BDO’s Wealth Report 2026:
BDO’s Wealth Report 2026:
Tax instability driving two thirds of UK's ultra-wealthy to consider leaving, new research reveals
- 42% of UHNWIs prioritise tax consistency in relocation, just 18% cite ‘lowest tax rate’
- 48% still only researching and most haven't yet taken concrete steps
Two-thirds of the UK's ultra-wealthy have considered leaving the UK country for tax reasons in the past year, new research from BDO reveals. Yet the driving force for those considering relocation is not the rate of tax they pay, but the relentless cycle of policy change and uncertainty they face.
When asked what tax policies would attract them to relocate, only 18% of wealth creators cited 'lowest tax rates' as the most important factor. By contrast, 42% prioritised 'certainty and consistency in taxes' or 'stable government' – more than double those seeking minimal taxation.
Notably, 42% of those surveyed explicitly described paying tax as 'a social responsibility to be paid in full'. For most, the issue is not the burden of tax itself, but the difficulty of constantly planning around a system that keeps shifting - what the report describes as 'change fatigue'."
The findings are based on surveys of 200 ultra-high net worth individuals (UHNWs) - defined as those with £20 million in investible assets or £50 million in total assets, or the spouse or child of such individuals.
Elsa Littlewood, Tax Partner at BDO, comments: "In recent years, the wealthy have had to face constant changes to tax rules and our research identifies this instability is wearing people down. For many, the final straw came when the government started making big changes to inheritance tax and hinting at further changes to Capital Gains Tax."
"The overriding sense the research provides is that many of the wealthy considering leaving the UK would rather not relocate, but living with that instability is forcing them to consider their options. They lack trust in how UK tax will apply over the long timescales needed to manage intergenerational wealth and feel they're under constant pressure to pre-empt new demands."
Many still at the consideration stage
Highlighting the reluctance to relocate despite the challenging policy conditions, the report reveals that the gap between consideration and action remains wide. 25% of respondents who considered leaving stated they only "briefly considered" relocation and 48% said they are currently just "researching options" – still a considerable step away from the huge social, financial and familial upheaval that a genuine relocation involves.
Indeed, relocation forces difficult conversations about where each family member wants to live, it impacts on education and elderly relatives, and whether families can genuinely function as a unit in other locations. Indeed, relocation is identified in the research as a significant source of disagreement within ultra-wealthy families.
Littlewood cautions: "It's important not to underestimate the work required for relocation success. Ties back to the UK can keep people entangled in the UK tax net. Estate planning is complex and may involve multiple Wills. It requires extensive family dialogue and expert support."
The most successful relocations documented in the research involved families who invested significant time in individual conversations with each family member, tailored planning to different needs and jurisdictions, and achieved genuine consensus before taking concrete steps.
A fixable problem with significant upside
Despite the concerning statistics, the research highlights that the UK's position is recoverable – through clearer long-term tax policy communication and a reduced speculation cycle – with the potential to not only retain existing wealth but attract new inward wealth to the country.
Littlewood concludes: "The UK's ultra-wealthy aren't asking for tax cuts – they're asking for predictability. While many are weighing their options abroad, the UK remains attractive for reasons beyond taxation. If the government provides clearer long-term tax roadmaps and reduces the political theatre around fiscal policy, most would choose to stay. That stability could also draw more international wealth to the UK.
"The benefits are tangible: maximising high-net-worth contributors strengthens the tax base, funds public services, and drives economic growth – outcomes that serve everyone."
The research shows the UK still offers compelling fundamentals that UHNWs value: rule of law, world-class education, cultural richness and a deep pool of talent and entrepreneurial spirit. With the right policy framework, these advantages could position the UK as the destination of choice for global wealth, reversing outflows and generating substantial new tax revenues.
‘WealthAnalysis: A psychosocial study of trust in the lives of the wealthy’ is available to download now.
ENDS
Note to editors
BDO surveyed 200 UHNWs between 2nd and 25th September 2025, defined as individuals with £20 million in investible assets or £50 million in total assets, or the spouse or child of such individuals.
All had a connection to the UK through residence or family. BDO also surveyed 100 advisers, equally divided between law firms, private banks, family offices/fiduciaries and private client tax teams at accounting firms.
BDO UK operates in 17 offices across the UK, employing 8,000 people. It has UK revenues of £1bn.
It provides Audit, Tax, Deals, and Consulting, Risk & Outsourcing services predominantly to the entrepreneurial, ambitious and growing mid-sized businesses that are driving growth in the UK economy. BDO calls this segment of the market the UK’s economic engine.
BDO LLP is the UK member firm of the BDO international network.
BDO’s global network
The BDO global network provides business advisory services in 169 countries and territories, with 95,000 people working out of 870 offices worldwide. It has revenues of US$11bn.
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