Two emails land in my inbox, only minutes apart. One is bearing the news that Shell is to move its headquarters and tax residence to London. The other is from a friend detailing the stifling bureaucracy his family firm must cope with when dealing with the EU.
It prompts a double take. A major company choosing to dump the Netherlands and basing itself in the UK; this after Unilever took a similar path. That must be a sign of confidence in the post-Brexit economy. Meanwhile, a small business struggling under the weight of red tape caused by Brexit. It does not make sense.
To compound the point about Shell, soon after the announcement broke, Kwasi Kwarteng, the UK business and energy secretary, tweeted that the oil giant’s decision was “a clear vote of confidence in the British economy”. Analysts at Redburn, the equity research house, hailed it as “a clear post-Brexit win for the UK”.
The fact that Shell is headed by a Dutchman, Ben van Beurden, and that one effect of the move will be the dropping of the “Royal Dutch” part of its name, only added to the British flag-waving. Closer inspection, however, reveals it is not quite as billed.
Shell is not exactly relocating lock, stock and barrel from The Hague; this is not the same as a business uprooting its operations in one country and shifting to another. It will still maintain a large presence in the Netherlands. It is more of a paper move, only affecting a small number of back-office support roles.
Ever since it was formed in 1907 from the merger of the Royal Dutch Petroleum Company and the Shell Transport and Trading Company, Royal Dutch Shell has had a convoluted dual structure. Its head office is in the Netherlands but it is registered in London. Unilever, the consumer goods supplier, was also created the same way, via an Anglo-Dutch marriage.
Both companies and another Anglo-Dutch combine, Relx, the former Reed Elsevier, have decided to simplify affairs, to be run from one place with one set of shareholders. Unilever toyed with going to the Netherlands but decided to remain in the UK; Shell and Relx have switched from the Netherlands to the UK.
It is no coincidence that all three are Anglo-Dutch. The main reason they give is because the Dutch impose a withholding tax on dividends. But it goes deeper than that. The Netherlands is perceived by many at the top of the international business community to be a more awkward environment in which to operate than the UK.
The green lobby is stronger and more hostile, (no small consideration when you’re a fossil fuels producer) and enjoys greater support from pension funds and institutional investors. Workers have a louder voice in how affairs are managed. Seeking approval for deals can take longer.
In short, Dutch society, steered by its politicians, is seen – rightly or wrongly – as being less amenable to capitalism.
Shell and the others are wishing to make life easier, to afford themselves greater flexibility and speed. In terms of a major jobs dividend for the UK, there is none. It is a badge of honour for the UK, that is true (and if the moves went the other way there would be anger and dismay) but to say it is down to Brexit is incorrect.
It is more to do with the sheer inconvenience and cost of keeping a dual structure, coupled with frustrations regarding the Netherlands.
Nevertheless, there’s a feeling that some EU countries are instinctively not so pro-business, an image that the free-wheeling Boris Johnson and his colleagues like to foment – with the Netherlands being one of them.
There’s a feeling that some EU countries are instinctively not so pro-business
The problem is that at the other end of the UK corporate spectrum, among smaller businesses, that more relaxed, laissez-faire approach on high translates into a government that simply does not appear to care about the day-to-day difficulties imposed by Brexit.
Unlike their larger brethren, these enterprises do not have entire departments specialising in trading with the EU. When withdrawal loomed, the bigger players set about training their staff for the new world; that simply did not happen lower down. If there are forms to be completed those managing the firm very often must do it themselves, along with the myriad tasks they’re required to fulfil. This, do not forget, when there was no form-filling pre-Brexit.
So, the other email that arrived shortly after the one about Shell was from a pal who is involved in the management of his family’s jewellery business. They are now bogged down, he said to me recently, “in endless paperwork and huge processes with customs and courier companies”.
Older members of his family “remember when trade was last this difficult. It was in the 1960s. All the things that became progressively easier after we joined the EU have now been removed.”
They could use suppliers based elsewhere, outside the EU, but have not been able to find one that is suitable, plus they like to deal with the suppliers they’ve built up relationships with over decades.
To show what he means, he emails a FedEx shipment form. It is so the company can import some jewellery from Germany.
To clear customs they must include the following information:
– Reason for import – why are the goods entering the UK, eg, home use, after repair, for repair, exhibition, GB returns, etc. If they’re returns, they must be within three years and evidence of their export is required
– Clear description and tariff heading if available
– Harmonisation code [a special EU code that has to be looked up and typed in]
– Confirmation of market value (plus repair charges if applicable)
“This is the daily impact of Brexit,” he says. “We now have to email this information, separately, for each order to each parcel delivery service.
“On days where we receive a dozen packages from the EU, this pointless bureaucracy takes two hours: 25 per cent of someone's working day. For a value-subtract process that achieves nothing. We are wasting wages to achieve nothing.”
He adds: “This process cannot be automated by email. And each courier has their own (and sometimes variable) format. There was no such process prior to Brexit.”
This experience is being repeated everywhere. This, and not Shell, is the reality of Brexit; and it is this that Mr Kwarteng should be doing his utmost to resolve.
MATCH INFO
Serie A
Juventus v Fiorentina, Saturday, 8pm (UAE)
Match is on BeIN Sports
The%20specs
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Teri%20Baaton%20Mein%20Aisa%20Uljha%20Jiya
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Quick pearls of wisdom
Focus on gratitude: And do so deeply, he says. “Think of one to three things a day that you’re grateful for. It needs to be specific, too, don’t just say ‘air.’ Really think about it. If you’re grateful for, say, what your parents have done for you, that will motivate you to do more for the world.”
Know how to fight: Shetty married his wife, Radhi, three years ago (he met her in a meditation class before he went off and became a monk). He says they’ve had to learn to respect each other’s “fighting styles” – he’s a talk it-out-immediately person, while she needs space to think. “When you’re having an argument, remember, it’s not you against each other. It’s both of you against the problem. When you win, they lose. If you’re on a team you have to win together.”
It’ll be summer in the city as car show tries to move with the times
If 2008 was the year that rocked Detroit, 2019 will be when Motor City gives its annual car extravaganza a revamp that aims to move with the times.
A major change is that this week's North American International Auto Show will be the last to be held in January, after which the event will switch to June.
The new date, organisers said, will allow exhibitors to move vehicles and activities outside the Cobo Center's halls and into other city venues, unencumbered by cold January weather, exemplified this week by snow and ice.
In a market in which trends can easily be outpaced beyond one event, the need to do so was probably exacerbated by the decision of Germany's big three carmakers – BMW, Mercedes-Benz and Audi – to skip the auto show this year.
The show has long allowed car enthusiasts to sit behind the wheel of the latest models at the start of the calendar year but a more fluid car market in an online world has made sales less seasonal.
Similarly, everyday technology seems to be catching up on those whose job it is to get behind microphones and try and tempt the visiting public into making a purchase.
Although sparkly announcers clasp iPads and outline the technical gadgetry hidden beneath bonnets, people's obsession with their own smartphones often appeared to offer a more tempting distraction.
“It's maddening,” said one such worker at Nissan's stand.
The absence of some pizzazz, as well as top marques, was also noted by patrons.
“It looks like there are a few less cars this year,” one annual attendee said of this year's exhibitors.
“I can't help but think it's easier to stay at home than to brave the snow and come here.”
The%20specs%3A%202024%20Mercedes%20E200
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SNAPSHOT
While Huawei did launch the first smartphone with a 50MP image sensor in its P40 series in 2020, Oppo in 2014 introduced the Find 7, which was capable of taking 50MP images: this was done using a combination of a 13MP sensor and software that resulted in shots seemingly taken from a 50MP camera.
The%20pillars%20of%20the%20Dubai%20Metaverse%20Strategy
%3Cp%3EEncourage%20innovation%20in%20the%20metaverse%20field%20and%20boost%20economic%20contribution%3C%2Fp%3E%0A%3Cp%3EDevelop%20outstanding%20talents%20through%20education%20and%20training%3C%2Fp%3E%0A%3Cp%3EDevelop%20applications%20and%20the%20way%20they%20are%20used%20in%20Dubai's%20government%20institutions%3C%2Fp%3E%0A%3Cp%3EAdopt%2C%20expand%20and%20promote%20secure%20platforms%20globally%3C%2Fp%3E%0A%3Cp%3EDevelop%20the%20infrastructure%20and%20regulations%3C%2Fp%3E%0A
Winners
Ballon d’Or (Men’s)
Ousmane Dembélé (Paris Saint-Germain / France)
Ballon d’Or Féminin (Women’s)
Aitana Bonmatí (Barcelona / Spain)
Kopa Trophy (Best player under 21 – Men’s)
Lamine Yamal (Barcelona / Spain)
Best Young Women’s Player
Vicky López (Barcelona / Spain)
Yashin Trophy (Best Goalkeeper – Men’s)
Gianluigi Donnarumma (Paris Saint-Germain and Manchester City / Italy)
Best Women’s Goalkeeper
Hannah Hampton (England / Aston Villa and Chelsea)
Men’s Coach of the Year
Luis Enrique (Paris Saint-Germain)
Women’s Coach of the Year
Sarina Wiegman (England)
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
Herc's Adventures
Developer: Big Ape Productions
Publisher: LucasArts
Console: PlayStation 1 & 5, Sega Saturn
Rating: 4/5
The chef's advice
Troy Payne, head chef at Abu Dhabi’s newest healthy eatery Sanderson’s in Al Seef Resort & Spa, says singles need to change their mindset about how they approach the supermarket.
“They feel like they can’t buy one cucumber,” he says. “But I can walk into a shop – I feed two people at home – and I’ll walk into a shop and I buy one cucumber, I’ll buy one onion.”
Mr Payne asks for the sticker to be placed directly on each item, rather than face the temptation of filling one of the two-kilogram capacity plastic bags on offer.
The chef also advises singletons not get too hung up on “organic”, particularly high-priced varieties that have been flown in from far-flung locales. Local produce is often grown sustainably, and far cheaper, he says.
SPECS
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Day 2, stumps
Pakistan 482
Australia 30/0 (13 ov)
Australia trail by 452 runs with 10 wickets remaining in the innings
Blackpink World Tour [Born Pink] In Cinemas
Starring: Rose, Jisoo, Jennie, Lisa
Directors: Min Geun, Oh Yoon-Dong
Rating: 3/5
The Indoor Cricket World Cup
When: September 16-23
Where: Insportz, Dubai
Indoor cricket World Cup:
Insportz, Dubai, September 16-23
UAE fixtures:
Men
Saturday, September 16 – 1.45pm, v New Zealand
Sunday, September 17 – 10.30am, v Australia; 3.45pm, v South Africa
Monday, September 18 – 2pm, v England; 7.15pm, v India
Tuesday, September 19 – 12.15pm, v Singapore; 5.30pm, v Sri Lanka
Thursday, September 21 – 2pm v Malaysia
Friday, September 22 – 3.30pm, semi-final
Saturday, September 23 – 3pm, grand final
Women
Saturday, September 16 – 5.15pm, v Australia
Sunday, September 17 – 2pm, v South Africa; 7.15pm, v New Zealand
Monday, September 18 – 5.30pm, v England
Tuesday, September 19 – 10.30am, v New Zealand; 3.45pm, v South Africa
Thursday, September 21 – 12.15pm, v Australia
Friday, September 22 – 1.30pm, semi-final
Saturday, September 23 – 1pm, grand final
Babumoshai Bandookbaaz
Director: Kushan Nandy
Starring: Nawazuddin Siddiqui, Bidita Bag, Jatin Goswami
Three stars
Jetour T1 specs
Engine: 2-litre turbocharged
Power: 254hp
Torque: 390Nm
Price: From Dh126,000
Available: Now
COMPANY%20PROFILE%20
%3Cp%3E%3Cstrong%3EName%3A%3C%2Fstrong%3E%20Dooda%20Solutions%0D%3Cbr%3E%3Cstrong%3EBased%3A%3C%2Fstrong%3E%20Lebanon%0D%3Cbr%3E%3Cstrong%3EFounder%3A%20%3C%2Fstrong%3ENada%20Ghanem%0D%3Cbr%3E%3Cstrong%3ESector%3A%3C%2Fstrong%3E%20AgriTech%0D%3Cbr%3E%3Cstrong%3ETotal%20funding%3A%20%3C%2Fstrong%3E%24300%2C000%20in%20equity-free%20funding%0D%3Cbr%3E%3Cstrong%3ENumber%20of%20employees%3A%3C%2Fstrong%3E%2011%3C%2Fp%3E%0A
The specs
Engine: 3.8-litre twin-turbo V8
Power: 611bhp
Torque: 620Nm
Transmission: seven-speed automatic
Price: upon application
On sale: now
