Dubai’s Super-Rich Find New Homes in Europe

Ultra-wealthy individuals, including high-net-worth UK nationals and elites from the Gulf region, are relocating from Dubai to Milan, Italy. This shift is being driven by a combination of geopolitical instability in the United Arab Emirates and the appeal of Italy’s financial capital as a stable European base.

The exodus follows a period of increased tension in the Middle East, specifically Iranian missile attacks targeting the United Arab Emirates. These events have eroded Dubai’s reputation as a secure haven for the global elite, prompting wealthy investors to seek alternatives that offer greater long-term security and stability.

The Appeal of Milan and Italy’s Tax Regime

Milan, the financial and fashion capital of Italy, has emerged as a primary destination for these migrants. According to Armand Arton, a consultant specializing in investment citizenship schemes for multimillionaire and billionaire families, Italy provides a combination of a flat tax and good quality of life.

Central to Italy’s attraction is a flat-tax regime designed to entice foreign residents. Reports on the specific costs of this regime vary; some sources state that foreign residents can pay €300,000 a year on all overseas income, while other reports cite a fixed annual payment of €100,000 on foreign income regardless of the total amount earned abroad.

Estimates of the number of wealthy individuals attracted by this tax scheme also differ across reports, with figures ranging from 1,300 to approximately 5,000 people. This regime has allowed Italy to compete with traditional wealth hubs such as Monaco and London.

Impact on the Milanese Property Market

The influx of global capital has significantly impacted the luxury real estate market in Milan. Property prices in the city have increased by 38% over the past five years.

By November 2025, Milan surpassed Venice to become the most expensive city in Italy, with average property prices reaching €5,171 per square meter. This boom is characterized by high demand for luxury apartments in Milan and restored palazzi in Rome.

Diletta Giorgolo, who leads the Sotheby’s residential real estate office in Milan, noted that while the city has always been international, the nature of its growth is changing. She indicated that the end of the United Kingdom’s non-domiciled tax status contributed to a wave of new buyers entering the Milanese market.

Broader Geopolitical and Economic Drivers

The migration reflects a broader trend of wealthy families diversifying their geographic presence in response to global volatility. For many high-net-worth individuals, the decision to leave the UAE is no longer based solely on tax advantages, but on a need for security and long-term planning.

The transition is particularly evident among wealthy Britons. For a period, Dubai was a preferred destination for UK nationals seeking tax-free living. However, the combination of the UAE’s security situation and the UK’s decision to abolish the non-dom agreement has pushed these individuals to look for routes back into Europe.

People leaving the UAE can see themselves living in Rome or Milan quite easily as international, metropolitan centres.

Armand Arton

Italy’s positioning as a safe haven is further supported by its status as a metropolitan center capable of accommodating the lifestyle requirements of the world’s wealthiest bankers, lawyers, and investors.