ZURICH: A UBS report released on Wednesday has predicted that, by 2028, Britain will likely see a decrease in the number of US dollar millionaires by nearly one in six, although their numbers are expected to rise in other countries including the United States and soar in Taiwan.
According to the UBS Global Wealth Report for 2024. The UK’s number of dollar millionaires is expected to drop by 17% to 2,542,464 in 2028 from last year’s 3,061,553. It also predicted a fall of 4% within Netherlands i.e. from 1,231,625 to reach at 1,179,328.
Paul Donovan said this shift away from Britain was partly because as at now it had “disproportionately high” figure being ranked number three with most millionaires.
“Actually what you’ve seen in UK over the last few years and else. Where is implications resulting from sanctions against Russia,” he told a news conference.
Donovan also noted that his country’s decision to give up its non-dom status had been associated with “a minor impact.”
According to him many globetrotting alien millionaires need currencies with low taxes.
Winkworth said separately on Wednesday there had been diminishing demand for high-value properties. Due both tax measures targeting wealthy individuals and an indirect proposal by new Labour government to tax private schools.
UBS predicts a growth of +16% towards USA’s total of dollar-based millionaire during this period reaching more than +14% Germany. While France is growing at +16%, Japan at +28%, Spain plus 12 % and Italy over which we foresee an increase of more than 9%.
Global wealth rises
In its report UBS said “wealth” meant financial assets’ worth combined with all assets owned by households minus their debts. It covered markets constituting about 92.2 percent worth global wealth according Swiss bank.
The study noted that in 2023 global wealth rose by 4.2 percent in dollar terms, after a fall of 3% in 2022.
According to the report, the number of millionaires worth over $1m will be higher in more than 50 markets out of 56. It should also be noticed that Taiwan is expected to have an increase plus about 47%. Which is driven by its most famous microchip industry.
UBS has been producing this survey for fifteen years and it has shown that Asia-Pacific region has seen the largest rise of almost 177%. Whereas Americas came next with almost 146% and Europe, Middle East & Africa. (EMEA) was the lowest with a growth rate of just 44%.
The sharpest debt increase happened also within Asia-Pacific region: since year 2008, total regional indebtedness grew by over 192%. EMEA’s debt burden only grew by less than one third and America’s did so slightly below five times.
