ADGM Introduces New Licensing Rules For Legal, Tax And Company Service Providers

The Abu Dhabi Global Market (ADGM) Registration Authority has introduced a new controlled activity for tax services and stricter licensing standards for firms providing legal and corporate support, in an overhaul of its professional-services framework.

The updated regulations, which took effect immediately, are set out under the Commercial Licensing Regulations (Conditions of Licence and Branch Registration) Rules 2025 and the Commercial Licensing Regulations (Controlled Activities) Rules 2025. They replace the previous framework and apply to new applicants and existing licence holders operating within the financial free zone.

ADGM tightens rules for service firms

The Registration Authority said the new rules strengthen ADGM’s regulatory environment by introducing mandatory governance and professional requirements across legal, tax and company service providers.

Under the framework, legal service providers must appoint a managing partner or equivalent with at least eight years of post-qualification experience, maintain a registered office in ADGM, hold professional indemnity insurance and file annual returns with the regulator.

For tax service providers, at least half of senior management must hold recognised professional qualifications. Firms are required to secure and maintain professional indemnity insurance and follow defined conduct principles.

Company service providers must implement policies and procedures to manage conflicts of interest as part of broader governance enhancements.

The Registration Authority said transitional timelines have been established to give existing licence holders sufficient time to align with the new requirements.

The measures form part of ADGM’s efforts to maintain high professional standards and align its regulatory framework with international best practice.

ADGM, established in 2015, is the international financial centre for Abu Dhabi, covering Al Maryah Island and Al Reem Island. It operates under English common law and ranks as the leading financial hub in the Middle East and Africa.

Full details of the new rules are available on ADGM’s website.

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Tala Michel Issa

Tala Michel Issa is the Chief Reporter at Arabian Business and Producer/Presenter of the AB Majlis podcast. Her interviews feature global figures including former Nissan Chairman Carlos Ghosn, Mindvalley's...

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