Latest news with #MikeStimpson
Wales Online
07-05-2025
- Business
- Wales Online
People are now supporting their parents, as well as their children
Our community members are treated to special offers, promotions and adverts from us and our partners. You can check out at any time. More info People in the UK are increasingly propping up multiple generations of their families, placing significant pressure on their own financial wellbeing, according to the latest Saltus Wealth Index Report. Saltus surveyed people with assets of £250,000 or more, and found a growing number are providing both downward and upward financial support, often at the expense of their own financial goals. Almost three quarters of High Net Worth (HNW) parents are providing financial support to adult children, two thirds are supporting their own ageing parents or grandparents and as many as one in eight are doing both. The findings mark the emergence of what Saltus is calling the 'bank of son and daughter' (BOSAD), where grown-up children are now supporting elderly parents, reversing the traditional flow of intergenerational support. This new trend comes on top of the well-documented 'bank of mum and dad' (BOMAD). The Report shows that while 42% of HNWIs are managing to fund the support through excess income, a third have had to sell or use investments and 18% have cut back on lifestyle spending. One in eight say they are sacrificing their pensions by either dipping into their pots or reducing their contributions. The top reasons for supporting adult children include house deposits (23%), car purchases (19%) and day-to-day bills (15%), while shopping (45%), utility bills (43%) and rent or mortgage payments (26%) are the most common ways HNWIs are helping their own parents. Medical expenses are also common. Almost one in five of those supporting family have gifted more than £10,000 in the past year (more than half of those, and 7% overall, have given more than £15,000) while the average sum gifted is £7,500. Mike Stimpson, Partner at wealth management firm Saltus, said: 'The data reveal a remarkable insight into how wealth is flowing through families. The traditional 'bank of mum and dad' model is now matched by a rising trend of adult children stepping in to support their parents as the 'bank of son and daughter'. 'This growing financial squeeze is changing priorities and prompting many to make personal sacrifices. The government is asking a lot of people who have worked hard to establish themselves. They are often key to funding business growth, providing seed capital and creating jobs - if they are forced to choose between supporting their families and investing in the future, there could be implications for the wider economy through reduced investment, pension saving and wider spending.'
North Wales Live
07-05-2025
- Business
- North Wales Live
People are now supporting their parents, as well as their children
People in the UK are increasingly propping up multiple generations of their families, placing significant pressure on their own financial wellbeing, according to the latest Saltus Wealth Index Report. Saltus surveyed people with assets of £250,000 or more, and found a growing number are providing both downward and upward financial support, often at the expense of their own financial goals. Almost three quarters of High Net Worth (HNW) parents are providing financial support to adult children, two thirds are supporting their own ageing parents or grandparents and as many as one in eight are doing both. The findings mark the emergence of what Saltus is calling the 'bank of son and daughter' (BOSAD), where grown-up children are now supporting elderly parents, reversing the traditional flow of intergenerational support. This new trend comes on top of the well-documented 'bank of mum and dad' (BOMAD). The Report shows that while 42% of HNWIs are managing to fund the support through excess income, a third have had to sell or use investments and 18% have cut back on lifestyle spending. One in eight say they are sacrificing their pensions by either dipping into their pots or reducing their contributions. The top reasons for supporting adult children include house deposits (23%), car purchases (19%) and day-to-day bills (15%), while shopping (45%), utility bills (43%) and rent or mortgage payments (26%) are the most common ways HNWIs are helping their own parents. Medical expenses are also common. Almost one in five of those supporting family have gifted more than £10,000 in the past year (more than half of those, and 7% overall, have given more than £15,000) while the average sum gifted is £7,500. Mike Stimpson, Partner at wealth management firm Saltus, said: 'The data reveal a remarkable insight into how wealth is flowing through families. The traditional 'bank of mum and dad' model is now matched by a rising trend of adult children stepping in to support their parents as the 'bank of son and daughter'. 'This growing financial squeeze is changing priorities and prompting many to make personal sacrifices. The government is asking a lot of people who have worked hard to establish themselves. They are often key to funding business growth, providing seed capital and creating jobs - if they are forced to choose between supporting their families and investing in the future, there could be implications for the wider economy through reduced investment, pension saving and wider spending.'
Telegraph
13-02-2025
- Business
- Telegraph
Ultra wealthy regret voting Labour as confidence plummets
The majority of rich people who backed Labour at the election now regret it, according to a new poll. Two thirds of high net worth individuals (HNWI) who voted for Sir Keir Starmer's party last July now wish they hadn't, a survey from wealth manager Saltus has found. Policies that have shattered faith in Labour include A poll of 2,000 people, each with more than £250,000 of investable assets, found confidence in the economy had plummeted among this group since the election. The percentage of wealthy individuals who are confident in the economy's prospects has plunged from 84pc in August, a month after Labour's election victory, to 48pc today – a record low. Mike Stimpson, a partner at Saltus, said: 'The extent to which the confidence of high net worth individuals has collapsed demonstrates a missed opportunity for the new Government, who had high levels of support when they came to power and drove the highest levels of HNWI confidence in the UK economy we have ever recorded. 'Confidence is a critical component in growth, and the fact that this vitally important group of people – the wealth creators, employers and investors in the businesses of tomorrow – feel that the UK economy is not on the right track is a cause for concern.' Labour campaigned hard to win over the wealthy at the last election, with promises not to raise key taxes and a vow to focus on economic growth. Sir Keir claimed his was 'the party of wealth creation' in Labour's manifesto. It paid off as donations flooded into Labour's coffers. Big backers include Gary Lubner, the former chief executive of Autoglass's parent company, who More than one third of the country's HNWIs eventually backed Labour, according to Saltus. Mr Stimpson said: 'It can be described as a protest vote. The Conservative party had really lost the confidence of many, but not all, high net worth individuals. The famous Liz Truss mini-Budget really was damaging.' However, optimism has 'disbanded at an absolute rate of knots' in the wake of the Chancellor's October Budget, which raised taxes by a record amount. The wealthy fear worse is to come: more than eight in 10 think the Government will increase taxes further in the coming year. They believe capital gains tax, income tax and inheritance tax are most likely to rise. As a result, High-profile exiles include The exodus of the wealthy has forced the Government to reverse course on a planned tightening of the non-dom tax regime. Rachel Reeves announced changes that will make it easier for non-doms to bring money instantly to the UK last month. Speaking at the World Economic Forum in Davos, Ms Reeves said the aim was to keep more wealth in Britain: 'We're always interested in hearing ideas for making our tax regime more attractive to talented entrepreneurs and business leaders from around the world to help create jobs and wealth in the UK.' A continued exodus of the wealthy would hammer the economy and the Chancellor's tax take. The top 1pc of earners currently pay almost 30pc of all income tax, so driving the rich out of Britain has a disproportionate impact on the public finances. One wealthy Labour supporter who does not regret voting for the party is Dale Vince, the green energy tycoon who gave £5m to the party ahead of the election. An Treasury spokesman said: 'At the Budget, we made the difficult decisions needed on tax to fix the foundations and increase investment in public services and the economy, to rebuild Britain and unlock long-term growth.'
