❓WHAT HAPPENED: A record number of Britons left the United Kingdom in the year the incumbent Labour Party government was elected, driven by fears over tax hikes.
👤WHO WAS INVOLVED: British nationals, Prime Minister Sir Keir Starmer, Chancellor (Treasury Secretary) Rachel Reeves, and other officials.
📍WHEN & WHERE: The exodus occurred in the year ending December 2024, across the United Kingdom.
💬KEY QUOTE: “This was entirely predictable: when you tax something, you get less of it, and now people are voting with their feet.” – Shadow Business Secretary Andrew Griffith
🎯IMPACT: The exodus contributed to a significant drop in net immigration, although gross immigration remained incredibly high.
A newly revised report from the British Office for National Statistics (ONS) shows that a record 257,000 British citizens left the United Kingdom in the year to December 2024, more than triple the provisional estimate of 77,000. Between 2021 and 2024, around 992,000 British nationals emigrated, nearly three times previous projections. The ONS said the dramatic revision follows a shift from air passenger survey-based estimates to data drawn from National Insurance registrations.
The surge in departures coincides with rising concern over the tax policies of the ruling Labour Party, which returned to office after 14 years in opposition in July 2024. After the government abolished the “non-dom” tax regime in April 2024 and replaced it with a residence-based system, foreign income and assets came within the scope of British inheritance and income taxes, prompting high-net-worth foreign residents to leave.
Further tax increases are anticipated in the upcoming Budget, including higher National Insurance (Social Security) contributions. A possible so-called “exit tax” on people attempting to escape Labour has also been leaked to the press, likely motivating more people considering emigration to accelerate their plans.
Shadow Business Secretary Andrew Griffith described the trend as an “economic exodus,” saying people are “voting with their feet” in response to Labour’s policies. “This was entirely predictable: when you tax something, you get less of it, and now people are voting with their feet,” Griffith said.
The revised ONS figures show that net immigration, which peaked at 944,000 in the year to March 2023, has fallen largely due to British nationals leaving, although it still remains at historically high levels.
Separate assessments of global wealth flows suggest the United Kingdom is among the hardest-hit countries for millionaire departures, with forecasts projecting the loss of more than 16,000 high-net-worth individuals in 2025. Analysts say heavy inheritance and capital gains taxes have pushed wealthy residents toward lower-tax destinations, including the United Arab Emirates (UAE), the United States, and parts of southern Europe. London has been particularly affected. Recent private wealth analyses estimate the capital has lost more than 11,000 millionaires in the past year, causing it to drop out of the world’s five richest cities.
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