New money makes its mark on UK
New research finds UK is a nation of self-made
millionaires
The wealthiest people in the UK are making their considerable
fortunes through a mix of entrepreneurship and hard work according
to new research released today. The Skandia Millionaire Monitor
Report, which surveyed over 500 millionaires based in the UK, found
that, inspired by British business heroes such as Alan Sugar,
Richard Branson and Peter Jones, nearly 70% of the high net worth
individuals made their fortunes from employment income, investments
or as the result of selling their business venture.
The research found that the influence of old money is less in
evidence, with only 14% of those surveyed saying their wealth comes
solely from inheritance income. Trusting luck to make a fortune
also appears to be a risky strategy, with just 4% of the sample
saying their wealth has come from winning the lottery or by
gambling. However, almost 15% of wealthy younger people acquired
their fortune through either winning it or through marriage - a
three times higher incidence than those aged over 50 years of
age.
Commenting on the findings, Jo Rimmer, Skandia, said: "The
results from this first round of the Skandia Millionaire Monitor
show that UK's wealthiest are controlling their future financial
security by working hard and investing wisely, not crossing their
fingers and hoping for the best."
The research also found that more than half of UK millionaires
are or could consider leaving the country to find a higher standard
of living. Only 44% are certain of remaining in the UK, while
around 8% are already planning to leave.
Taxation, perceived better living standards outside the UK and
the weather contribute two thirds of the rationale as to why UK
millionaires would consider a move abroad. Despite this, under 2%
of those considering a move abroad are thinking of a move to a tax
haven such as Switzerland or the Cayman Islands to reduce the
amount of tax they pay. Instead, for those millionaires considering
a move abroad, four countries alone account for almost 50% of
preferred destinations - France, US, Spain and Australia.
"Our survey seems to indicate that the UK's wealthiest really
are saving for a rainy day and will seriously consider moving to
sunnier climes if storm clouds gather in either economic or
meteorological terms," says Jo Rimmer.
Skandia UK and Fairbairn Private Bank are both members of
the Old Mutual Group, a leading international long-term savings
group with £303.1 billion of funds under management (31 March
2011).