Title: UK Abandons Plan to Tax Sovereign Wealth Funds

A government document revealed that British Treasury Secretary Jeremy Hunt has abandoned a plan to impose taxes on sovereign wealth funds investing in the UK. The document, which includes details of the measures outlined in the budget plan announced by Hunt on Wednesday, states that "the government carefully considered" the responses to its consultations regarding the tax exemption for sovereign funds. The document, first published by the Financial Times on Friday, noted: "It was decided not to make any changes to the current exemption and to continue operating in the same manner as before." The Financial Times reported that Business and Trade Secretary Kemi Badenoch urged the Treasury to drop the proposals out of fear that sovereign funds would withdraw from projects in the UK. Sovereign wealth funds from Middle Eastern countries and others have significant investments in some UK infrastructure projects as well as commercial real estate holdings.