What is Naïa island and why billionaire Lakshmi Mittal is leaving the UK to settle in Dubai

India(BHARAT)n-origin steel billionaire Lakshmi Niwas Mittal, a stalwart on the list of Britain’s wealthiest residents for many years, is reportedly moving his primary base to Dubai, a report said. The 72-year-old Mittal is relocating his family and business to Dubai’s exclusive Naïa Island, a new man-made ultra-luxury island development in the emirate, with a villa already purchased. He will also be spending an increasing amount of time in Switzerland, according to sources.

UK’s Possible Wealth Tax Policies Driving Billionaires Away

The move comes as the UK’s Labour government is mulling changes to wealth and inheritance tax laws that reportedly threaten to drive out billionaires. The change in domicile to the UAE by Mittal, similar to other billionaires, is raising alarm bells for tax policies in Britain.

Reasons for Mittal Leaving UK

The primary reason for the change of domicile from the UK to the UAE is several reforms that are on the anvil from the British government, including an exit tax of 20%, a new possible mansion tax, and the abolition of non-domicile (non-dom) tax regime.
The changes mean higher taxes on global assets and inheritance and are especially felt by billionaires that have resided in the UK for several decades and have assets there.

UAE Financial Regime

On the other hand, the tax regime in the UAE, where Mittal will be spending an increasing amount of time, has its own attractions: zero inheritance tax, clear laws on global assets, and a transparent regulatory and tax regime.

Naïa Island: An Overview

Naïa Island is an upcoming private island off the coast of Jumeirah developed by Dubai-based property firm Shamal Holding. The ultra-exclusive man-made island will be “purpose-built” for ultra-high-net-worth (UHNW) individuals.

Features

• The primary features include a private beachfront and direct beach access for each residence, low-rise architecture (as opposed to the regular high-rises), and a dedicated private marina.
  
• Naïa Island will also have a Cheval Blanc Maison (owned by LVMH) on the island, the first of its kind in the region, that will offer hospitality, wellness, concierge, and other luxury services.
  
• Priced as an investment of long-term value, the island will be marketed as a lifestyle choice for the super-rich along with offering security and privacy to residents as a legacy investment.

Lakshmi Mittal’s Real Estate in Naïa Island and the Price

It has been reported that Lakshmi Mittal has already bought a villa in Naïa Island, with custom-built plots on the island for his family ranging from 21,000 square feet to over 48,000 square feet. The developer also offers plots with direct beach access, and berthing rights in the marina, as part of the purchase. The estimated prices for smaller villas in Naïa Island start at AED 45 million (₹109 crore), but the larger estates and plots are much more expensive. The payment process for off-plan properties involves structured payment plans, with an Expression of Interest (EOI) and a payment of 4% Dubai Land Department fee.

Prospective buyers can avail of UAE’s 10-year Golden Visa by buying properties in Naïa Island.

Who is Lakshmi Mittal?

Lakshmi Mittal is an India(BHARAT)n-origin global steel tycoon and the founder and chairman of ArcelorMittal, the world’s largest steel-and-mining company. Born in Rajasthan, India(BHARAT), the billionaire built a business empire by a series of aggressive acquisitions over the decades and expanded it into a multinational company. In the UK, he was a long-time resident and owned one of the largest mansions in London at Kensington Palace Gardens, often called the “Taj Mittal.”

Implications: Tax Policies, Wealth Migration, and Real Estate Developments

The move by Lakshmi Mittal is part of a larger trend of billionaires rethinking their base as tax regimes in traditional financial centers in the West tighten. Places like Dubai are emerging as tax havens for these ultra-wealthy global citizens as tax structures, high-end real estate, and residency permits become an increasingly lucrative pitch for billionaires.
While the move by Lakshmi Mittal and others signals loss of tax revenue and the symbolic exit of global citizens in Britain, Naïa Island has set the benchmark for an island destination for the super-rich.