From the UK to the Gulf: The British Business Boom in Dubai

A quiet revolution is unfolding in the Gulf. More British companies than ever before are setting up businesses in Dubai, and analysts say this wave is only just beginning.

Research figures from the Dubai Chamber of Commerce reveal that 2,500 UK companies registered in UAE in 2024, up 14.2% year-on-year, pushing the total beyond 5,000 active British companies. If this growth pattern continues, Dubai could host around 15,000 UK businesses by 2035. This surge underscores a deeper transformation in the way British entrepreneurs view the Middle East, not just as a place for trade, but as a new frontier for long-term investment and global expansion.

For PRO Services Dubai, a consultancy that specializes in helping international businesses establish themselves in the UAE, the shift is unmistakable. Director Basel Abu Alrub reports a sharp rise in inquiries from UK founders eager to explore the country’s unique advantages, from its tax-friendly environment to its world-class infrastructure and strategic location between Europe, Asia, and Africa.

“As more British companies gain traction here, others are following their lead,” said Abu Alrub. “Dubai has evolved into more than a tax haven; it has become a serious strategic choice for entrepreneurs who want to scale globally.”

The UK’s strong presence now places it among the top contributors to Dubai’s thriving business ecosystem, alongside major markets such as India, Pakistan, and Egypt. For many British business owners, the decision to move or expand to Dubai is a logical one. The UAE’s favorable tax policies, stable governance, and investor-friendly regulations provide a stark contrast to the increasing costs and regulatory challenges often faced back home.

Corporate tax in the UAE remains just 9% for profits exceeding AED 375,000 (around £80,000), compared to the UK’s corporate tax rates, which range between 19% and 25%. For small and medium-sized enterprises, this difference can have a major impact on cash flow and reinvestment potential.

While the initial cost of establishing a business in Dubai typically ranges from £50,000 to £95,000, the returns are often swift. According to Abu Alrub, companies operating in fast-moving sectors such as technology, logistics, and professional services are often able to recover their setup costs within a year. The ease of doing business, supported by simplified government procedures, advanced digital systems, and dedicated free zones, all add to the appeal.

“With countries like India and Pakistan already investing heavily in the UAE, and the UK surging up the ranks, this marks more than a trend – it’s a strategic repositioning for ambitious people worldwide. With the global market so uncertain, it’s little wonder entrepreneurs from all over the world are keen to gain a foothold in the prosperous and opportunity-driven UAE,” concluded Abu Alrub.

As the UAE continues to strengthen its global position, the influx of British businesses is expected to grow further. For many, Dubai is no longer just a gateway to the Middle East; it’s a launchpad for international success.

Planning to set up your business in Dubai? Visit our website and find out how PRO Services Dubai can support your international expansion.