Scrapping the non-dom tax regime could cost the Treasury £5billion in revenue, reduce GDP and prompt dozens of top Premier League footballers to leave the country, warns an analysis.
The study by an independent group of international economists says such a move by Chancellor Jeremy Hunt in the Budget would be 'highly risky'.
Non-domiciled status allows foreign nationals who live in Britain but are officially domiciled abroad to avoid paying UK taxes on their overseas income or capital gains.
They still have to pay taxes on their earnings in the UK. Prime Minister Rishi Sunak's wife Akshata Murty has previously enjoyed non-dom status.