Chancellor’s Spring Statement does nothing to stem flow of HNWs out of UK

Chancellor Rachel Reeves’ Spring Statement on Wednesday will do nothing to stem the flow of job and wealth-creating high-net-worth individuals and families out of the UK.

The stark analysis from Nigel Green, CEO of deVere Group, one of the world’s largest independent financial advisory and asset management organizations, comes after Reeves delivered her fiscal update to parliament yesterday.

“Far from reversing course on punitive tax rises, such as the NI hike that was introduced in the Budget, which as a tax on jobs threatens to hollow out the UK’s economic dynamism, the Chancellor doubled down.

“The only honesty came in her admission that UK growth is on life support—projected to be just 0.2% in 2029. And we know how inaccurate projections of this nature can be. It appears that Britain is becoming an increasingly unattractive base for global citizens who have the means to choose otherwise.

“We saw a surge in enquiries in HNWI relocation after the Budget—and we fully expect another wave now.”

The UK’s tax burden is already on track to hit a record 37.7% of GDP by 2027-28. Worse still, the Office for Budget Responsibility warned that the Chancellor faces a 50-50 chance of needing to impose yet more tax hikes just to remain within her own fiscal rules.

“This isn’t speculation. It’s a forecast with consequences,” notes Nigel Green.

“The writing is on the wall. HNWIs are looking at the government’s agenda—capital gains, inheritance, pensions, employer contributions, and moves to abolish non-dom status albeit with a now a more generous phase out of tax benefits—and they’re making plans,” he explains.

“These are not idle threats. Many already own properties abroad. They are globally mobile and financially fluent. They are ready.”

Popular destinations such as Spain, Italy, Switzerland, Malta, Dubai, and Singapore are seeing a swell of interest from UK-based wealth holders. “And it’s not just about tax—it’s about clarity, consistency, and an environment that sees private capital as a force for growth, not a target.”

The scale of this movement is growing. Private client advisors, wealth managers and family offices across Europe and the Middle East are reporting a marked uptick in British HNWIs initiating relocation plans.

The UK has much to lose. “High-net-worth individuals contribute disproportionately to public revenue, both directly through taxes and indirectly through investment, innovation, job creation, and philanthropy.

“Their departure punches holes in government revenues and leaves gaps in capital formation. These losses are not easily replaced.

“This week’s announcement should have moved to repair Britain’s competitiveness, and to project a message to the world that the UK wants to lead in innovation, entrepreneurship, and private wealth creation.

“We can’t tax our way to prosperity. And we certainly can’t afford to lose the people who build it. Reeves missed an opportunity in the Spring Statement to fix some of her mistakes.

“As things stand, we expect the flow of HNWs out of the UK, where the economic forecast is grim and the political agenda punitive, will not slow—it will accelerate,” concludes Nigel Green.