UK sees 40% surge in tax contributions from wealthy amid rising high-net-worth exodus

Arabian Business

2 days ago

Wealthy individuals in the UK have seen their tax burden increase by nearly 40 per cent over the past four years, according to new analysis from investment migration advisory firm Astons.
The findings come amid a growing trend of high-net-worth individuals (HNWIs) exiting the country, spurred by tighter non-domicile tax rules and increasingly unfavourable fiscal policy.
In its latest analysis of HMRC tax receipt data, Astons reports that wealthy UK residents — defined by HMRC as individuals earning over GBP 200,000 annually or holding assets exceeding GBP 2 million — paid GBP 190 billion in tax during the 2023–24 fiscal year. That figure marks a 3.7 per cent rise from the previous year and a 39.8 per cent increase since 2019–20.
Of that total, GBP 69.9 billion was paid through PAYE income tax and GBP 32.9 billion via self-assessment, both categories reflecting a more than 61 per cent increase over the four-year period. Capital gains tax receipts reached GBP 9.5 billion, with inheritance and stamp duties contributing GBP 3.8 billion and GBP 2.9 billion, respectively.
The data further shows that wealthy individuals accounted for 88 per cent of all self-assessment income tax receipts collected by HMRC during the period, underlining the significant role HNWIs play in the UK's business and entrepreneurial ecosystem.
Astons notes that the increase in tax receipts coincides with sweeping reforms to the UK's non-domicile (non-dom) tax regime, which took effect in April 2025. Under the new rules, aimed at enhancing fairness and transparency, it is estimated that 10 per cent of non-doms have already left the UK as of June, despite a four-year transition period granted to new residents.
'This huge increase in tax being taken from the UK's wealthy population over the past few years goes a long way towards explaining why so many are choosing to leave,' said Alena Lesina, Citizenship and Residency Consultant at Astons.
'There are countries around the world that take a far more supportive and encouraging stance towards wealth creation, recognising the value that high-net-worth individuals bring through job creation, business investment, and wider economic contribution.'
Lesina cited Greece's Golden Visa as a standout alternative for wealthy individuals seeking more favourable tax treatment. The programme, which starts at a EUR 250,000 investment threshold, offers residency rights and includes a non-dom regime under which eligible participants can pay a flat annual tax of EUR 100,000 on global income, instead of standard progressive rates that can reach 45 per cent.
'Greek residency also comes with the added benefit of unrestricted travel across the Schengen Zone – a right UK nationals lost post-Brexit,' Lesina said. 'And uniquely, Greece does not require investors to live permanently in the country to maintain their Golden Visa status.'