UK Millionaire Numbers Plummet Amid Asset Price Falls and HNWI Departures
The number of millionaires in the UK has fallen to its lowest level since the 2008 financial crisis, according to an index tracker run by the Adam Smith Institute (ASI). The tracker shows that there are now 442,000 millionaires in the UK, down 7% from 2024. This decline is attributed to falling asset prices, high net-worth individuals leaving the UK, and a low household saving rate.
The ASI's tracker uses 'constant prices' to adjust for inflation and exchange rates. A constant-price sterling millionaire includes assets surpassing £1 million in total across various asset classes.
The Adam Smith Institute is calling on the government to make policy changes to attract high net-worth individuals back to the UK. They suggest abolishing inheritance tax, phasing out Capital Gains Tax, and reforming the non-doms tax regime.