Battle to be the Gulf's party hotspot: Dubai suspends 30% alcohol tax

Warning that boozing Brits could find themselves thrown in Dubai jail after the popular influencer resort slashed the cost of alcohol amid battle of Gulf States to lure in more tourists

  • Dubai has slashed its alcohol tax from 30% to zero as it looks to lure in tourists
  • Change lasting all of 2023 will also benefit expats, which outnumber locals 9 to 1
  • Saudi Arabia is holding festivals and ‘sport washing’ involving Messi and Ronaldo
  • There have been claims the regime could soon allow drinking for the first time

A record number of Brits could find themselves in a Dubai prison – or victims of crimes themselves – as a consequence of the decision to slash the cost of booze to lure in more tourists also being courted by Saudi Arabia and Qatar, experts told MailOnline today.

An army of British influencers and reality TV stars has been recruited to entice more people from the UK to holiday in the UAE city, where the 30 per cent tax on alcohol was axed on New Year’s Eve.

Millie Court and Chloe Burrows from Love Island saw in 2023 in Dubai while promoting its bars, restaurants and businesses, sharing numerous videos on Instagram of them downing shots, dancing in clubs and sunbathing by pools as the tax changes came in. 

If the 30% tax cut is passed on, the price of drinking would be cut from around £12 per pint to around £8. A glass of wine would be around £6 and a cocktail around £10 – and would be even cheaper during the happy hours that are so common in Dubai hotels. The cost of wine and spirits is already dropping in licensed shops.

But human rights groups are predicting a culture clash in the Muslim country, where Detained in Dubai says thousands of Britons have been arrested and hundreds jailed in recent years due to the United Arab Emirates’ strict and ‘highly contradictory’ laws.

Millie Court and Chloe Burrows from Love Island saw in 2023 in Dubai – just as the emirate shelved its 30% alcohol tax in a sign it wants to lure in more tourists and retain expats


Adverts on Instagram promoting drinking and partying since the tax was axed

Dubai is relaxing its booze laws as it battles other Muslim states including Saudi Arabia and Qatar for holidaymakers, big businesses and expats from the West. 

Radha Stirling, founder and CEO of Detained in Dubai, told MailOnline: ‘Reducing the cost of alcohol in Dubai is sending a clear message to tourists and that is to drink. Considering Dubai’s alcohol laws prohibit the possession of alcohol in public, drinking in Dubai is inherently dangerous. 

‘If a visitor’s blood is tested and shows up even one drink, they can be criminally charged. Alcohol tests are often conducted when a complaint is made by a local. If a local is offended by a visitors dress sense, language or behaviour, they may call the police and have the visitor arrested, even if that person has only consumed a small beer. 

‘Dubai’s laws are highly contradictory. On the one hand, people are encouraged to drink but on the other, it’s a criminal offence to have any amount of alcohol in your blood in public. Encouraging visitors to drink more alcohol will most certainly result in increased detentions of Brits abroad in prisons notorious for human rights abuses and police brutality’.

Despite vehement denials, the ultra-conservative Saudi regime is said to be considering allowing drinking for the first time – and is also trying to diversify from oil by organising events such as major music festivals, including one last month marred by claims that women were routinely sexually assaulted.


Chloe poses by a pool in the popular holiday destination, visited by 12m people last year. More are expected this year but human rights experts warn that more could fall foul of Dubai’s conservative laws

Crown Prince Mohammed bin Salman is bent on securing the 2030 World Cup, using Lionel Messi and Cristiano Ronaldo as ambassadors.

Ms Sterling also warned of trouble for people visiting Saudi Arabia and Qatar, now the World Cup is over.

She said: ‘There is a concerted effort across the Gulf to attract tourists; which includes relaxing previous rules and regulations concerning things like alcohol, the permissibility of unmarried couples staying together, and the holding of events where men and women are not segregated, and so on. 

‘This is happening even in a country like Saudi Arabia, and at an accelerated rate that often outpaces the readiness of the very conservative population. 

‘This can obviously lead to resentment and conflict between Westerners and locals, which inevitably puts tourists and other foreigners at risk of reprisals by Saudi nationals who disapprove of the changes being imposed by the government’.

Dubai is the financial, trade and tourism hub of the United Arab Emirates, a major oil exporter which has gradually loosened the shackles on drinking while using global stars and influencers to promote its image as the party capital of the Gulf.

Its hospitality businesses have already been praising the tax cut on Instagram, which is already full of posts of models, often scantily clad, drinking Champagne or cocktails by a pool or a skyscraper balcony. 

One Dubai worker told the FT after the price cut emerged on New Year’s Eve: ‘I’ve never seen prices as low as this’.

Monica Malik, chief economist at Abu Dhabi Commercial Bank, said: ‘The cut should further support the tourism and hospitality sectors, after the strong recovery from the pandemic. The move should also be welcomed by many residents, who are predominantly expatriates.’ 

The personal liquor licence, available to non-Muslims aged over 21 and required to buy alcohol at Dubai’s small number of licensed shops, is now free, according to distributors MMI and African and Eastern.

MMI, one of two Dubai businesses selling beer, wine and spirits from 17 shops with delivery, hailed the decision and said that will cut its prices to reflect the tax changes and also scrap their fee for a personal licence needed to buy booze in the emirate.

‘Buying your favourite drinks just got easier and cheaper!’ MMI said in a Facebook post detailing the cuts. 

The state has a population of 3.3million and expats outnumber locals by at least nine to one, and the tax cut is likely to please many of them, including the huge group of Brits there.

More than 12million international visitors came in the first 11 months of 2022 – double the number in 2021 – but despite raving about the weather and luxury accommodation, there is often complaints about the price of alcoholic drinks.

Soundstorm 2022 held in December in Saudi Arabia, featuring some of the world’s most famous DJs and rappers. But it was marred by claims that women were sexually assaulted

Cristiano Ronaldo officially signed for Al Nassr on a sensational deal worth £175million-a-year

Lionel Messi won the World Cup with Argentina last month, cementing his status as the superior player to Ronaldo in the eyes of many fans. He is an ambassador for Saudi’s bid for the 2030 World Cup

England and Wales fans drinking in Qatar during the World Cup, where drinking rules were relaxed

And there is a new threat from richer neighbours such as Qatar, which opened bars and pubs to welcome football fans from around the world. 

Even super-conservative Saudi Arabia, is said to be pondering relaxing its drinking rules, despite repeated denials from its royal family. Expats are also being offered gigantic salaries to relocate to Riyadh.

Last month there was the three-day Soundstorm 2022 festival. A reported 600,000 people attended the event in Saudi Arabia – making it one of the largest music events in the world.

It was the third edition of the flagship event and brought some of the biggest artists in the world to Riyadh – including Bruno Mars, DJ Khaled, Post Malone, Tiesto, Swedish House Mafia and David Guetta. But it was marred by claims that women were sexually assaulted and harassed by men.

Cristiano Ronaldo will become an ambassador for Saudi Arabia’s 2030 World Cup bid because of a clause in his deal with Al-Nassr, according to reports.

Ronaldo confirmed his move to the Saudi Arabian side on a sensational £175million-a-year contract following his tumultuous exit from Manchester United in November.

Back in February, after it emerged that Messi had been approached by the Saudi tourism board, families of prisoners of conscience wrote a letter that urged him not to get involved. Messi signed a lucrative deal to promote the kingdom in May.

In Riyadh, where Ronaldo will earn an awful lot of money that he doesn’t need, there are already huge images of players like Marcus Rashford on display in the shopping malls. They have recently bought their own football club, too. Newcastle United are riding high on Saudi money in the Premier League. 

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