Attempts by the UK to widen visa-free arrivals with an Electronic Travel Authorisation scheme have backfired on Heathrow after transit passengers were included in the system.
The chief executive of Heathrow, Thomas Woldbye, has urged the British government to scrap ETAs for passengers who are merely passing through the airport to catch connecting flights to other destinations outside the UK.
Under the ETA scheme, international passengers with eligible and participating nationalities pay a fee of £10 ($12.50), regardless of whether they are entering Britain or are transit passengers flying on to somewhere else.
Currently, the scheme only applies to citizens of seven Middle Eastern states: the UAE, Qatar, Saudi Arabia, Oman, Bahrain, Kuwait and Jordan.
The scheme was launched in October last year and only applied to Qataris, while the other five Gulf states and Jordan joined in February this year.
The ETA scheme is cheaper, faster and easier to apply for than the long-standing Electronic Visa Waiver, which allowed visitors from the Gulf to stay in Britain for up to six months for tourism, business, study or medical treatment.
Under the new ETA system, travellers will be able to make unlimited visits to Britain over two years, or until the holder’s passport expires, whichever comes first.
The idea has been piloted with the Middle Eastern states because they represent the highest number of returning tourists, with tracking data showing that three quarters of all holiday visitors from the UAE make repeat visits to Britain.
Level playing field
Announcing another month of record passenger numbers at Heathrow for March, Mr Woldbye said that to keep the figures growing the government needs to “exempt airside transit passengers from the ETA scheme to avoid encouraging passengers to spend and do business elsewhere”.
“We need to level the playing field, so the UK aviation industry continues to be world-class,” he added.
Heathrow said the effect of the ETA on transit passenger numbers already shows in the figures from Qatar. In the first four months of the scheme, 19,000 fewer transit passengers travelled from the Gulf state to Heathrow.
That, Heathrow argues, is a worrying trend and a “huge blow to UK competitiveness as many long-haul routes, which are highly important to the UK’s economy, exports and wider connectivity, rely on transit passengers”.
Heathrow argues that the scheme is driving transit passengers to use other airports, potentially threatening its position as the world's most connected airport.
”We are introducing an Electronic Travel Authorisation (ETA) scheme to enhance border security by increasing our knowledge about those seeking to come to the UK and preventing the arrival of those who pose a threat," a spokesperson for the UK's Home Office said.
“Requiring transit passengers to obtain an ETA stops people who may use connecting flights to avoid gaining permission to travel to the UK.
"We are keeping this under review as we continue to roll out the scheme and we will continue to work with the aviation sector on this."
Heathrow said March was the second record-breaking month in a row, as nearly seven million people travelled through the airport.
Easter weekend was Heathrow's busiest ever, with 936,000 passengers departing or arriving. Good Friday was the busiest ever direct departure day, with 118,000 people starting their journeys at Heathrow.
Passport price pressure
Meanwhile, the cost of a British passport went up on Thursday, for the second time in 14 months.
The price of an online application for a new or renewed passport went up by 7 per cent to £88.50, having already risen by 9 per cent in February last year.
“While these latest price rises may well reflect rising production or processing costs, the UK passport is now among the priciest in Europe, and travellers due to renew will likely be shocked by how much these little blue books now cost,” said Guy Hobbs, a travel expert at the consumer group Which?
From the middle of next year, British passport holders will also have to pay £6 to travel inside the EU under the European Travel Information and Authorisation System.
Who are the Soroptimists?
The first Soroptimists club was founded in Oakland, California in 1921. The name comes from the Latin word soror which means sister, combined with optima, meaning the best.
The organisation said its name is best interpreted as ‘the best for women’.
Since then the group has grown exponentially around the world and is officially affiliated with the United Nations. The organisation also counts Queen Mathilde of Belgium among its ranks.
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BULKWHIZ PROFILE
Date started: February 2017
Founders: Amira Rashad (CEO), Yusuf Saber (CTO), Mahmoud Sayedahmed (adviser), Reda Bouraoui (adviser)
Based: Dubai, UAE
Sector: E-commerce
Size: 50 employees
Funding: approximately $6m
Investors: Beco Capital, Enabling Future and Wain in the UAE; China's MSA Capital; 500 Startups; Faith Capital and Savour Ventures in Kuwait
Villains
Queens of the Stone Age
Matador
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
UK's plans to cut net migration
Under the UK government’s proposals, migrants will have to spend 10 years in the UK before being able to apply for citizenship.
Skilled worker visas will require a university degree, and there will be tighter restrictions on recruitment for jobs with skills shortages.
But what are described as "high-contributing" individuals such as doctors and nurses could be fast-tracked through the system.
Language requirements will be increased for all immigration routes to ensure a higher level of English.
Rules will also be laid out for adult dependants, meaning they will have to demonstrate a basic understanding of the language.
The plans also call for stricter tests for colleges and universities offering places to foreign students and a reduction in the time graduates can remain in the UK after their studies from two years to 18 months.
Global institutions: BlackRock and KKR
US-based BlackRock is the world's largest asset manager, with $5.98 trillion of assets under management as of the end of last year. The New York firm run by Larry Fink provides investment management services to institutional clients and retail investors including governments, sovereign wealth funds, corporations, banks and charitable foundations around the world, through a variety of investment vehicles.
KKR & Co, or Kohlberg Kravis Roberts, is a global private equity and investment firm with around $195 billion of assets as of the end of last year. The New York-based firm, founded by Henry Kravis and George Roberts, invests in multiple alternative asset classes through direct or fund-to-fund investments with a particular focus on infrastructure, technology, healthcare, real estate and energy.
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Leap of Faith
Michael J Mazarr
Public Affairs
Dh67
The Pope's itinerary
Sunday, February 3, 2019 - Rome to Abu Dhabi
1pm: departure by plane from Rome / Fiumicino to Abu Dhabi
10pm: arrival at Abu Dhabi Presidential Airport
Monday, February 4
12pm: welcome ceremony at the main entrance of the Presidential Palace
12.20pm: visit Abu Dhabi Crown Prince at Presidential Palace
5pm: private meeting with Muslim Council of Elders at Sheikh Zayed Grand Mosque
6.10pm: Inter-religious in the Founder's Memorial
Tuesday, February 5 - Abu Dhabi to Rome
9.15am: private visit to undisclosed cathedral
10.30am: public mass at Zayed Sports City – with a homily by Pope Francis
12.40pm: farewell at Abu Dhabi Presidential Airport
1pm: departure by plane to Rome
5pm: arrival at the Rome / Ciampino International Airport
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Profile
Company: Justmop.com
Date started: December 2015
Founders: Kerem Kuyucu and Cagatay Ozcan
Sector: Technology and home services
Based: Jumeirah Lake Towers, Dubai
Size: 55 employees and 100,000 cleaning requests a month
Funding: The company’s investors include Collective Spark, Faith Capital Holding, Oak Capital, VentureFriends, and 500 Startups.
Sholto Byrnes on Myanmar politics
Evacuations to France hit by controversy
- Over 500 Gazans have been evacuated to France since November 2023
- Evacuations were paused after a student already in France posted anti-Semitic content and was subsequently expelled to Qatar
- The Foreign Ministry launched a review to determine how authorities failed to detect the posts before her entry
- Artists and researchers fall under a programme called Pause that began in 2017
- It has benefited more than 700 people from 44 countries, including Syria, Turkey, Iran, and Sudan
- Since the start of the Gaza war, it has also included 45 Gazan beneficiaries
- Unlike students, they are allowed to bring their families to France
More on Quran memorisation:
From Zero
Artist: Linkin Park
Label: Warner Records
Number of tracks: 11
Rating: 4/5
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Sun jukebox
Rufus Thomas, Bear Cat (The Answer to Hound Dog) (1953)
This rip-off of Leiber/Stoller’s early rock stomper brought a lawsuit against Phillips and necessitated Presley’s premature sale to RCA.
Elvis Presley, Mystery Train (1955)
The B-side of Presley’s final single for Sun bops with a drummer-less groove.
Johnny Cash and the Tennessee Two, Folsom Prison Blues (1955)
Originally recorded for Sun, Cash’s signature tune was performed for inmates of the titular prison 13 years later.
Carl Perkins, Blue Suede Shoes (1956)
Within a month of Sun’s February release Elvis had his version out on RCA.
Roy Orbison, Ooby Dooby (1956)
An essential piece of irreverent juvenilia from Orbison.
Jerry Lee Lewis, Great Balls of Fire (1957)
Lee’s trademark anthem is one of the era’s best-remembered – and best-selling – songs.