Approximately 6,000 proprietors of rapidly expanding enterprises have departed the UK over the past two years, propelled by alterations to Britain’s fiscal framework and anxieties concerning economic competitiveness, as studies have unveiled.
The wealth management firm, Rathbones, ascertained that among the entrepreneurs who have relocated from the UK, the largest proportion are engaged in the technology sector. This conclusion stemmed from their examination of Companies House submissions between January 2024 and 2026.
The United Arab Emirates emerged as the primary draw for individuals departing the UK, with Spain and then the US following, Rathbones reported.
This investigation coincides with the Financial Times’ yearly bonus poll, which revealed that 40% of participants contemplated exiting the UK due to elevated individual tax burdens, notwithstanding their anticipation of a substantial bonus period.
These exits transpired after extensive fiscal reforms across the UK, which impacted numerous affluent persons. These reforms included a stricter succession duty framework for enterprise proprietors, increased capital appreciation levies, and the discontinuation of non-domiciled status.
Nevertheless, even as Chancellor Rachel Reeves curtailed the volume of succession duty exemptions available to businesses upon transfer, she concurrently simplified the process for UK citizens to circumvent succession tax should they reside outside the UK for a minimum of a decade.
Michelle White, Rathbones’ head of private office, commented: “The global movement of enterprise proprietors and affluence generators is persistently gaining momentum, and these discoveries reveal a distinct change in the preferred location for UK businesspeople to establish their operations.”
“We are engaging with a growing number of people and households — especially younger enterprise proprietors — who are contemplating moving in pursuit of superior prospects, more advantageous fiscal climates, and a greater sense of confidence regarding enduring expansion potential.”
She cautioned that this pattern highlighted “the crucial need to guarantee our economy, avenues for talent, and taxation framework maintain global competitiveness.”
During the preceding two years, 3,182 enterprise proprietors arrived in the UK, yet this resulted in a net departure of 2,758 individuals from the nation, Rathbones stated.
Last year, the UK experienced a net emigration of 16,500 millionaires, which represented $91.8bn in capital available for investment, whereas regions like the US and UAE observed equivalent influxes, the wealth management firm further noted.
Ali Janoudi, a partner and head of new markets at Lombard Odier Group, articulated that Dubai, alongside other territories, has been “swiftly gaining ground” on the UK as a central point for business founders.
“Business founders possess a global perspective and are progressively migratory; consequently, they instinctively seek the most effective, beneficial, and appealing territory from which to conduct their affairs,” he stated.
“Apart from fiscal efficacy, Dubai provides governmental steadiness, distinct regulations, and a commercial milieu fostering expansion . . . Concurrently, security, schooling, and general lifestyle standards are significant considerations.”
Eamon Shahir, co-founder of Taxd, a digital tax submission platform that offers fiscal counsel to individuals relocating from the UK to the UAE and other Gulf nations, noted a considerable surge of interest in moving to the Emirates, especially among business founders and younger British citizens.
“It’s apparent that in the UK, the government’s primary demographic is not enterprise proprietors,” he stated. “Conversely, in the UAE, considerable attention is paid to business founders. Upon arriving in Dubai [as an entrepreneur], one comprehends that the emphasis is on the individual. The government seeks accomplished individuals to establish ventures and has cultivated an environment conducive to this.”
David Little, a financial planning partner at the wealth management company Evelyn Partners, observed that during the last ten years, “a continuous flow of business founders and proprietors has traversed Heathrow en route to Dubai, Lisbon, Milan, or Miami, indicating a more widespread apprehension concerning the UK’s trajectory”.
He highlighted that while “modifications to the fiscal panorama play a role, the underlying reasons surpass mere taxation”.
“The British economy has encountered difficulties in recovering its impetus following the pandemic. Expansion has been sluggish, capital expenditure restrained, and output consistently stagnant; currently, this vulnerability appears to be pervading the employment sector.
“For enterprise proprietors, this transcends a simple macroeconomic worry: it influences recruitment choices, purchaser assurance, and the outlook for internal consumption. A weakening employment sector might alleviate salary demands temporarily, yet it also indicates an economy losing steam, presenting an unsettling environment for those undertaking ventures.”
Nevertheless, Nick Ritchie, a senior director and wealth planner at RBC Wealth Management, observed: “Numerous clients postpone moving intentions when confronted with the disruption of children’s schooling, leaving behind a social circle, and the transactional expenses of property dealings.
“However, for younger, ambitious enterprise proprietors, the situation can be distinct. Possessing fewer commitments, they frequently feel less bound to the UK and are considerably more inclined to proceed with a relocation, especially if their venture is asset-light, lacking personnel and established facilities within the UK.”