UK Millionaire Population Drops to Two-Decade Low, Think Tank Reports

The number of millionaires in Britain has decreased to the lowest level recorded in two decades, according to a report by the Adam Smith Institute (ASI), a free-market think tank. The figures indicate there were 442,000 millionaires in the UK as of 2026, a 7 percent drop from 2024, marking the smallest millionaire population since the 2008 financial crisis.

The ASI report cites several factors contributing to this decline, including high current taxation, the threat of further tax increases such as a potential wealth tax, the abolition of the non-domicile tax regime, and a perceived hostile culture towards wealth creators. A fall in asset prices and a lower household savings rate also played a role.

This exodus of wealthy individuals is seen as detrimental to the country's economy. The report highlights that the top 1 percent of earners contribute 29 percent of income tax. It draws parallels with other European countries, such as France, Austria, and the Netherlands, which reportedly abandoned wealth taxes after experiencing significant outflows of millionaires.

Conservative business spokesman Andrew Griffith commented that a decline in millionaires is concerning because they contribute to the tax base, create jobs, and build businesses. He stated that when ambitious individuals choose to leave the country, it is a "shameful sign."

The report suggests that measures to reverse this trend should include the abolition of inheritance tax and cuts to capital gains tax. Mitchell Palmer of the ASI emphasized that the decrease in millionaires should serve as a warning, as each departing millionaire represents a loss of capital for British businesses, reduced international connections, and a weakened entrepreneurial spirit.

James Quarmby, a partner at law firm Stephenson Harwood, described the findings as a "matter of great concern," adding that this demographic is crucial for private sector businesses and, consequently, the nation's tax revenue.