The great wealth migration: How Dubai became the world's top millionaire magnet

Arabian Business

4 hours ago

In recent times, Dubai has seen sharp growth in the number of high-net-worth individuals (HNWIs) relocating to the country. The UAE has solidified its position as the top destination for millionaires, with an increasing inflow of wealthy individuals — more than any other country in the world.
In an exclusive interview with Arabian Business, Louis Harding, CEO of Betterhomes Dubai, said: 'Wealth is moving where it's treated best. Dubai's appeal to HNWIs lies in a rare combination: zero income tax, political stability, world-class infrastructure, and a strategic location within an 8-hour flight to two-thirds of the world's population. It's not just about escaping taxes — it's about building a secure, global life. The city now offers what few others can: capital preservation, mobility, and clarity in an uncertain world.'
According to a recent report by Betterhomes, the UAE emerged as the 14 th largest wealth market globally, housing 130,500 dollar millionaires, indicating a 98 per cent surge in the last decade.
The unprecedented migration represents a fundamental shift in global wealth patterns, driven by a complex interplay of economic policy, geopolitical uncertainty and the country's strategic positioning between the East and the West.
The scale of millionaire migration to Dubai is staggering, with numbers currently at a record high, surpassing previous records of 128,000 millionaires in 2024 and 120,000 in 2023. As part of this global movement, the UAE captures more than any other single destination, accounting for over 5 per cent of all millionaire revocations worldwide.
Recent data reveals that the millionaire migration numbers are expected to reach over 142,000 millionaires this year. Of this, Dubai stands to gain 7,100 new millionaires and $7.1 billion (AED 26 billion) in capital, nearly half the value of Dubai's total foreign direct investment (FDI) in 2024.
The numbers suggest that the trend is not necessarily a temporary phenomenon, but rather a structural shift in global wealth distribution.
'The shift is structural, not cyclical. The UAE saw a 98 per cent increase in millionaires over the last decade, reaching 130,500 HNWIs by the end of 2024. Dubai alone ranks as the fastest-growing hub for centi-millionaires ($100mn+) globally, ahead of Miami, Milan, and even Shenzhen. In contrast, legacy hubs like London and Paris are experiencing outflows due to rising tax pressures and political instability,' Harding explained.
The British exodus
The appeal of Dubai is more evident, particularly in the dramatic inflow of migration from the United Kingdom. Earlier this year, Arabian Business reported that Dubai and Abu Dhabi are set to see a rising number of HNWIs amid the ongoing exodus of wealthy individuals from the UK despite some steps toward softening the Labour government's highly controversial non-dom tax reforms.
'It appears there is some backpedalling on the UK government's attack on non-doms. However, the Labour Party's proposed changes to the non-dom tax regime, even with Rachel Reeves' apparent watering down, still risk driving high-net-worth individuals away from London,' said Karim A. Youssef, a leading arbitration lawyer and dispute resolution expert.
Britain is expected to see an unprecedented net loss of over 9,500 millionaires this year, second to only China worldwide, and more than double the 4,200 who left the country last year.
Nearly a thousand HNWIs from the UK are set to make Dubai their new home. With nearly 9,500 UK-based millionaires expected to leave the country this year, the UAE is fast becoming a prime destination for expats seeking new opportunities.
This exodus reflects broader concerns about the UK's evolving tax landscape and potential climate. Many wealthy Britons cite increasing wealth taxes, inheritance tax complications, and political uncertainty as primary drivers of their decision to relocate.
Dubai's appeal to this demographic extends beyond tax considerations to include factors such as weather, lifestyle, and business opportunities in emerging markets.
Aside from wealthy individuals, Dubai is also seeing an increasing number of Middle-class families from the UK relocating to the UAE. Industry experts attribute this shift to several factors, including the UK's recent introduction of VAT on private school fees, opportunities of remote work and Dubai's increasing status as a global hub.
In addition, Harding noted, 'The new wave includes not just legacy wealth but tech founders, crypto entrepreneurs, and global business leaders establishing family offices. They're not buying holiday homes – they're relocating teams, setting up businesses, and planting flags. It's a more entrepreneurial, mobile, and future-focused cohort, reshaping what wealth looks like in the region'
The Indian connection
India represents another significant source of millionaire migration to Dubai. According to a recent report by Driven Properties titled Global Millionaire Migration to the UAE 2025, the highest millionaire losses occurred in China, the UK and India.
Over 4,300 millionaires are expected to move from India this year, this reflects growing wealth creation in India and the traditional commercial ties between the two regions.
For Indian entrepreneurs and investors, Dubai offers several compelling advantages. The emirate serves as a natural hub for accessing African and Middle Eastern markets, while its robust financial infrastructure provides sophisticated wealth management services.
Central to Dubai's appeal is the UAE's Golden Visa programme, which has fundamentally altered the landscape for long-term residency. The Golden Visa is a long-term residence visa which enables foreign talent to live, work or study in the UAE while enjoying exclusive benefits.
The UAE's tax structure remains perhaps the most compelling factor driving millionaire migration. The country's Golden Visa comes with tax benefits that offering a compelling advantage for HNWIs.
The tax-free environment creates substantial wealth preservation opportunities. For HNWIs facing increasing tax burdens in their home countries, the UAE offers not just tax efficiency but also the ability to structure global investments and businesses through Dubai's sophisticated financial centre.
'Tax is just the starting point, not the full story. Dubai's low-tax regime opens the door, but what keeps HNWIs here is the ecosystem: personal safety, political neutrality, modern infrastructure, and a globally connected lifestyle. In short, Dubai offers both asset protection and quality of life — two things increasingly hard to find in the same place,' Harding said.
He also revealed that the influx is highly diverse. HNWIs are arriving from:
From EU nations as well (particularly from high-tax countries like Germany and France)
East Asia (e.g. Chinese and Vietnamese investors reacting to domestic policy and political uncertainty)
Turkey and Argentina (seeking refuge from currency and systemic volatility)
UK and US (as a strategic choice for wealth preservation and business growth)
Dubai's elite magnetism
While tax benefits capture headlines, the lifestyle and infrastructure improvements in Dubai has created a strong proposition for affluent families. Dubai's luxury lifestyle amenities are another reason for the magnetism.
The city offers world-class healthcare, international schooling options, and a cosmopolitan environment that appeals to global citizens. The safety factor is evident, Dubai consistently ranks among the world's safest cities, a crucial consideration for families with significant wealth.
Infrastructure investment have also paid dividends. Dubai International Airport serves as a global hub, while the city's business districts rival those of London, New York and Singapore in terms of facilities and connectivity.
Push and pull factors
The migration to Dubai reflects both 'push' and 'pull' factors operating globally. The report identifies key global 'push' factors influencing millionaire migration, including increasing wealth taxes, political instability, and tightening immigration policies. These are contrasted with Dubai's appeal as a tax-efficient, safe and globally connected lifestyle hub.
Push factors vary by region but include:
Increasing wealth and inheritance taxes in Europe
Political uncertainty in several major economies
Currency instability in emerging markets
Regulatory tightening in traditional financial centers
COVID-19 policy responses that restricted movement
Dubai's pull factors have evolved beyond the traditional tax haven model:
Strategic location between Europe, Asia, and Africa
Advanced digital infrastructure and smart city initiatives
Growing importance as a fintech and cryptocurrency hub
Expanding cultural and entertainment offerings
Government policies explicitly welcoming global talent
Economic impact and multiplier effect
The economic implications of this millionaire migration extends far beyond the individuals themselves. According to Henley & Partners, 20 per cent of HNWIs are entrepreneurs (rising to 60 per cent for centi-millionaires and billionaires). As a result, countries that attract HNWIs from other parts of the world might see benefits such as job creation and investment.
'This is no longer speculative money. We're seeing long-term, strategic capital flowing into legacy properties, branded residences, and high-quality developments. This wave of migration is turning Dubai's property market into a structural asset class, not just an investment cycle. If just 5 per cent of the projected 142,000 migrating millionaires in 2025 choose Dubai, that's a potential $7.1 billion in fresh liquidity — nearly half of Dubai's total FDI in 2024,' Harding explained.
These entrepreneurs often establish new businesses, invest in local markets, and create employment opportunities. The country's strategic focus on economic diversification benefits directly from this influx of business talent and capital.
Real estate markets provide the most visible impact. High-end property purchases by relocating millionaires have contributed to price appreciation in prime locations in Dubai.
'While preferences vary, demand is clearly concentrated in trophy assets and global-branded residences, developments that signal permanence and prestige. Think of locations like Jumeirah Bay Island, Palm Jumeirah, and Emirates Hills. Areas where land is finite, privacy is built-in, and pricing is being reset by global demand. These are not just homes; they're wealth anchors,' he revealed.
However, these effects ripple through luxury retail, private banking, legal services and family offices – creating entire ecosystems around wealth management.
Despite the clear momentum, the millionaire migration trend faces several potential obstacles. Global tax policy coordination efforts, such as the OECD's international tax initiatives, could potentially affect the tax advantages that currently drive much of this movement.
The UAE also addressed concerns about financial transparency and anti-money laundering measures. Recent regulatory enhancements, while necessary for international compliance, adds layers of complexity that some wealth migrants must navigate.
Cultural adaptation remains a consideration for some relocating families, particularly those from Western countries. While Dubai has evolved into a highly international city, differences in legal systems, business practices, and social norms require adjustment periods.
The sustainability of Dubai's millionaire magnetism depends on several factors. The city's continued economic diversification away from oil dependence strengthens its long-term appeal. Major initiatives in renewable energy, space, technology and artificial intelligence (AI) signal ambitions beyond traditional wealth management.
'This is a permanent shift. Dubai is no longer a pit stop for the wealthy, it's the finish line. As global volatility rises and traditional centres become harder to navigate, cities like Dubai that offer clarity, control, and capital security will define the next generation of wealth hubs. The real question isn't whether the millionaires are coming, it's how fast the city can build to meet the demand,' Harding concluded.