Wealthy individuals are arriving in Dubai at unprecedented rates, attracted by the city’s absence of income taxes and a lavish way of life that has grown more difficult to sustain in other locations.

The United Arab Emirates, especially Dubai, has historically attracted affluent individuals from neighboring nations, with sources assisting billionaires in relocating reporting an increase in Westerners entering this trend.

An advisory company called Henley & Partners predicts that the United Arab Emirates will welcome a record number of 9,800 billionaires this year — surpassing all other countries globally.

The well-regulated United Arab Emirates has transformed into a hub for the affluent, providing financial and political security along with exceptionally low levels of criminal activity, a relaxed commercial atmosphere, and straightforward entry to high-end amenities.

The emirate’s golden residency program, designed to draw affluent or talented expatriates, enables people to secure a 10-year stay permit.

Mike Coady, the leader of Skybound Wealth Management, which provides guidance to affluent individuals, mentioned that several of his clients “believe achieving success has turned into a disadvantage within their native countries.”

They face higher taxes, greater scrutiny, and fewer benefits,” he stated, yet in Dubai, “money isn’t concealed, it’s part of everyday life.

Within London, my customers speak quietly about their wealth. In Dubai, they have the freedom to live openly.

One of the leading spots for trendy social media personalities, Dubai is now closely linked with extravagant demonstrations of affluence.

It houses a massive shopping complex featuring an internal skiing facility, the highest structure globally, and the Palm — a man-made island surrounded by luxury hotels.

The swift growth into a top-tier destination for the wealthy has drawn backlash due to significant disparities, as large numbers of underpaid foreign laborers support the economic structure.

‘Very little red tape’

Coady mentioned that the majority of his clients who moved locations were individuals in their 30s and 40s working in professional fields, such as technology entrepreneurs, family-owned business operators, advisors, and investment managers.

A 42-year-old entrepreneur, who established a cloud-based software firm, relocated to the United Arab Emirates from the UK due to concerns about capital gains taxes upon selling his business — now recognized as a major source of wealthy individuals.

Certain individuals have been forced to leave due to a more stringent tax regulation targeting those holding “non-domicile” status — people residing in the UK but originally based overseas, who previously enjoyed exemption from taxes on earnings generated outside the nation.

Combined with other upcoming adjustments to tax and inheritance regulations, along with what Coady described as “growing opposition to wealth,” Britain is projected to see a historic loss of 16,500 millionaires this year, as reported by Henley & Partners.

The highest profile exit of the year, billionaire John Fredriksen, stated to Norwegian media that he is relocating to the UAE as “Britain has descended into chaos.”

Discussing his relocation to Dubai on the “Building Wealth With No Borders” podcast, Max Maxwell, founder of Paddco Real Estate, stated: “Everyone is seeking a way of life, which can mean different things to each person.”

A self-proclaimed “serial entrepreneur” stated that following his move from the United States to the UAE, he discovered his family could experience “a more favorable way of life compared to our previous location,” all for the same financial investment.

Philippe Amarante from Henley & Partners based in Dubai stated that the affluent aim to preserve their wealth and way of life, along with the opportunity to conduct business with minimal bureaucratic hurdles.

“And the UAE has presented itself with a very clear and straightforward message: ‘we are open for business,’” stated Amarante.

According to Coady’s customers, “the UAE is a perfect fit,” he mentioned.

‘Buy a whole building’

However, the arrival of wealthy foreign individuals has not been free from debate.

Following the UAE being placed on an international “grey list” in 2022 due to worries regarding unclear financial activities and a surge of Russian funds, Emirati officials have intensified efforts against money laundering. This came as affluent Russians moved to the Gulf region after the conflict in Ukraine, seeking refuge from severe penalties back home.

The United Arab Emirates has also handed over certain fugitives, such as narcotics traffickers, thereby removing the country from the grey list.

People who are rich from different parts of the globe are currently relocating their families, companies, and personal workplaces to Dubai, according to Faisal Durrani, the leader of Middle Eastern research at Knight Frank, a property consulting company. He noted that this trend is relatively new.

Dubai ranks among the globe’s leading 20 cities in terms of millionaire population, hosting 81,200 wealthy individuals along with 20 billionaires, as reported by Henley & Partners.

Surpassing New York and London together, 435 residences valued at $10 million or higher were purchased in Dubai during the previous year — marking it as the most active marketplace for luxury real estate, which Durrani noted is comparatively inexpensive within the UAE when contrasted with Western countries.

He mentioned that purchasers from locations like Monaco and Switzerland would approach the firm looking for a Dubai residence priced at 100 million dollars, for instance.

However, in Dubai, at that cost, you could purchase an entire structure.