President Sheikh Mohamed and Keir Starmer at Al Shati Palace. UAE Presidential Court
President Sheikh Mohamed and Keir Starmer at Al Shati Palace. UAE Presidential Court
President Sheikh Mohamed and Keir Starmer at Al Shati Palace. UAE Presidential Court
President Sheikh Mohamed and Keir Starmer at Al Shati Palace. UAE Presidential Court


It's time to take the UAE-UK relationship to the next level


Oliver Dowden
Oliver Dowden
  • English
  • Arabic

May 26, 2025

I know from my time as Deputy Prime Minister of the United Kingdom that the ties between Britain and the UAE are deep and multi-faceted. Our unique bond dates to the very formation of the Emirates in 1971, and it still holds strong today.

Our work together spans life-saving co-operation on intelligence, defence and security, through joint diplomatic initiatives at the UN on hunger and access to education, to climate change, finance and AI regulation.

It is also a driver of our prosperity. The UK-UAE Sovereign Investment Partnership has supported thousands of jobs in every part of the UK, from Northern Ireland to Northumbia, from Scotland to Somerset. Take just one example: Manchester City Football Club. Backed by the Abu Dhabi United Group, Man City’s performance on the pitch last season was matched by record revenues and profits. But beyond the pitch, the Manchester Life partnership between the club’s owners and Manchester City Council is delivering a £1 billion ($1.35bn) urban renewal project, reclaiming land and building 6,000 homes — a living example of community benefit.

  • President Sheikh Mohammed receives Britain's Prime Minister Keir Starmer in Abu Dhabi. Reuters
    President Sheikh Mohammed receives Britain's Prime Minister Keir Starmer in Abu Dhabi. Reuters
  • Mr Starmer with Sheikh Mohamed at Qasr Al Shati Palace. AFP
    Mr Starmer with Sheikh Mohamed at Qasr Al Shati Palace. AFP
  • Britain's Prime Minister is making the trip to strengthen trade ties in the Gulf. AFP
    Britain's Prime Minister is making the trip to strengthen trade ties in the Gulf. AFP
  • Mr Starmer is welcomed to Sheikh Zayed Grand Mosque in Abu Dhabi. Reuters
    Mr Starmer is welcomed to Sheikh Zayed Grand Mosque in Abu Dhabi. Reuters
  • Mr Starmer at Sheikh Zayed Grand Mosque. Reuters
    Mr Starmer at Sheikh Zayed Grand Mosque. Reuters
  • As part of his visit, Mr Starmer is seeking stronger economic and defence ties with the UAE. AP
    As part of his visit, Mr Starmer is seeking stronger economic and defence ties with the UAE. AP
  • Mr Starmer is led by Sheikh Zayed Grand Mosque's director general Yousef Al Obaidli and tour guide Mahra as he tours the site. Reuters
    Mr Starmer is led by Sheikh Zayed Grand Mosque's director general Yousef Al Obaidli and tour guide Mahra as he tours the site. Reuters
  • Mr Starmer visited the mosque in Abu Dhabi as part of a trip to the UAE. Reuters
    Mr Starmer visited the mosque in Abu Dhabi as part of a trip to the UAE. Reuters
  • Mr Starmer is led by director general Yousef Al Obaidli and a tour guide, Mahra, during his visit. AP
    Mr Starmer is led by director general Yousef Al Obaidli and a tour guide, Mahra, during his visit. AP
  • Mr Starmer will also visit Saudi Arabia this week. AP
    Mr Starmer will also visit Saudi Arabia this week. AP
  • The visit by Mr Starmer is his first to the region since he was elected as Britain's Prime Minister this year. Reuters
    The visit by Mr Starmer is his first to the region since he was elected as Britain's Prime Minister this year. Reuters
  • On Sunday, a Downing Street statement described the UAE and Saudi Arabia as 'some of the UK's most vital modern-day partners'. Getty Images
    On Sunday, a Downing Street statement described the UAE and Saudi Arabia as 'some of the UK's most vital modern-day partners'. Getty Images
  • Mr Starmer also visited Saudi Arabia for talks with Crown Prince Mohammed bin Salman at the Royal Court in Riyadh. AFP
    Mr Starmer also visited Saudi Arabia for talks with Crown Prince Mohammed bin Salman at the Royal Court in Riyadh. AFP
  • Mr Starmer meets Saudi officials as he arrives at the Royal Court in Riyadh. Getty Images
    Mr Starmer meets Saudi officials as he arrives at the Royal Court in Riyadh. Getty Images
  • Mr Starmer arrives at King Khalid International Airport in Riyadh. Reuters
    Mr Starmer arrives at King Khalid International Airport in Riyadh. Reuters

For me, at the heart of any relationship between two nations is the relationship between its people. Millions of people travel between our countries every year from Brits holidaying in Dubai to Emiratis soaking up London’s shops, restaurants and cultural life. But it’s so much more than this. British businesses are abuzz with the opportunities the UAE presents and Emiratis have known for decades the UK is a rock-solid, safe place to invest with free markets, the rule of law and an open business environment.

As a former Cabinet Minister, I know that private exchange is strengthened by bonds at every level of government. I certainly value my relationships in the UAE enormously. They ensure stability, continuity and mutual understanding at times of stress. We are fortunate that the ties between our two royal families are deep and generational. Likewise, I was pleased to see an early visit by our new Prime Minister, Keir Starmer, to the UAE building on those by his Conservative predecessors.

There is also a significant role deepening parliamentary understanding between our countries as we look to strengthen our relationship even further. That is why I have established a new UAE All Party Parliamentary Group. This will seek to foster collaboration and understanding with a particular focus on trade and investment, technology and innovation, and climate and sustainability.

Millions of people travel between our countries every year from Brits holidaying in Dubai to Emiratis soaking up London’s shops, restaurants and cultural life. But it’s so much more than this

The new group brings together Parliamentarians from across the political divide such as former Home Secretary Lord Blunkett, who knows of the important security partnership, to newly elected rising stars like Samantha Niblett who understands the critical need for regional investment in areas such as technology and AI. In this way, it will help create stronger political understanding of the UK-UAE relationship for a wider pool of policymakers in the UK.

Such ties enable us not just to celebrate success but to have open and frank exchange about areas where we do not agree. This includes challenging about where we need to do better. For me, the recent visit by US President Donald Trump was a clear demonstration of how other nations are not standing still. The UK should not complacently assume that historic ties and existing strength automatically continue. We need to work together on this exciting next chapter of our relationship.

The UK has recently concluded trade deals with India, the USA and EU. Trade and investment are surging in the Gulf, as it solidifies its position as a global hub with the UAE at the core. This is something Mr Trump recognises. We should likewise make concluding the UK-GCC Free Trade Agreement our next priority.

  • The Coldstream Guards parade to mark UK 'national day 'at Expo 2020 Dubai. All photos: Chris Whiteoak / The National
    The Coldstream Guards parade to mark UK 'national day 'at Expo 2020 Dubai. All photos: Chris Whiteoak / The National
  • The Commonwealth Games baton makes an appearance at the world's fair.
    The Commonwealth Games baton makes an appearance at the world's fair.
  • Flags outside the UK pavilion to mark 'national day'.
    Flags outside the UK pavilion to mark 'national day'.
  • The flag-raising ceremony in Dubai.
    The flag-raising ceremony in Dubai.
  • Nadine Dorries, UK Secretary of State for Digital, Culture, Media and Sport, at the flag-raising ceremony.
    Nadine Dorries, UK Secretary of State for Digital, Culture, Media and Sport, at the flag-raising ceremony.
  • The Coldstream Guards perform.
    The Coldstream Guards perform.
  • Flags are waved by the crowd.
    Flags are waved by the crowd.
  • Flags are handed out before a parade to mark UK 'national day'.
    Flags are handed out before a parade to mark UK 'national day'.
  • The Coldstream Guards band on parade.
    The Coldstream Guards band on parade.
  • Nadine Dorries gives a speech.
    Nadine Dorries gives a speech.
  • Noura Al Kaabi, UAE Minister of Culture and Youth, addresses the audience at the UK 'national day' ceremony.
    Noura Al Kaabi, UAE Minister of Culture and Youth, addresses the audience at the UK 'national day' ceremony.
  • The Scott Wood band perform.
    The Scott Wood band perform.
  • The Scott Wood band perform.
    The Scott Wood band perform.
  • Box tail soup perform with their giant immersive puppets.
    Box tail soup perform with their giant immersive puppets.
  • Paul Tinto performs ‘To a mouse’ by Robert Burns.
    Paul Tinto performs ‘To a mouse’ by Robert Burns.
  • Box tail soup perform with their giant immersive puppets.
    Box tail soup perform with their giant immersive puppets.
  • The Scott Wood band perform at the UK pavilion.
    The Scott Wood band perform at the UK pavilion.

While we have a strong investment partnership, we can be more ambitious. As I set out in a speech to the UN General Assembly, I believe the transformational effect of artificial intelligence will be somewhere between the discovery of fire and the discovery of electricity. British university and entrepreneurial capability in AI is only surpassed by the US and China. Likewise, the UAE is now a clear global leader and innovator in AI.

The UK and UAE have already undertaken meaningful work to shape AI, and the UK was grateful when the UAE provided clear support for our flagship AI Safety Summit. However, there is much work to be done. A vibrant UK partnership with the UAE can unlock huge economic value and job opportunities.

Financial services have long been a bedrock of the UK economy, with London and New York continuing to lead the world as global financial centres and the UK demonstrating great strength in fintech. The UAE is clearly established as a strong financial services hub with rapid growth. This creates possibilities for developing dual listings, passporting frameworks, innovation corridors and venture capital match funding.

There are plenty more such opportunities but the one thing we can be sure of is that the rest of the world is not standing still. This is a seminal moment in our relationship. It’s time to take it to the next level.

If you go

The flights

The closest international airport for those travelling from the UAE is Denver, Colorado. British Airways (www.ba.com) flies from the UAE via London from Dh3,700 return, including taxes. From there, transfers can be arranged to the ranch or it’s a seven-hour drive. Alternatively, take an internal flight to the counties of Cody, Casper, or Billings

The stay

Red Reflet offers a series of packages, with prices varying depending on season. All meals and activities are included, with prices starting from US$2,218 (Dh7,150) per person for a minimum stay of three nights, including taxes. For more information, visit red-reflet-ranch.net.

 

What is the definition of an SME?

SMEs in the UAE are defined by the number of employees, annual turnover and sector. For example, a “small company” in the services industry has six to 50 employees with a turnover of more than Dh2 million up to Dh20m, while in the manufacturing industry the requirements are 10 to 100 employees with a turnover of more than Dh3m up to Dh50m, according to Dubai SME, an agency of the Department of Economic Development.

A “medium-sized company” can either have staff of 51 to 200 employees or 101 to 250 employees, and a turnover less than or equal to Dh200m or Dh250m, again depending on whether the business is in the trading, manufacturing or services sectors. 

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Tamkeen's offering
  • Option 1: 70% in year 1, 50% in year 2, 30% in year 3
  • Option 2: 50% across three years
  • Option 3: 30% across five years 
Dubai Bling season three

Cast: Loujain Adada, Zeina Khoury, Farhana Bodi, Ebraheem Al Samadi, Mona Kattan, and couples Safa & Fahad Siddiqui and DJ Bliss & Danya Mohammed 

Rating: 1/5

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

UAE currency: the story behind the money in your pockets
While you're here
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The specs

Engine: 2.0-litre 4cyl turbo

Power: 261hp at 5,500rpm

Torque: 405Nm at 1,750-3,500rpm

Transmission: 9-speed auto

Fuel consumption: 6.9L/100km

On sale: Now

Price: From Dh117,059

Yuki Means Happiness
Alison Jean Lester
John Murray 

NO OTHER LAND

Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal

Stars: Basel Adra, Yuval Abraham

Rating: 3.5/5

Manchester City 4
Otamendi (52) Sterling (59) Stones (67) Brahim Diaz (81)

Real Madrid 1
Oscar (90)

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The specs

Engine: 2.0-litre four-cylinder turbo

Power: 178hp at 5,500rpm

Torque: 280Nm at 1,350-4,200rpm

Transmission: seven-speed dual-clutch auto

Price: from Dh209,000 

On sale: now

Moral education needed in a 'rapidly changing world'

Moral education lessons for young people is needed in a rapidly changing world, the head of the programme said.

Alanood Al Kaabi, head of programmes at the Education Affairs Office of the Crown Price Court - Abu Dhabi, said: "The Crown Price Court is fully behind this initiative and have already seen the curriculum succeed in empowering young people and providing them with the necessary tools to succeed in building the future of the nation at all levels.

"Moral education touches on every aspect and subject that children engage in.

"It is not just limited to science or maths but it is involved in all subjects and it is helping children to adapt to integral moral practises.

"The moral education programme has been designed to develop children holistically in a world being rapidly transformed by technology and globalisation."

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Six tips to secure your smart home

Most smart home devices are controlled via the owner's smartphone. Therefore, if you are using public wi-fi on your phone, always use a VPN (virtual private network) that offers strong security features and anonymises your internet connection.

Keep your smart home devices’ software up-to-date. Device makers often send regular updates - follow them without fail as they could provide protection from a new security risk.

Use two-factor authentication so that in addition to a password, your identity is authenticated by a second sign-in step like a code sent to your mobile number.

Set up a separate guest network for acquaintances and visitors to ensure the privacy of your IoT devices’ network.

Change the default privacy and security settings of your IoT devices to take extra steps to secure yourself and your home.

Always give your router a unique name, replacing the one generated by the manufacturer, to ensure a hacker cannot ascertain its make or model number.

Kamindu Mendis bio

Full name: Pasqual Handi Kamindu Dilanka Mendis

Born: September 30, 1998

Age: 20 years and 26 days

Nationality: Sri Lankan

Major teams Sri Lanka's Under 19 team

Batting style: Left-hander

Bowling style: Right-arm off-spin and slow left-arm orthodox (that's right!)

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Terror attacks in Paris, November 13, 2015

- At 9.16pm, three suicide attackers killed one person outside the Atade de France during a foootball match between France and Germany- At 9.25pm, three attackers opened fire on restaurants and cafes over 20 minutes, killing 39 people- Shortly after 9.40pm, three other attackers launched a three-hour raid on the Bataclan, in which 1,500 people had gathered to watch a rock concert. In total, 90 people were killed- Salah Abdeslam, the only survivor of the terrorists, did not directly participate in the attacks, thought to be due to a technical glitch in his suicide vest- He fled to Belgium and was involved in attacks on Brussels in March 2016. He is serving a life sentence in France

Key figures in the life of the fort

Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.

Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.

Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.

Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.

Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.

Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.

Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.

Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.

Sources: Jayanti Maitra, www.adach.ae

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Updated: May 26, 2025, 4:36 AM