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Castle owner seeks independence after tax changes

Michael Keohan/BBC Ann Kaplan Mulholland standing in front of the west wing of Lympne Castle. She has long black hair and a blue jacket on. She is looking directly at the camera.Michael Keohan/BBC
Lympne Castle owner Ann Kaplan Mulholland says she will be seeking independence for her estate

The owner of a castle in Kent says she plans to write to the King to ask him to grant independence to her estate after the government abolished non-dom tax status.

Ann Kaplan Mulholland said scrapping the tax regime meant it was not "viable" for her to remain in the UK.

Ms Mulholland, who owns Lympne Castle, near Hythe, said: "We could have our own kingdom, we could separate from the rest of the UK, and all of those affected by this tax change could come to live in Lympne."

An HM Treasury spokesperson said replacing the non-dom tax regime would address "unfairness" in the tax system.

A non-dom describes a UK resident whose permanent home – or domicile – for tax purposes is outside the UK, and who only pays UK tax on the money they earn in the UK.

For wealthy individuals, this presents the opportunity for significant and legal savings, if they nominate a lower-tax country as their domicile.

Chancellor Rachel Reeves confirmed in her October budget that the non-dom tax regime will be abolished from April 2025.

Ms Mulholland, whose castle employs 50 staff members, told BBC Radio Kent: "I've invested £25m into regenerating Lympne Castle, the staff we hire pay tax, and we pay tax on our business here. Why should we be expected to pay more on what we earn abroad?"

Getty Images An areal view of Lympne Castle showing the outer grounds and estate. There is green grass and grey buildings. Getty Images
Ann Kaplan Mulholland estimates she has invested around £25m into regenerating Lympne Castle

She said the changes made her feel "unwelcome" in the UK, adding that she understood people expected the wealthy to pay more, but believed the changes would drive out investment like hers in Lympne.

She added: "Locals know what we've created here, it's special. And it would be sad to lose any of it because I'm unable to stay here and call this beautiful place my home."

An HM Treasury spokesperson said it would not comment on individual taxpayers, but added: "Replacing the outdated non-dom tax regime with a new internationally competitive residence-based regime will address unfairness in our tax system, attract the best talent and investment to the UK, and ensure everyone who is a long-term resident in the UK pays their taxes here."

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