Around 10,000 billionaires are expected to flee the UK this year amid expected tax enforcement measures by the left-wing Labour government of Sir Keir Starmer.
The previous Conservative government of Rishi Sunak introduced the highest tax levy since the Second World War, mainly to repay debts incurred during the coronavirus lockdown, but Labour's autumn budget is widely expected to see the UK government squeeze even more cash, likely to include capital gains tax and inheritance tax.
be Report from London TimesBritish Invest.com, a company that helps wealthy people relocate overseas, said it saw a 69% increase in enquiries from wealthy people looking to leave the UK in August, the month after Starmer came to power.
Fellow research firm Henley & Partners predicts that a record 9,500 billionaires will leave Britain this year, more than any other country except Communist China.
The report said there was a net loss of 4,200 billionaires in the first five months of the year, and another 5,300 are expected to leave by the end of the year. Popular destinations for the wealthy and entrepreneurs include low-tax countries such as Dubai, Singapore and Switzerland.
The potential flight among progressives and investors is due to the looming tax hikes. Laffer Curve And then we will not be able to get the funds we had planned for the national treasury.
Sir Keir Starmer has said that “those with the broadest shoulders” should carry the heaviest burden, but the exodus of wealthy Britons could see Labour, supposedly the party of the working class, push back on middle-income tax to pay the price.
The government is already reportedly considering increasing so-called “sin taxes” on chocolate, cakes and crisps, as well as a tax on glass bottles – all of which would disproportionately affect the poorest in society who spend most of their income on food. This will be a further blow for those affected by Labour's planned cuts to winter fuel grants for pensioners.
Symbolizing the mood of the wealthy seeking exodus over expected tax hikes, Britain's most famous and wealthy plumber, Charlie Mullins, said at the weekend he was putting his £12 million riverside penthouse in London on the market with the aim of retreating overseas for good.
Busy To Telegraph Speaking at the weekend, the 71-year-old Pilmurico Plumbers founder said: “I want to have no assets in the UK. I have no investments or bank accounts here. It's all in the process now. I expect my last tax notice to arrive in January and then I'll be done.”
The well-known British entrepreneur, who made a profit of £145 million from the sale of his company in 2021, said his main motivation for selling his Thames-side property was to avoid an increase in inheritance tax.
“I'm selling the property because of inheritance tax. It's a £12 million property. If I lose £6 million I'll be a pauper. My family will go mad.”
