Live updates: Follow the latest news on Israel-Gaza
UK diplomats are scrambling to end Houthi attacks on commercial vessels in the Red Sea as the country’s military draws up plans for strikes against the militant group.
The Iran-backed Houthis continued their attacks on shipping at the weekend, prompting clashes with the US Navy.
British diplomats are speaking to both the Houthis, who control the north of Yemen, and the country’s UN-backed government, which rules the south, a London-based diplomatic source told The National.
The militant group has sought to open another front against Israel amid its war on Gaza and has been attacking vessels in the Red Sea since November.
Foreign Secretary David Cameron spoke to his Omani counterpart Sayyid Badr Al Busaidi as well as Iranian Foreign Minister Hossein Amirabdollahian in recent days in an attempt to pressure Tehran to exert influence over its proxy.
Iran’s Foreign Ministry spokesman denied Tehran's role in the hostilities on Monday and accused the UK and US of threatening the Red Sea’s security, according to Iran International.
Oman has served as a mediator for the Houthis in the past, and most recently in November when the group’s attacks on the Red Sea began.
US Secretary of State Antony Blinken and Mr Cameron spoke on Tuesday with Mr Amirabdollahian and Mr Al Busaidi agreeing to "hold the Houthis accountable for these unlawful seizures and attacks".
The UK was also seeking avenues through Arab countries, which do not want to see an escalation in the region, the source said.
It comes as the UK military has set out plans to strike the Houthis should the attacks in the Red Sea continue.
Despite these efforts, the Houthis had left the UK and the US without “much options or choices”, according to former Yemeni diplomat Mustapha Numan.
The Houthis view themselves as having engaging in resistance against Israel and attacks by western powers will only validate their position.
“The Houthis want the [US and UK] to get involved in the conflict, it will make them look like real champions because they are in a war with the West,” Mr Numan told The National.
The group had become “more audacious and confrontational” in its attacks.
“They want to show that they are serious,” he said.
This had left the UK and US “stuck in quite an odd formula”, said Farea Al Muslimi, research fellow at international affairs think tank Chatham House, told The National.
“They don’t want to escalate in the region, but they don’t want Houthis to get away with it,” he added.
Another potential avenue for leverage could be Saudi Arabia, which has been engaged in peace talks with the Houthis since last year. Riyadh is unlikely to want to compromise its peace plan as it seeks an exit from the seven-year war in Yemen.
Arab countries – including Oman – would not want to be seen pressuring the Houthis while Israel’s war on Gaza is still raging.
“Arab countries have their hands tied, they cannot stop the Houthi attacks in the Red Sea even if they are haunted by them,” Mr Al Muslimi said.
“They cannot be part of a military coalition on the Red Sea while doing nothing on Gaza.
“The Houthis are the only ones doing anything on Gaza. They have tied everyone in a really awkward position.”
Others have suggested restoring the UN-backed government's control of the Hodeidah port as a form of pressure on the Houthis. It was handed over to the Houthis after the Stockholm Agreement in 2018.
“If there is going to be [US and British] diplomatic pressure on the Houthis, it should be done through the legitimate government,” said Mohammed Al Qubaty, a former Yemeni cabinet minister and acting chairman of the Southern Civil Democratic Rally.
“The UK and US should really come out to help and pressurise Houthis by giving leeway to the government in the south to respond against the other side.”
Pressure on Iran was a “reasonable approach”, he added, but there were no assurances that the Houthis would respond.
The UK and the US risk being drawn into Yemen’s unresolved war.
Yemen’s Southern Transitional Council, which seeks independence for the country’s south, is understood to be involved in the diplomatic developments around the Red Sea, according to a person familiar with the proceedings.
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
Tips from the expert
Dobromir Radichkov, chief data officer at dubizzle and Bayut, offers a few tips for UAE residents looking to earn some cash from pre-loved items.
- Sellers should focus on providing high-quality used goods at attractive prices to buyers.
- It’s important to use clear and appealing photos, with catchy titles and detailed descriptions to capture the attention of prospective buyers.
- Try to advertise a realistic price to attract buyers looking for good deals, especially in the current environment where consumers are significantly more price-sensitive.
- Be creative and look around your home for valuable items that you no longer need but might be useful to others.
The specs: 2018 Audi Q5/SQ5
Price, base: Dh183,900 / Dh249,000
Engine: 2.0L, turbocharged in-line four-cylinder / 3.0L, turbocharged V6
Gearbox: Seven-speed automatic / Eight-speed automatic
Power: 252hp @ 5,000rpm / 354hp @ 5,400rpm
Torque: 370Nm @ 1,600rpm / 500Nm @ 1,370rpm
Fuel economy: combined 7.2L / 100km / 8.3L / 100km
MATCH INFO
Manchester United 1 (Fernandes pen 2') Tottenham Hotspur 6 (Ndombele 4', Son 7' & 37' Kane (30' & pen 79, Aurier 51')
Man of the match Son Heung-min (Tottenham)
UAE%20medallists%20at%20Asian%20Games%202023
%3Cp%3E%3Cstrong%3EGold%3C%2Fstrong%3E%0D%3Cbr%3EMagomedomar%20Magomedomarov%20%E2%80%93%20Judo%20%E2%80%93%20Men%E2%80%99s%20%2B100kg%0D%3Cbr%3EKhaled%20Al%20Shehi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-62kg%0D%3Cbr%3EFaisal%20Al%20Ketbi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-85kg%0D%3Cbr%3EAsma%20Al%20Hosani%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Women%E2%80%99s%20-52kg%0D%3Cbr%3EShamma%20Al%20Kalbani%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Women%E2%80%99s%20-63kg%0D%3Cbr%3E%3Cstrong%3ESilver%3C%2Fstrong%3E%0D%3Cbr%3EOmar%20Al%20Marzooqi%20%E2%80%93%20Equestrian%20%E2%80%93%20Individual%20showjumping%0D%3Cbr%3EBishrelt%20Khorloodoi%20%E2%80%93%20Judo%20%E2%80%93%20Women%E2%80%99s%20-52kg%0D%3Cbr%3EKhalid%20Al%20Blooshi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-62kg%0D%3Cbr%3EMohamed%20Al%20Suwaidi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-69kg%0D%3Cbr%3EBalqees%20Abdulla%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Women%E2%80%99s%20-48kg%0D%3Cbr%3E%3Cstrong%3EBronze%3C%2Fstrong%3E%0D%3Cbr%3EHawraa%20Alajmi%20%E2%80%93%20Karate%20%E2%80%93%20Women%E2%80%99s%20kumite%20-50kg%0D%3Cbr%3EAhmed%20Al%20Mansoori%20%E2%80%93%20Cycling%20%E2%80%93%20Men%E2%80%99s%20omnium%0D%3Cbr%3EAbdullah%20Al%20Marri%20%E2%80%93%20Equestrian%20%E2%80%93%20Individual%20showjumping%0D%3Cbr%3ETeam%20UAE%20%E2%80%93%20Equestrian%20%E2%80%93%20Team%20showjumping%0D%3Cbr%3EDzhafar%20Kostoev%20%E2%80%93%20Judo%20%E2%80%93%20Men%E2%80%99s%20-100kg%0D%3Cbr%3ENarmandakh%20Bayanmunkh%20%E2%80%93%20Judo%20%E2%80%93%20Men%E2%80%99s%20-66kg%0D%3Cbr%3EGrigorian%20Aram%20%E2%80%93%20Judo%20%E2%80%93%20Men%E2%80%99s%20-90kg%0D%3Cbr%3EMahdi%20Al%20Awlaqi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-77kg%0D%3Cbr%3ESaeed%20Al%20Kubaisi%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Men%E2%80%99s%20-85kg%0D%3Cbr%3EShamsa%20Al%20Ameri%20%E2%80%93%20Jiu-jitsu%20%E2%80%93%20Women%E2%80%99s%20-57kg%0D%3C%2Fp%3E%0A
