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Return of the London non-doms

Knight Frank says prices for super-prime property rose 8% during 2010, despite fears new tax laws would drive the wealthy away

Real estate prices in London's most exclusive neighbourhoods are forecast to rise 10% this year, surpassing pre-recession levels, allaying fears that new UK tax laws will drive away wealthy non-domiciled individuals.

Against a backdrop of surging unrest in the Middle East and sovereign debt concerns in Europe, wealthy non-domiciled individuals are once again flocking to the UK capital to buy super-prime residential real estate - those properties valued at £10m and above, - confounding predictions of a non-dom exodus caused by rising taxes.

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