Industry Surveys

Almost Two-Thirds Of High-Earners May Leave The UK For Lower Taxes, Says Poll

Scott Meslow 30 November 2009

Almost Two-Thirds Of High-Earners May Leave The UK For Lower Taxes, Says Poll

Sixty-four per cent of the UK’s highest-earning citizens are contemplating moving to lower-tax jurisdictions to avoid the imminent 50 per cent tax rate, according to a poll conducted by international law firm Withers Worldwide.

The preferred destination among those polled was Switzerland by far, with 48 per cent of those who would leave indicating that they would consider vacating the UK to take up residence there. Behind Switzerland, the most popular choices were Monaco, with 14 per cent, the Channel Islands, with 13 per cent, and Hong Kong, with 11 per cent.

The poll was conducted earlier this month at three separate seminars hosted by Withers to discuss the impact of the 50 per cent tax rate. Over 150 financial advisors, including bankers, accountants, IFAs, and head-hunters, were surveyed.

“Although not intended to be scientific, this poll gives a clear indication of just how serious people are about leaving. Britain is in danger of alienating some of its most talented entrepreneurs and wealth creators. It is crucial at this stage that both the Government and the estimated 350,000 individuals affected by the new tax rules have a clear understanding of their impact,” said Sophie Dworetzsky, a Withers wealth planning partner.

The poll’s results highlight the deep resistance of the UK’s wealthiest to the forthcoming 50 per cent tax rate, which would apply only to those earning £150,000 ($246,115) or more each year.

Register for WealthBriefing today

Gain access to regular and exclusive research on the global wealth management sector along with the opportunity to attend industry events such as exclusive invites to Breakfast Briefings and Summits in the major wealth management centres and industry leading awards programmes