In recent years, Dubai has become a popular destination for British expats, primarily due to its year-round sunshine and, of course, the absence of income tax. However, there is one surprising country that is also drawing Brits, and even being dubbed the new Dubai.

Malta, located in the central Mediterranean between Sicily and the North African coast, has seen an influx of UK citizens moving to the archipelago for similar reasons – tax.

Malta is offering Brits a combination of attractive tax breaks, including a 15% rate on income remitted to the country and no capital gains tax, reports the Guardian.

One British resident who upped and moved to Malta shared the many other things drawing UK citizens to the country. They explained to The Times: “They drive on the same side of the road, there are red postboxes, HSBCs on the corner and they have Marks & Spencer.”

According to the shipping and moving company 1st Move International, over 13,000 Brits reside in Malta.

It added: “Malta is a small island offering a strong community feel, especially towards expats and tourists. There is an established expat community across Malta, offering a warm welcome, so you won’t be alone. With stunning harbour views, a low cost of living and potential tax benefits, many people move to Malta for a slower pace of life. “

While the idea of moving to Malta may seem favourable for Brits, it is not entirely win for the Maltanese.

The influx of foreigners has had a significant impact on the housing market, making it increasingly challenging for locals to afford their own homes.

Earlier this year, a call was made for a radical overhaul of the two-tier tax system that favours foreigners. The Times of Malta urged the Government to stop giving preferential treatment to economic migrants.

It stated: “They live here and use all our infrastructure but contribute almost nothing, flash their money and irritate the local Maltes who must pay between 20% and 30% tax on all their world income.”

It added that all residents in Malta be treated equally and a rise in tax and national income revenues could help reduce the country’s national debt.