionaire to leave the UK, citing the sweeping tax reforms as a key factor in his move to Italy. After benefiting from the UK’s non-dom tax status for over a decade, he chose to make Italy his new home. The UK government’s decision to abolish the two-century-old tax status prompted Sawiris, whose fortune is valued at $9 billion, to seek out a more favorable environment.
Sawiris opted for Italy’s flat tax scheme, which charges a fixed rate of €200,000 ($220,500) for foreign nationals, allowing them to reside in the country without being taxed on global income and assets. This makes Italy an increasingly attractive destination for the ultra-wealthy, offering a clear alternative to the new tax landscape in the UK.
His departure from the UK reflects a broader shift in the global investment landscape, as high-net-worth individuals reconsider where they do business. Sawiris joins a growing list of prominent figures who have moved in response to the UK’s tax changes, including steel magnate Lakshmi Mittal, who relocated to the UAE, and German crypto investor Christian Angermayer, who moved to Switzerland.
Nassef Sawiris moves: A tax exodus
Nassef Sawiris' exit serves as a direct message to policymakers: tax policies that hinder wealth creation will drive both capital and entrepreneurs to more welcoming jurisdictions, diminishing the UK’s global competitiveness. In the wake of Brexit, the implications for the UK’s economic future have never been more critical.
Earlier this year, reports revealed that Sawiris had been evaluating his future in the UK due to the Labour Party’s tax changes. A major investor in companies like Adidas and OCI Global, Sawiris started distancing himself from the UK as early as December 2023, when he moved his family office to Abu Dhabi, a growing hub for individuals seeking favorable tax conditions.
With the UK’s tax reforms fully taking effect on Apr. 6, Sawiris’s departure marks the end of his long-standing ties with the country. The reforms abolished the non-dom status, which previously allowed wealthy foreigners to be taxed only on UK income and assets.
