A family from Ukraine waits to speak to UK Home Office officials in Lille, France. Getty
A family from Ukraine waits to speak to UK Home Office officials in Lille, France. Getty
A family from Ukraine waits to speak to UK Home Office officials in Lille, France. Getty
A family from Ukraine waits to speak to UK Home Office officials in Lille, France. Getty

Canada's Syria refugee programme a model for UK's sponsorship offer to Ukrainians


Tim Stickings
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Live updates: follow the latest news on Russia-Ukraine

British people can register from Monday to sponsor Ukrainian refugees to come to the UK, in an initiative that has yet to satisfy critics who say people fleeing the war with Russia should be treated more generously.

The local sponsorship programme is similar to one used by Canada to resettle about 9,000 people who fled the war in Syria.

Starting on Friday, it will match escaping Ukrainians with people, charities and businesses who come forward to offer sanctuary, with households in Britain set to receive £350 ($460) a week if they provide a place to stay.

Any volunteer must have a named Ukrainian to sponsor, something ministers say could be arranged by church groups, charities or social media. They will be expected to put someone up for at least six months, and both the host and refugee will be subject to security checks.

Health Secretary Sajid Javid said it was “important that anyone that becomes a host… can fulfil the obligations of a host, that they can spend time with these families and help”. He suggested he would not have time himself.

About 2.7 million people have fled Ukraine since Russian troops invaded on February 24, with many more expected to follow as fighting and artillery shelling continues.

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Local authorities in Britain will receive up to £10,000 ($13,040) per refugee in an initiative that Housing Secretary Michael Gove said could bring tens of thousands of people to the UK.

It mirrors the Canadian programme in which 8,954 refugees were privately sponsored to relocate from Syria, at the height of the migration flow from the country in 2015 and 2016.

In that initiative, sponsors typically raised about 27,000 Canadian dollars ($21,000) to bring over a family of four and committed to help them to settle, according to Amnesty International, which praised the project. Another 14,994 refugees received government funding to come to Canada.

Britain’s government is now facing calls to expand what is the only fast-track visa route for Ukrainians who do not have links to the UK.

Ministers were criticised after their initial offer applied only to Ukrainians with relatives in the UK, while the EU has offered one-year residency to all Ukrainians fleeing the war.

Politicians from both the ruling Conservatives and opposition Labour Party have described the UK’s visa offer as too narrow and the process of obtaining a visa as too bureaucratic.

  • Refugees who fled Ukraine wait outside a temporary centre in Przemysl, Poland. Reuters
    Refugees who fled Ukraine wait outside a temporary centre in Przemysl, Poland. Reuters
  • Refugees intent on fleeing Ukraine wait for hours to board a train from Lviv to Poland. Reuters
    Refugees intent on fleeing Ukraine wait for hours to board a train from Lviv to Poland. Reuters
  • People arrive at a refugee camp near Palanca, in Moldova, about 3 kilometres from the border with Ukraine. EPA
    People arrive at a refugee camp near Palanca, in Moldova, about 3 kilometres from the border with Ukraine. EPA
  • Pupils in Sache village, France, welcome Anastasia and her son Dary, refugees fleeing Ukraine. AFP
    Pupils in Sache village, France, welcome Anastasia and her son Dary, refugees fleeing Ukraine. AFP
  • Refugees from Ukraine disembark a ferry at the border crossing in Isaccea, Romania. Getty
    Refugees from Ukraine disembark a ferry at the border crossing in Isaccea, Romania. Getty
  • People who fled Ukraine wait for transport after crossing the border into Poland. AP
    People who fled Ukraine wait for transport after crossing the border into Poland. AP
  • Refugees at a makeshift shelter set up at a four-star hotel in Suceava, Romania. AP
    Refugees at a makeshift shelter set up at a four-star hotel in Suceava, Romania. AP
  • Women and children arrive at Lviv train station in western Ukraine as they try to flee the country. EPA
    Women and children arrive at Lviv train station in western Ukraine as they try to flee the country. EPA
  • Relatives are reunited after crossing from Ukraine into Hungary. Getty
    Relatives are reunited after crossing from Ukraine into Hungary. Getty
  • A woman welcomes a child who has arrived in Berlin on a train from Poland. Reuters
    A woman welcomes a child who has arrived in Berlin on a train from Poland. Reuters
  • Refugees from Odesa arrive in Athens. Reuters
    Refugees from Odesa arrive in Athens. Reuters
  • People fleeing Ukraine arrive at Velke Slemence, Slovakia. EPA
    People fleeing Ukraine arrive at Velke Slemence, Slovakia. EPA
  • Parents and children make their way through Berlin's main station after arriving in Germany from Poland. Reuters
    Parents and children make their way through Berlin's main station after arriving in Germany from Poland. Reuters
  • Refugees at the Medyka border crossing in Poland, where thousands are fleeing as a result of the Russian military offensive. AFP
    Refugees at the Medyka border crossing in Poland, where thousands are fleeing as a result of the Russian military offensive. AFP
  • A sports hall in Chisinau, Moldova, where more than 500 people who fled from Ukraine found shelter. EPA
    A sports hall in Chisinau, Moldova, where more than 500 people who fled from Ukraine found shelter. EPA
  • A child looks out from a tent at a temporary camp for refugees in Przemysl, Poland. Reuters
    A child looks out from a tent at a temporary camp for refugees in Przemysl, Poland. Reuters
  • A worker prepares a gym in Perpignan, France, before the arrival of people fleeing Ukraine. AFP
    A worker prepares a gym in Perpignan, France, before the arrival of people fleeing Ukraine. AFP

“We need the visa system to be far simpler. It is far too complicated for those from Ukraine to come to London and our country,” said London Mayor Sadiq Khan.

“Those fleeing war should not have to jump through hoops, including lengthy visa applications, in order to secure safe passage.”

The Home Office responded to criticism by loosening the application process so that Ukrainians can make an initial application online and provide biometric details once they arrive in Britain.

It came after reports of visa-processing centres in Poland running out of appointments and leaving people queuing in cold weather to submit an application.

About 3,000 people have been granted visas under the extended family programme while Ukrainians already in the UK on a different visa can seek to switch their immigration status.

Home Secretary Priti Patel said she had received assurances that necessary security checks would not be compromised by delaying the collection of biometric data.

It followed claims that ministers had raised concerns with EU member Ireland, with which Britain shares a free travel area, about the lack of security around arriving Ukrainians.

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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
Four reasons global stock markets are falling right now

There are many factors worrying investors right now and triggering a rush out of stock markets. Here are four of the biggest:

1. Rising US interest rates

The US Federal Reserve has increased interest rates three times this year in a bid to prevent its buoyant economy from overheating. They now stand at between 2 and 2.25 per cent and markets are pencilling in three more rises next year.

Kim Catechis, manager of the Legg Mason Martin Currie Global Emerging Markets Fund, says US inflation is rising and the Fed will continue to raise rates in 2019. “With inflationary pressures growing, an increasing number of corporates are guiding profitability expectations downwards for 2018 and 2019, citing the negative impact of rising costs.”

At the same time as rates are rising, central bankers in the US and Europe have been ending quantitative easing, bringing the era of cheap money to an end.

2. Stronger dollar

High US rates have driven up the value of the dollar and bond yields, and this is putting pressure on emerging market countries that took advantage of low interest rates to run up trillions in dollar-denominated debt. They have also suffered capital outflows as international investors have switched to the US, driving markets lower. Omar Negyal, portfolio manager of the JP Morgan Global Emerging Markets Income Trust, says this looks like a buying opportunity. “Despite short-term volatility we remain positive about long-term prospects and profitability for emerging markets.” 

3. Global trade war

Ritu Vohora, investment director at fund manager M&G, says markets fear that US President Donald Trump’s spat with China will escalate into a full-blown global trade war, with both sides suffering. “The US economy is robust enough to absorb higher input costs now, but this may not be the case as tariffs escalate. However, with a host of factors hitting investor sentiment, this is becoming a stock picker’s market.”

4. Eurozone uncertainty

Europe faces two challenges right now in the shape of Brexit and the new populist government in eurozone member Italy.

Chris Beauchamp, chief market analyst at IG, which has offices in Dubai, says the stand-off between between Rome and Brussels threatens to become much more serious. "As with Brexit, neither side appears willing to step back from the edge, threatening more trouble down the line.”

The European economy may also be slowing, Mr Beauchamp warns. “A four-year low in eurozone manufacturing confidence highlights the fact that producers see a bumpy road ahead, with US-EU trade talks remaining a major question-mark for exporters.”

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Secret Nation: The Hidden Armenians of Turkey
Avedis Hadjian, (IB Tauris)
 

Updated: March 14, 2022, 11:57 AM