Britain has been bleeding high-net-worth individuals (HNWIs) in recent years, losing more than 12,500 wealthy residents between 2017 and 2022 — most likely due to the weakening economy, a series of tax changes and political uncertainty.

A new report by MoneyTransfers.com, “Where are Millionaires Emigrating to? The Best Places to Accumulate and Hang onto Wealth”, suggests Australia, the UAE, Singapore, the US and Switzerland are benefiting the most from inflows of wealthy immigrants, who leverage increases in income after moving overseas, often owing to a change in tax rates, a fall in the cost of living and an increase in disposable income.

Australia has been the biggest drawcard for HNWIs over the past two decades, attracting about 82,000 from across the world, with another 5,200 expected to settle there this year.

In second place is the UAE, a cosmopolitan hotspot with a low crime rate, which does not levy income tax on individuals, is centrally located and offers a vibrant economy. It is projected to receive 4,500 millionaires this year.

Singapore is likely to draw 2,300 HNWIs, the US 2,100 and Switzerland, 1,800. Switzerland and Singapore are growing in popularity among migrating millionaires: Switzerland for its excellent health system, exclusive private schools and favourable tax regime, while business-friendly Singapore, popular with tech entrepreneurs, is appealing as a top wealth management centre in Asia.

For those wanting to accumulate wealth, the top five countries to move to are:

1. Switzerland: Offers some of the highest salaries in the world, with an average net monthly salary of 10,450 CHF ($11,815), according to the World Salaries database, which relies on government salary data, salary surveys and other sources such as job postings.
2. Saudi Arabia: Skilled expats are attracted to salary packages that typically offer housing, education and travel allowance, as well as generous healthcare insurance. The country does not tax personal income.
3. The United Arab Emirates: High salaries are a big drawcard, with the average salary in Dubai being 19,491 AED ($5,306).
4. Bahrain: Another country where expats benefit from the no income tax policy.
5. Hong Kong: Due to career progression, expats enjoy salary increases of as much as 41%, says MoneyTransfers.

Jonathan Merry, a travel expert at MoneyTransfers.com, says: “It seems that if you’re looking to accumulate wealth, the expat lifestyle pays off. Almost 75% of expats report an increase in their income after moving overseas, often owing to a change in tax rates, a fall in the cost of living or an increase in the amount of disposable income.”

In June, Arabian News reported that more millionaires will leave the United Kingdom than in Russia this year. Last year, 1,400 HNWIs emigrated due to Brexit restrictions and inheritance tax measures. Al Jazeera reported that more than a million people emigrated from Britain during the Covid-19 pandemic — a claim that has been called into question as researchers from the University of Oxford’s Migration Observatory caution there is great uncertainty in such estimates.

The World’s Top 10 Wealthiest Cities list, published in April by the international investment migration firm Henley & Partners and the global wealth intelligence firm New World Wealth, showed the US and China dominated the globe’s richest cities.

New York City has the lion’s share of the world’s wealthiest people, with 340,000 millionaires, while the San Francisco Bay Area and Los Angeles are in third and sixth places, with 285,000 and 205,400 HNWI residents, respectively. Johannesburg — at No 55 on the list — had 14,600 HNWIs: 30 centimillionaires and two billionaires; while Cape Town was No 65 on the list, with 7,200 HNWIs: 26 centimillionaires and just one billionaire.

Henley & Partners says it saw enquiries by South African investors shoot up by 66.8% between Q4 2022 and Q1 2023. The most popular programme South Africans asked about in 2023 was the Portugal Golden Residence Permit Programme (which received 28% of the enquiries), followed by Namibia’s Residence by Investment offering, which is entirely property-linked, Caribbean citizenship by investment options, particularly for St Kitts and Nevis, followed by the UK Innovator Programme and the Mauritius Residency by Investment Programme. DM