Residents in the UAE will experience significant rule changes starting June 2026. Key updates include increased parking fees and Salik charges in Dubai, stricter regulations on salary payments, and a reduced legal adulthood age. These changes are anticipated to have repercussions for commuters, employees, employers, and young adults throughout the nation.
Dubai Parking Charges to Rise From June 2026
Starting June 1, 2026, Parkin will apply a five per cent Value Added Tax (VAT) on its services in line with UAE tax regulations.
Updated Parkin Charges
The new 5% VAT will cover all public parking services across Dubai, including:
- On-street and off-street parking
- Seasonal parking subscriptions
- Parking permits and reservation services
According to Parkin’s customer advisory, overnight parking between 1am and 6am will continue to remain free, with no parking tariff applied during those hours.
Salik Toll Charges to Increase
A 5% VAT will also be introduced on all Salik toll gate crossings and Salik tag activation fees. The updated tax-inclusive charges will be automatically deducted from customers’ prepaid Salik accounts through the electronic toll system.
Dubai to Introduce Fully Cashless Parking Payments
In line with Dubai’s smart city and digital transformation plans, cash payments at physical parking meters will be discontinued from June 1, 2026. Drivers will no longer be able to use coins or paper currency to pay for parking.
Motorists can instead use a range of convenient digital and card-based payment methods, including:
UAE Reduces Legal Adulthood Age to 18
A significant legal reform will take effect under Federal Decree-Law No. 25 of 2025. From June 1, the UAE’s age of majority will officially reduced from 21 to 18 under the new Civil Transactions Law.
Key Changes Under the New Law
- Full legal rights at 18: Individuals will gain complete legal capacity once they turn 18.
- Greater financial control: Young adults can independently manage finances, sign legal agreements, and operate bank accounts without guardian supervision.
- Protection measures remain: Existing legal safeguards will continue to protect young adults from financial misuse or exploitation.
UAE Introduces Stricter Salary Payment Deadlines Under WPS
The Ministry of Human Resources and Emiratisation (MOHRE) is strengthening enforcement of Wage Protection System (WPS) regulations to ensure timely salary payments in the private sector.
Beginning June 1, 2026, employers must pay employee salaries for the previous month on the first day of the following month. For instance, salaries for May must transferred by June 1. Any payment made after the deadline will officially considered delayed under UAE labour regulations.
Key WPS Rules UAE Employers must follow
- Salary payments through approved systems: All employee wages must transferred via the Wage Protection System (WPS) or other payment channels approved by MOHRE.
- Gradual enforcement measures: Employers will not receive the highest penalties immediately after missing a payment deadline. Instead, MOHRE will implement a phased enforcement system with escalating actions for continued delays.
- 85% salary compliance requirement: Companies will be considered compliant if at least 85% of total employee salaries are paid on time. An employee is legally regarded as paid if they receive 85% of their salary, provided any remaining deductions are properly documented and legally justified.