Image - Johnny Bhalla
Over half a million people left the UK in 2023, the highest figure in a decade. This trend continued into 2024, with approximately 517,000 people emigrating. Within this demographic, two groups stand out. Firstly, young graduates heading to countries like Australia and New Zealand- Australia being the most popular choice. Secondly, professionals drawn to low-tax hubs such as Dubai, are attracted by its tax-free perks. These patterns raise a pressing question: is Britain, once considered an economically attractive place to build a career, now becoming the opposite?
A central driver of emigration is the ongoing cost of living crisis. House price-to-income ratios are at record highs, making deposits for homes unattainable for most under-35s in average graduate jobs. On top of this, inflation in essentials such as groceries and transport continues to outpace wages. These are not minor inconveniences, they are structural barriers to stability. People aren’t leaving Britain simply for adventure, they are leaving out of economic necessity.
Another factor is taxation. UK workers face high income tax and National Insurance contributions, especially when compared with Dubai’s 0% personal tax. Frustration has grown around “stealth taxes” and the recent property tax rises in consideration by Labour. Yet the problem is not just the existence of high taxes. It is the poor returns.
Scandinavian countries, for example, pay similar or higher taxes, but in return they enjoy excellent train services, free childcare, efficient healthcare systems, and strong public infrastructure. In Britain, by contrast, people feel they are being cheated out of their own wages. We are paying Scandinavian-level taxes without Scandinavian services. Years of privatisation and austerity ,caused by the British government, mean revenue is often spent patching up past government failures, rather than investing in growth or opportunity. The result is anger, disillusionment, and a search for alternatives abroad.
For professionals aged 35–50, Dubai offers high salaries, tax-free income, and fast-track visas. For younger adults, the main concern is not taxation but opportunity. UK graduates face insecure contracts, stagnant wages, and underemployment. By contrast, Australia offers better pay, clearer career progression, and a sunnier lifestyle. For many, this represents not just economic gain but an escape from the sense of decline and hopelessness in the UK.
The problem for Britain is obvious: when its brightest and most ambitious citizens leave, this reduces the country’s long-term economic vitality.
However, the reality of these low-tax destinations is often different from the glossy and idealised image of paradise. Countries such as Dubai and Singapore rely on supply-side economics and systems like the Kafala model, which critics argue amount to modern-day exploitation. Migrant workers are paid poverty wages, and locals are priced out by Western professionals who inflate the cost of housing and consumer goods. All whilst these wealthy Westerners live in tax-free luxury.
Low-tax models are not sustainable; they create extreme inequality built on external capital. These systems depend on cheap labour, essentially what is not being paid in tax is paid through others’ human labour. In contrast, higher-tax, demand-driven economies such as those in Scandinavia use taxation to fund services that benefit society as a whole. For the 180,000 Brits now living in Dubai, or the 23% of UK citizens who say they would like to emigrate, moving abroad may mean personal gain- but it also means contributing to mass structural inequality elsewhere.
Even Australia, often presented as a paradise, comes with caveats. While wages are higher and jobs more available, the cost of groceries and everyday goods is often significantly higher than in the UK. The grass is not always greener, it is simply different.
So what is the alternative? Rather than chasing low-tax systems abroad, the UK could focus on reforming its own economy to restore fairness and opportunity. That means targeting the super-rich-multi-millionaires and billionaires who exploit loopholes. This is instead of taxing the now wealthy ordinary professionals or entrepreneurs who have simply worked their way up. Unchecked wealth is already fuelling inequality in Britain, squeezing the middle classes out of housing and energy security, while deepening political alienation. The challenge is not to cut taxes across the board, but to ensure that taxation is matched with stability, fairness. Importantly, we need to see visible investment from these taxes put into public services and opportunities for young people. If the government can close loopholes, tax the ultra-wealthy fairly, and reinvest in infrastructure and opportunity, then staying in Britain might once again feel like the better long-term choice.