UK leads global wealth exodus as UAE and Saudi Arabia maintain wealth haven status -Henley & Partners

A record 142k m’naires are set to relocate internationally in 2025, with the UK expected to register a historic net outflow of 16.5k high-net-worth individuals (HNWIs) — the largest ever recorded globally, according to Henley & Partners’ latest Private Wealth Migration Report. This marks the first year the UK has overtaken China, which is forecast to lose 7.8k m’naires, as the top source of outbound wealth.

The biggest beneficiary? The UAE, which is expected to see a record inflow of 9.8k m’naires this year — over 2k more than the US in 2nd place — as it continues to lure people with its attractive tax regime and golden visa. The US is expected to see 7.5k join their ranks this year, and Switzerland will see 3k.

Saudi Arabia is also going to be popular, with some 2.4k m’naires expected to move this year. The Kingdom is attracting a growing pool of returning nationals and international investors, drawn by its economic transformation efforts and increasingly flexible residency programs.

What’s driving the WEXIT? The exodus of m’naires from the UK stems from a mix of post-Brexit disillusionment, prolonged economic stagnation, sweeping tax reforms — including steep hikes to capital gains and inheritance taxes — along with tighter rules on non-domiciled residents and family wealth structures. There’s now “a deepening perception among the wealthy that greater opportunity, freedom, and stability lie elsewhere,” in more investor-friendly jurisdictions, said Henley & Partners CEO Juerg Steffen.

Europe’s traditional wealth centers are also losing their luster, with France expecting to see a net loss of 800 m’naires this year, followed by Spain with 500 and Germany with 400 — in a shift bringing “significant” implications for their “economic competitiveness and investment appeal,” Steffen added.

The Gulf was already gaining ground last year: The UAE saw the second-fastest growth in USD m’naires globally in 2024, adding 13k new HNWIs — a 5.8% y-o-y rise, according to UBS’ Global Wealth Report 2025. That brought the UAE’s m’naire population to 240.3k with a total wealth of USD 785 bn, second in the region only to Saudi Arabia, which added 15k m’naires — a 4.8% increase — to reach 339k. UBS expects around USD 122 bn in generational wealth transfers to take place across the Gulf in the coming years.

Southern Europe is also pulling in affluent newcomers, with Italy forecast to gain 3.6k, Portugal 1.4k, and Greece 1.2k, thanks to a mix of investor-friendly tax regimes, golden visa programs, and lifestyle appeal in these countries compared to more traditional European financial heavyweights.

Elsewhere, traditional destinations such as Singapore, Australia, Canada, and New Zealand are on track for their weakest m’naire inflows in years. In contrast, rising hubs like Thailand, with an expected net inflow of 450 m’naires, Morocco with 100, and Montenegro with 150 are quietly gaining traction among wealthy migrants.

MARKETS THIS MORNING-

Asian markets are mostly in the green this morning, continuing their positive streak following news of the Iran-Israel ceasefire. Hong Kong’s Hang Seng led gains with a 0.66% rise, while Japan’s Nikkei was up 0.1% and South Korea’s Kospi inched up 0.3%. Over on Wall Street, futures are hovering near the flatline, after US Federal Reserve Chair Jerome Powell quashed hopes of a sooner-than-expected interest rate cut.

THE CLOSING BELL-

The ADX rose 2.5% yesterday on turnover of AED 2.1 bn. The index is up 4.0% YTD.

In the green: E7 Group PJSC Warrants (+14.5%), Phoenix Group (+14.3%) and Sharjah Cement and Industrial Development Co. (+11.6%).

In the red: Easy Lease Motorcycle Rental (-3.9%), Ghitha Holding (-1.5%) and Gulf Cement (-1.3%).

Over on the DFM, the index rose 3.4% on turnover of AED 1.2 bn. Meanwhile, Nasdaq Dubai was up 4.9%.

CORPORATE ACTIONS-

Al Mal Capital REIT to distribute 7.5% dividend yield: Al Mal Capital REIT will pay an interim dividend of AED 0.0375 per unit for 1H 2025, representing a 7.5% annualized yield, according to a press release (pdf). Investors must purchase units by 24 June to qualify.