text: Former Dragons’ Den star Duncan Bannatyne this morning announced he would back Labour at the next election – just a week after backing the Tories. The millionaire businessman said Ed Miliband’s plan to scrap the controversial ‘non-dom’ status had won him over. He tweeted: 'Ed Milliband says he will abolish non-dom status in UK. This gets my vote I never thought any party would have courage to do this.' Scroll down for video . Duncan Bannatyne said Ed Miliband’s plan to scrap the controversial ‘non-dom’ status had won him over . It comes after the hotelier signed a letter from more than 100 business leaders backing the Tories’ economic record. The letter claimed that the 'Conservative-led Government has been good for business' and backed the cut in corporation tax to 20 per cent. Mr Bannatyne’s inclusion on the list was deeply damaging for Labour – having previously been one of the party’s most high profile backers. The TV star helped unveil a 'seaside manifesto' with Gordon Brown before the 2010 general election. But he announced this morning that Mr Miliband’s planned raid on the super-rich – announced this morning – has convinced him to return. Speaking in Coventry this morning, the Labour leader promised that the 200-year-old rule for non-doms, which applies to around 116,000 people, makes Britain an 'offshore tax haven for a few' and can 'no longer be justified'. Former Dragons’ Den star Duncan Bannatyne this morning announced he would back Labour at the next election – just a week after backing the Tories . Speaking in Coventry this morning, Labour leader Ed Miliband claimed the 200-year-old 'non dom' rule makes Britain an 'offshore tax haven for a few' and can 'no longer be justified' The Tories warned the plan could cost Britain 'hundreds of millions of pounds' and stopped short of scrapping the rules, despite Labour's claims. Non-domicile status allows people living and working in Britain to only pay tax on their UK income, but not earnings from overseas. They must prove that they regard a foreign country as their real home. But Mr Miliband said that non-dom tests 'are not very rigorous' and can be granted to people who have a burial plot or property abroad. Mr Miliband said everyone who has made Britain their permanent home should pay full UK tax on all their income and gains. He will pledge to abolish the non-dom status from April 2016. The status, which is unique to the UK having been introduced by William Pitt the Younger in the late 18th century, is used by more than 110,000 wealthy people. Mr Bannatyne was one of the former Prime Minister Gordon Brown's most prominent backers - and was wheeled out ahead of the 2010 election (above) to boost the party's business credentials . Mr Miliband said non-dom status results from a discredited belief that 'anything goes for those at the top and that what is good for the rich is always good for Britain'. He said: 'There are people who live here in Britain like you and me, work here in Britain, are permanently settled here in Britain like you and me, but aren't required to pay taxes like you and me because they take advantage of what has become an increasingly arcane 200-year-old loophole. 'There are now 116,000 non-doms, costing hundreds of millions of pounds to our country – it can no longer be justified, and it makes Britain an offshore tax haven for a few.' Non-dom status is often inherited through the father so can apply to people who were born in Britain. David Cameron - in Cornwall with his wife Samantha last night - has been accused of defending special rules for the rich . They must pay an annual fee, of up to £90,000, to take advantage of the rules, which means it is only of us to the very wealthy. Newspaper reports overnight suggested that non-dom rules would be scrapped by Labour altogether. But today it emerged Labour would allow 'real temporary residents' to take advantage of the rules - with the time limit to be consulted on should they take power in the General Election on May 7. Shadow chancellor Ed Balls said it should be around two or three years - not the five suggested in some reports. But it emerged that when he was a Treasury minister in the last Labour government, Mr Balls insisted that 'the majority of non-domiciled individuals who had already left the UK spent no more than five years here'. Chancellor George Osborne said Labour's proposals amounted to 'tinkering around the edges' not an outright ban. 'Either they are going to abolish non-dom status altogether which would cost our country hundreds of millions of pounds in lost tax revenues and lost investment - the reason they did nothing on this during 13 years in office,' Mr Osborne said. 'Or they are just tinkering around the edges and making small adjustments to the rules on how long people can be non-dom. 'This confusion is another reminder of why they can't be trusted with our economy.' The Lib Dems said the number non-dom numbers 'exploded' under the last Labour government and more than doubled while Mr Miliband was an adviser in the Treasury. Mr Balls told BBC Radio 4's Today that circumstances had changed and there was now a large budget deficit to cut. 'People were saying in the middle of the last decade this will lead to people leaving the country. It's not actually turned out to be the case,' he said. 'The abuse is bigger than we thought. These rules are ridiculous, they are unfair, they are being abused, and I think it's time to act. 'These were introduced in the period of the Napoleonic wars to allow people who were earning money in the colonies not to pay tax in the UK. 'That's fine, it's a different world now, a different time, different choices.'
target: Millionaire businessman backs Labour's plan to scrap 'non-dom' status .
  He said: 'I never thought any party would have courage to do this'
  Just last week he publicly backed the Tories over their economic record .