Nearly ten thousand millionaires are predicted to flee the jurisdiction of the United Kingdom this year amid expected tax raids from the left-wing Labour Party government of Sir Keir Starmer.
While the previous Tory government of Rishi Sunak ushered in the highest tax burden since the Second World War, in large part to pay for the debts accrued during the coronavirus lockdowns, it is widely predicted that the fall budget of the Labour government will see further money grabs by the British state, with likely targets including capital gains and inheritance taxes.
According to a report from The Times of London, a firm which helps wealthy people relocate abroad said that in August — the month after Prime Minsiter Starmer came to power — they had seen a 69 per cent increase in inquiries from wealthier people seeking to leave the UK.
Another similar company, Henley & Partners, estimated that a record 9,500 millionaires will likely leave Britain this year, the highest of any country besides Communist China.
It found a net loss of 4,200 millionaires in the first five months of the year — during which time Labour was widely predicted to come to power — and that a further 5,300 are expected to flee by the end of the year. Popular landing spots for the wealthy and entrepreneurs include low-tax destinations such as Dubai, Singapore, and Switzerland.
The likely flight among the innovative and investor classes has sparked concerns that the looming tax hikes may fall foul of the Laffer Curve and fail to raise the intended funds for the treasury.
While Sir Keir Starmer has said that those “with the broadest shoulders” should carry the heaviest load, an exodus of rich Britons could see Labour — supposedly the party of the working class — turn to even more taxes on middle earners to foot the bill.
The government is already reportedly considering raising so-called “sin taxes” on chocolate, cakes and crisps as well as a tax hike on glass bottles, all of which would disproportionately impact the poorest in society, who spend a greater proportion of their income on food. This would add insult to injury to those impacted by Labour’s planned cuts to winter fuel subsidies for pensioners.
Demonstrating the mood of the wealthy class about fleeing the country over expected tax hikes, Britain’s most famed and prosperous plumber, Charlie Mullins revealed over the weekend that he has put his £12 million riverfront penthouse in London up for sale as he seeks to completely divest form the country.
Speaking to The Telegraph over the weekend, the 71-year-old Pilmlico Plumbers founder said that he is seeking to have “no assets in the UK whatsoever… I’ll have no investments here, no bank account here. It’s all in the process now. I think my last tax bill is January and that’s me done.”
The prominent British entrepreneur, who netted £145 million from selling his company in 2021, said that the main motivation for selling his Thames-front property was to avoid the likely increases to inheritance tax.
“I’m selling my property because of the inheritance tax. It’s a £12m property – if I lose £6m, I’m brown bread. Family would go mad.”
