More than half of British millionaires are likely to consider leaving the UK if a wealth tax is introduced, according to research.
The survey by investor migration consultancy Arton Capital, comprising 1,009 UK residents aged 18-70 with a net worth of at least £1mn, found 60 per cent believed they would have a better quality of life overseas.
Around 47 per cent of those surveyed who were Labour voters said they would be more likely to leave the UK if a wealth tax was to be introduced.
The top countries respondents wanted to relocate to included the US (35 per cent), Canada (33 per cent), Australia (25 per cent) and the UAE (17 per cent).
Some 82 per cent of respondents also said they would be interested in investing in a Golden Visa or Citizenship by Investment programme.
However, 66 per cent said they still viewed the UK as an attractive place to invest when compared to other countries.
Arman Arton, chief executive of Arton Capital, told FT Adviser chancellor Rachel Reeves had the challenge of balancing fiscal reform with capital flight risk.
“While the data suggests millionaires are keen to continue investing in Britain – even if they themselves leave – in the long run, the loss of entrepreneurship and human talent could be costly,” he warned.
Arton said the fact that 60 per cent of respondents believed they could access a better quality of life abroad was a “sharp reminder” that the trade-off between residency and investment was shifting.
“While the UK retains its draw as a globally significant financial hub, residency decisions for British HNWs are increasingly driven by lifestyle and security considerations.
With the US, Canada, and Australia topping relocation wish-lists, the appeal of English- speaking destinations is clear.
“However, the UAE’s emergence as the fourth most attractive country amongst those we surveyed cannot be overlooked,” he added.
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