High Earners Deserting UK
06 August 2012 (PLANSPONSOREurope.com) - UK plan sponsors may need to provide more compelling defined contribution pension plans as deVere Group research reveals an increasing number of wealthy Britons planning to move overseas amid concerns about high taxes and crime.
Nigel Green, chief executive of the deVere Group, says: “During the first six months of this year, our advisers in the UK have reported a significant hike in the numbers of high-net-worth individuals seeking advice on moving their funds out of Britain.
“Between January and the end of June, there was a 37% increase in enquiries from people with savings and investments worth more than £250,000 who are considering living abroad, compared to the same period in 2011.
“The vast majority of these people tell us that they want to maintain their lifestyle in retirement and protect their current level of wealth and that the most effective way to do this is to move themselves and their funds out of the UK to a jurisdiction where they will be taxed considerably less.”
“Wealthy Brits say they are looking to leave the UK as they believe crime and anti-social behaviour is soaring and they are seeking a higher quality of life in countries which boast a safe, family-orientated lifestyle.
“Of course, this year’s dismal weather has also been a contributing factor to the growing numbers of Brits thinking about quitting a rain-soaked Britain for a life in the sunshine.
“Against a backdrop of increasing taxes, a perceived social disorder, and yes, the weather, we’ve seen that high-net-worth individuals are increasingly likely to consider moving abroad and it is a trend which we fully expect to continue through 2012 and beyond.”