Many millionaires in London are now heading in the opposite direction, said the annual World’s Wealthiest Cities report by advisory firm Henley and Partners. According to the report, at least 11,300 dollar millionaires left London in 2024. The number of millionaires in the city now stands at 2,15,700 dollar, down from 2,27,000 in 2023.
Moreover, London saw a 12% decline in its millionaire population since 2014. Moscow, another city in the top 50, has experienced an even sharper drop of 25%.
Meanwhile, the San Francisco Bay Area saw a substantial 98% increase in the number of millionaires, whereas Singapore saw a significant 62% increase in its millionaire population. Paris witnessed a 5% surge in millionaire residents since 2014.
London: Where And Why Millionaires Are Relocating?
The migration of millionaires from London is driven by high taxes, lingering effects of the 2008 financial crisis and Brexit-related uncertainties.
AFP quoted Andrew Amoils, Head of Research at New World Wealth, as saying, “growing dominance of the US and Asia in the tech sector caused several wealthy tech entrepreneurs in the UK to reconsider their base. Moreover, Brexit has arguably had an exacerbating effect on this.”
He said the UK’s high capital gains tax and estate duty rates also discourage wealthy individuals and retirees from living there. Amoils also pointed out that the financial centres like Frankfurt and Dubai are gaining prominence in comparison to London Stock Exchange. London Stock Exchange is losing significance, now ranking 11th globally in terms of market capitalization.
Where Millionaires Are Relocating?
The Times reported that tax advisors are saying that some millionaires are relocating to countries like Portugal, Greece, Spain, the UAE, and Italy. Reason being the more favourable tax environments, including lower taxes or the option to pay a fixed annual fee to avoid them.
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