Because of the refugee crisis and growing religious conflicts, many millionaires are currently leaving the big European cities. Switzerland is still among the `safe harbors` where the super-rich wants to live: it has open doors for tax refugees.
It is always a bad sign for a country if the millionaires want to leave. They are usually the first to leave the sinking ship when economic or political crises occur – simply because they have the money and means to relocate. Usually, they are the first to recognize the trend and to take necessary measures to keep their wealth and family safe.
A particularly strong exodus of super rich is currently especially experienced in France. The latest “New World Wealth” Report has the figures.
In France, in 2015, approximately 10,000 “High Net Worth Individuals” – HNWI, people with at least 1 million dollars in bankable assets – left the country.
Of that alone 7000 Millionaires left Paris to relocate to a different city. Also, particularly hit hard by the “Millionaire Escape” was Italy with a decrease of 6,000 millionaires. Of this, again 5000 alone from Rome. In Greece are now living 3000 super rich less (Athens has a minus of 2000). Also, Spain (minus 2000) suffered a big squeeze on millionaires. But where are they going? What country can still offer all the comfort and amenities HNWI’s are looking for and still can provide safe cities?
500 More Millionaires in Switzerland in 2015
A lot of the Super-rich migrated to Australia, the USA, Canada and Israel. But in Switzerland, many more of them found a new home. According to the study author Andrew Amoils, in 2015 Switzerland enjoyed a net increase of 500 millionaires. “Most came from France and Italy,” says Amoils. Even “sun paradises” like Greece and Spain have lost quite some Millionaires to Switzerland.
A total of about 343,000 people with assets of more than USD 1 Million is currently in Switzerland. And this has a reason! Switzerland can give you every comfort you need. Safe cities, excellent health system, private schools, a lucrative tax regime for relocation and competent asset managing and protection tools.
Religious tensions scare the super-rich
The Millionaire exodus in France is quickly explained with the religious tensions between Christians and Muslims, especially in urban areas. They expect that this tension will increase in the coming years – “that will accelerate the migration of the rich accordingly” it says in the report. Negative effects of religious conflicts to the rich are also expected in Belgium, Germany, and Sweden.
In Greece, the migration is accelerated not only because of the poor economic situation but also due to the refugee crisis.
More unemployed, fewer taxes
The crisis-ridden southern European countries are suffering particularly when wealthy citizens go. The already high unemployment rate could be even higher because millionaires often are entrepreneurs and are responsible for many jobs. Or like in France they pay considerably more taxes than the rest of the population and carry most of the countries tax load – The outflow of high liquidity also means that tax revenues fall. Also, the global rich are generous consumers who keep the local economy going. Are you also tired that your local government rips you off with outrageous and unfair tax regimes? Or do you fear that the unstable economy and political situation in your country will endanger your wealth and your family?
Contact us now: Enzo Caputo, Senior Swiss banking lawyer with more than 20 years of experience and a global network of contacts will advise you on relocation possibilities to Switzerland and what asset protection tools you can use to be as safe as possible.
Find out more
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