Britain's Foreign Secretary Dominic Raab announced restrictions on arms sales to Turkey. Reuters
Britain's Foreign Secretary Dominic Raab announced restrictions on arms sales to Turkey. Reuters
Britain's Foreign Secretary Dominic Raab announced restrictions on arms sales to Turkey. Reuters
Britain's Foreign Secretary Dominic Raab announced restrictions on arms sales to Turkey. Reuters

Britain halts new arms export licences for Turkey


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Britain is to halt new arms export licences to Turkey because of its military operation against Kurdish forces in north-east Syria, Foreign Minister Dominic Raab said on Tuesday.

Arms campaigners said the move was largely symbolic and “too little, too late” after £1.1 billion (Dh5.16bn) worth of licences for weapons sales to Turkey were issued since 2014.

The UK’s decision to halt licences came after France, Finland, Norway, the Netherlands and Germany announced suspensions of exports to Turkey.

“The UK government takes its arms export control responsibilities very seriously and in this case we will keep our defence exports to Turkey under very careful and continual review,” Mr Raab told Parliament.

“No further export licences to Turkey for items that might be used in military operations in Syria will be granted while we conduct that review.”

The conflict was raised during a conversation between UK Prime Minister Boris Johnson and French president Emmanuel Macron on Tuesday when they expressed their “deep concerns” at the Turkish incursion, Downing Street said.

Britain has joined France, Germany, Belgium and Poland to request a meeting of the UN Security Council, which is likely to take place on Wednesday.

France’s Prime Minister, Edouard Philippe, criticised the US and Turkey on Tuesday for decisions that he said would inevitably lead to a resurgence of ISIS.

The licences agreed to since August 2014 include £206 million drones and aircraft, £84m for tanks and armoured vehicles, and a similar amount for grenades and missiles, the Campaign Against Arms Trade group said.

Former prime minister Theresa May in 2017 agreed to a £100m fighter jet deal with Turkey.

The Turkish military pension fund also struck an agreement to take British Steel out of insolvency by the end of 2019, possibly saving 5,000 jobs.

Mr Raab said that the EU would keep the threat of sanctions under review after deciding not to follow the US lead to penalise senior officials.

While paying tribute to Turkey as a “staunch” Nato member, Mr Raab said: “This is not the action we expected from an ally.

“It is reckless, it is counterproductive and it plays straight into the hands of the Assad regime.”

The announcement on Tuesday does not affect any of those projects or licences that can run for up to five years, the anti-arms trade group said.

“If this move is to be more than symbolic then there can be no return to business as usual,” the group's Andrew Smith said.

“It’s time that the rights of Kurdish people were finally put ahead of arms company profits.”

Mr Raab announced the review after Mr Johnson expressed “grave concern” about the military operation in a call with Mr Erdogan on Saturday but stopped short of a weapons embargo.

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One of the UAE’s largest suppliers of green (meaning not-yet-roasted) beans, Raw Coffee, is a founding member of the Partnership of Gender Equity, which aims to empower female coffee farmers and harvesters.

Also, globally, many companies have found the perfect way to recycle old coffee grounds: they create the perfect fertile soil in which to grow mushrooms. 

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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. 

Day 1 results:

Open Men (bonus points in brackets)
New Zealand 125 (1) beat UAE 111 (3)
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The body is viewed as sacred, during and after death, thus prohibiting cremation and tattoos.

One school of thought viewed the removal of organs after death as equally impermissible.

That view has largely changed, and among scholars and indeed many in society, to be seen as permissible to save another life.

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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. 

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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. 

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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.

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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