The change was announced in the latest Conservative budget presented in April, but Sir Kier Starmer’s Labour party had previously promised to scrap the tax status, using the captured cash to fund public services.  

The Labour party has since gone further, saying if it forms a government after the next general election it would look to include foreign assets held in trusts under inheritance tax reforms, while ditching a proposed 50% discount for non-doms in the first year in the Tories’ plan. 

The Shadow Chancellor says this will raise more money quicker than the current proposals – some £2.6bn by 2030. 

These reforms have led to speculation that the beneficiaries of the policy are now looking away from the UK to make their home and continue their tax savings. 

Jo Stoddart, Director of Locate Guernsey which acts as a conduit between the States and those looking to relocate themselves and businesses into the island, said non-dom and the likelihood of a change in government is on the lips of those looking to make the switch. 

“We continue to see a steady stream of interest in relocation to Guernsey but, at the moment, prospective relocators are as concerned about the threat of a Labour government in the UK as they are about the changes to the non-dom regime,” she said.  

Pictured: The Labour party has held a significant lead in the polls for several months.  

“The stability and safety of Guernsey continues to appeal to people looking for a better quality of life.”  

A local estate agent has also wondered whether a recent increase in market activity in Guernsey has been created by the changes to the non-dom status.  

Nick Paluch, Director in Savills’ local residential sales team, said “it’s still too early to have seen any direct correlation with sales activity, but, as with any period of uncertainty or change, it will encourage more people to start thinking about a move and considering Guernsey as a potentially attractive destination”. 

While market activity usually increases at this time of year, and UK residents often look to relocate to Guernsey, he added that the proposed reforms could encourage longer-term stays in the island. These would also be aided by immigration reforms to encourage higher levels of net inward migration. 

“What the proposed changes might also encourage is people to stay in the island for longer and make it their permanent place of residence. Whatever happens, it will be important for Guernsey to position itself, where appropriate, to take advantage of any opportunities the potential changes in the UK might bring.” 

Nearly 70,000 people claim non-dom status in the UK, with most earning millions per year and favouring to live in the sought-after boroughs of London such as Kensington.  

Meanwhile the Labour party have a 27-point lead over the Tories, according to polling conducted by YouGov, with the country set to go to the ballot boxes at the end of the year. 

Locate Guernsey is hosting its second roadshow in the UK capital in October, with a variety of speakers from local government to major industries and advisors to promote the island as a home and business place. 

Pictured: Nick Paluch. Credit: Savills Guernsey.  

Ms Stoddart noted that the event is free for those who don’t live in Guernsey, with tickets going live for the St Paul’s based event at the start of this week. 

“The purpose of this event is to provide an environment where potential relocators can find out why they should and, how they can, move to Guernsey,” she said. 

“Locate Guernsey will be leading a team of specialist professionals who provide the type of advice and guidance about subjects such as property and taxation which relocators need to be informed about.”