London’s Millionaire Population Declines Amidst Global Wealth Trends

The bustling streets of London continue to whisper tales of affluence, but recent data reveals a notable shift in the city’s high-net-worth landscape.

According to the newest report from the World’s Wealthiest Cities in 2024, made by Henley & Partners and New World Wealth, around 227,000 millionaires live in London. While this figure might seem impressive, it positions London as the fifth-ranked city globally for its high-net-worth population. Topping the list are New York, San Francisco and the Bay Area, Tokyo, and Singapore, each boasting larger concentrations of millionaires.

Even though Paris, home to renowned figures like Bernard Arnault, ranks seventh globally and second in Europe with 165,000 liquid millionaires, it still trails behind London, particularly in total billionaires.

The allure of major global cities like London and Paris for high-net-worth individuals (HNWIs) is undeniable, given the wealth creation and management opportunities they offer. However, recent trends suggest that more than economic factors are at play in shaping the distribution of wealth.

London’s status as a magnet for foreign HNWIs has been on the decline since the Brexit referendum in 2016. Data from Henley & Partners indicates a significant net outflow of millionaires from the UK post-Brexit, signaling a shift in sentiment among this affluent demographic. Trevor Williams, who used to be the top economist at Lloyds Bank Commercial, said that because of Brexit-related rules like taking away the special tax status for wealthy foreigners, fewer rich people are interested in coming to the UK.

Further exacerbating this trend is the abrupt termination of the UK’s tier 1 investor visa program following Russia’s invasion of Ukraine. This move likely contributed to a surge in millionaire net outflows in 2022-3, with an estimated 5,000 individuals leaving the country.

London’s decline in millionaire population mirrors broader wealth dynamics seen across Europe. While 17 European cities made it to the global top 50, Dublin emerges as a standout with the fastest-growing millionaire population, while Moscow experiences a rapid decline in its high-net-worth demographic.

As London grapples with these shifts, the city’s status as a global financial hub faces evolving challenges. London’s Millionaire Population highlights the intricate interplay between economic policies, geopolitical events, and wealth migration trends.

Also read: U.S. Emerges as Top Destination for Millionaires and Billionaires