Latest news with #AmayèsAouli
Yahoo
4 days ago
- Business
- Yahoo
Exodus of ultra-wealthy from UK triggers fine wine boom in Dubai
An exodus of wealthy Britons to the Middle East has triggered a boom in Dubai's fine wine market, Bonhams has said. The United Arab Emirates (UAE) has benefited from a rapid influx of rich Westerners in recent years, bringing with them their demand for expensive drinks – despite tight rules on consuming alcohol in the region. Amayès Aouli, head of wine and spirits at Bonhams, said: 'Dubai and the wider Middle East are rapidly becoming important players in the global fine wine ecosystem – not simply in terms of bulk consumption, but as centres for high-value storage, investment, and private collecting.' Soaring taxes have been blamed for accelerating an exodus of the ultra-rich from Britain, as well as Rachel Reeves's recent clampdown on non-dom residents that stripped thousands of UK residents of tax benefits. Among those to have left are the billionaire property investor brothers Ian and Richard Livingstone, who moved their official residence to Monaco, and Goldman Sachs banker Richard Gnodde, who relocated to Milan. The billionaire media mogul Richard Desmond, meanwhile, secured a 'golden visa' for Dubai last year. The Adam Smith Institute has suggested Ms Reeves's crackdown could cost Britain upwards of £10bn per year as the decline of billionaires drags on the Treasury's revenues. The UK was expected to lose almost 10,000 millionaires in 2024, while the UAE was expected to gain almost 7,000, according to the private wealth firm Henley & Partners. Inquiries about moving abroad from the UK jumped by 183pc in the first three months of 2025, the firm has also estimated. Dubai, conversely, has become increasingly appealing to the wealthy because it does not charge income tax. Mr Aouli added: 'This influx brings with it an appetite for global luxury, including fine wine, whether for personal enjoyment, entertaining, hospitality or long-term investment.' Sales of alcohol in Dubai, Abu Dhabi and Oman have nearly doubled in value since the pandemic and are on course to reach more than $1bn (£742m) in 2025, according to industry experts at IWSR. The UAE is also a hub for duty-free sales of wine and spirits, which were just shy of $600m (£446m) last year. Cru Wines, a London-headquartered fine wine and spirits firm, recently opened an outpost in Dubai to cater to its expat community. Gregory Swartberg, the company's chief executive, said: 'Huge numbers have come over and they obviously want to get together to drink nice wines. It's a lot of non-doms, who obviously do not qualify [for some UK tax benefits] any more.' The company does not retail wines direct to customers in the UAE, but works with clients to manage their collections and source wines for them. Only two companies are officially allowed to distribute alcohol. Alcohol consumption is legal in the UAE, which is governed under Sharia law, but is heavily regulated. Non-Muslim residents over the age of 21 are allowed to drink in their homes, but they have to apply for a licence to be able to do so. Alcohol can be sold in licensed restaurants, bars and hotels – but drinking in public is strictly prohibited and can result in severe fines and even imprisonment. Mr Aouli said: 'Licensing procedures, restrictions on marketing, and cultural sensitivities mean that success here requires patience, local relationships, and absolute regulatory compliance.' However, while demand is growing, Dubai this year reimposed a 30pc import tariff on alcohol that had previously been suspended for two years – raising the prospect of higher prices for consumers. Mr Swartberg said: 'I think people from London are a little bit annoyed at the prices of wines in restaurants here. That's definitely a strong negative.' Last week, officials in Saudi Arabia were forced to deny that the Kingdom was planning to lift a 73-year ban on sales of alcohol, after reports emerged suggesting that it would do so to boost tourism ahead of the 2034 World Cup. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more. Sign in to access your portfolio
Yahoo
4 days ago
- Business
- Yahoo
Exodus of ultra-wealthy from UK triggers fine wine boom in Dubai
An exodus of wealthy Britons to the Middle East has triggered a boom in Dubai's fine wine market, Bonhams has said. The United Arab Emirates (UAE) has benefited from a rapid influx of rich Westerners in recent years, bringing with them their demand for expensive drinks – despite tight rules on consuming alcohol in the region. Amayès Aouli, head of wine and spirits at Bonhams, said: 'Dubai and the wider Middle East are rapidly becoming important players in the global fine wine ecosystem – not simply in terms of bulk consumption, but as centres for high-value storage, investment, and private collecting.' Soaring taxes have been blamed for accelerating an exodus of the ultra-rich from Britain, as well as Rachel Reeves's recent clampdown on non-dom residents that stripped thousands of UK residents of tax benefits. Among those to have left are the billionaire property investor brothers Ian and Richard Livingstone, who moved their official residence to Monaco, and Goldman Sachs banker Richard Gnodde, who relocated to Milan. The billionaire media mogul Richard Desmond, meanwhile, secured a 'golden visa' for Dubai last year. The Adam Smith Institute has suggested Ms Reeves's crackdown could cost Britain upwards of £10bn per year as the decline of billionaires drags on the Treasury's revenues. The UK was expected to lose almost 10,000 millionaires in 2024, while the UAE was expected to gain almost 7,000, according to the private wealth firm Henley & Partners. Inquiries about moving abroad from the UK jumped by 183pc in the first three months of 2025, the firm has also estimated. Dubai, conversely, has become increasingly appealing to the wealthy because it does not charge income tax. Mr Aouli added: 'This influx brings with it an appetite for global luxury, including fine wine, whether for personal enjoyment, entertaining, hospitality or long-term investment.' Sales of alcohol in Dubai, Abu Dhabi and Oman have nearly doubled in value since the pandemic and are on course to reach more than $1bn (£742m) in 2025, according to industry experts at IWSR. The UAE is also a hub for duty-free sales of wine and spirits, which were just shy of $600m (£446m) last year. Cru Wines, a London-headquartered fine wine and spirits firm, recently opened an outpost in Dubai to cater to its expat community. Gregory Swartberg, the company's chief executive, said: 'Huge numbers have come over and they obviously want to get together to drink nice wines. It's a lot of non-doms, who obviously do not qualify [for some UK tax benefits] any more.' The company does not retail wines direct to customers in the UAE, but works with clients to manage their collections and source wines for them. Only two companies are officially allowed to distribute alcohol. Alcohol consumption is legal in the UAE, which is governed under Sharia law, but is heavily regulated. Non-Muslim residents over the age of 21 are allowed to drink in their homes, but they have to apply for a licence to be able to do so. Alcohol can be sold in licensed restaurants, bars and hotels – but drinking in public is strictly prohibited and can result in severe fines and even imprisonment. Mr Aouli said: 'Licensing procedures, restrictions on marketing, and cultural sensitivities mean that success here requires patience, local relationships, and absolute regulatory compliance.' However, while demand is growing, Dubai this year reimposed a 30pc import tariff on alcohol that had previously been suspended for two years – raising the prospect of higher prices for consumers. Mr Swartberg said: 'I think people from London are a little bit annoyed at the prices of wines in restaurants here. That's definitely a strong negative.' Last week, officials in Saudi Arabia were forced to deny that the Kingdom was planning to lift a 73-year ban on sales of alcohol, after reports emerged suggesting that it would do so to boost tourism ahead of the 2034 World Cup.
