THE POONAWALLA family has purchased a £42 million building in London's Grosvenor Square, near their existing Mayfair home, despite concerns about upcoming changes to the UK’s non-domiciled (non-dom) tax rules.
The deal, finalised in May, involved Phinity Developers Ltd, a company controlled by Natasha Poonawalla, according to UK public records, the Financial Times reported.
The acquisition comes as Adar Poonawalla, head of the family’s Serum Institute of India, expressed concerns about the impact of new tax policies on international investors.
“The policy should be such that it encourages individuals to come and invest and stay in the UK. Instead of doing that, you’re making rules which would make people stay away,” he told the Financial Times in May.
Under the non-dom rules, UK residents with permanent homes abroad can avoid tax on international income. However, the Labour government plans to abolish this system in 2025.
Adar stated that while he does not spend enough time in the UK to be affected by the rules, Natasha Poonawalla could lose her tax benefits.
The newly acquired property, 38 Grosvenor Square, is a 27,000 sq ft building originally constructed in 1727.
Once an aristocratic townhouse and later the Indonesian embassy, the building has been described as a “blank canvas” for commercial redevelopment.
Marketing materials note it is one of the last remaining original structures from the square’s initial construction.
This purchase follows the family’s £138 million acquisition of Aberconway House in Mayfair last year, one of London’s priciest residential deals.
Natasha Poonawalla, a fashion influencer and executive director of the Serum Institute, has invested millions in vaccine research and production, including in Oxford.
Both Grosvenor and the Poonawalla family declined to comment on the purchase.