UK rich list has recorded the biggest drop in 37 years

TBA
May 19
5 min read

Updated: May 29

UK rich list has recorded the biggest drop in 37 years

According to the Sunday Times Rich List, the number of billionaires in the UK has seen the largest drop on record since the abolition of the non-domiciled (non-dom) tax status and the introduction of global taxation under Chancellor Rachel Reeves.

In this annual wealth ranking, the Hinduja family once again topped the list with assets exceeding £3.5 billion. Well-known figures including Elton John, Andrew Lloyd Webber, Lewis Hamilton, David and Victoria Beckham, and even King Charles III were all featured among the 350 wealthiest individuals and families in the UK.

However, the list also revealed that the number of UK billionaires has declined for the third consecutive year. The count dropped from 165 in 2024 to 156 in 2025 — the steepest annual decrease in the 37-year history of the list.

Robert Watts, compiler of the Rich List, noted: "We're seeing fewer billionaires, their combined wealth is also declining, and there are fewer global super-rich choosing to settle in the UK."

He added, "While interviewing wealthy individuals for the list, criticism of the UK Treasury was especially strong. We initially thought scrapping the non-dom status would mainly upset wealthy foreigners, but actually, young homegrown tech entrepreneurs and heads of centuries-old family businesses also warned that several tax reforms announced in last autumn’s budget could have serious consequences."

Notably, Akshata Murty, wife of former Prime Minister Rishi Sunak, was once a high-profile non-dom. The couple reappeared on the 2025 Rich List, but their wealth dropped from £65.1 million to £64 million due to falling Infosys shares amid tariff concerns — putting them on par with King Charles III, who also holds personal assets of £64 million.

Jim Ratcliffe, founder of chemicals giant Ineos and part-owner of Manchester United, saw his wealth shrink for the second year in a row, down by approximately £6 billion in 2025 to £17 billion, placing him seventh on the list.

Meanwhile, Russian-born brothers Igor and Dmitry Bukhman, developers of mobile games like Gardenscapes and Fishdom, nearly doubled their wealth to £12.5 billion.

The list highlights that technology and real estate remain key engines of wealth, while macroeconomic uncertainty and geopolitical tensions are reshaping the UK's financial landscape.

One in 10 people in Britain have zero savings

Data released last week by the UK's Financial Conduct Authority (FCA) shows that one in ten Britons has no cash savings at all for emergencies, and a further 21% have savings of less than £1,000, highlighting the financial vulnerability faced by millions.

In addition, nearly half of all adults have unsecured debt, with a median amount of £2,500. Among adults with defined contribution pensions, one-third have savings of less than £10,000, and 12% don’t even know how much is in their pension accounts.

Over the past two years, 1.6 million homeowners (around 3%) have received support from mortgage lenders or credit institutions to cope with repayment pressures.

These figures are significant reference points for the Bank of England and policymakers guiding the UK economy, indicating that the country is being hit by inflation, a cooling job market, and the threat of a global trade war triggered by U.S. President Trump’s new tariffs.

Sarah Pritchard, Executive Director of Consumers and Competition at the FCA, said: "The data shows many people are under serious financial strain, with some unable to save for a rainy day. We also found a lack of confidence in investing among the public."

In the past 12 months, only 8.6% of people have received financial advice on investments, pensions, or retirement planning. As of 2024, around 900,000 adults remain "unbanked" (without a bank account), although this is down from 1.1 million in 2022.

Rachael Griffin, tax and financial planning expert at investment firm Quilter, also noted: "This reflects a broader cultural trend — a general lack of confidence in investing, and a sense of confusion and lack of understanding when it comes to navigating financial markets."

The FCA stated that it is working to improve public access to financial services, guidance, and advice, aiming to help those under debt stress build a more resilient financial future.

Work permit applicants after 2020 may be affected by the new 10-year permanent residency rules

According to the immigration white paper released last week by UK Prime Minister Keir Starmer, new rules will extend the waiting period for work visa holders to obtain permanent residency, and these changes will apply to individuals already holding visas in the UK. The white paper states that under the new policy, immigrants will typically need 10 years before they can apply for Indefinite Leave to Remain (ILR) — double the current five-year requirement.

Previously, it was unclear whether this change would affect the approximately 1.5 million foreign workers who have moved to the UK since 2020. However, according to British media, a document to be released in the coming weeks will clarify that the government intends to apply the 10-year threshold to existing visa holders, not just new applicants.

That said, the policy document released last week notes that non-British family members of British citizens will still be eligible to apply for settlement under the current five-year rule. Additionally, individuals who can demonstrate significant contributions to the UK’s economy and society will continue to be eligible for faster settlement pathways.

Net migration to the UK (the difference between those entering and leaving the country) reached a record 906,000 in the 12 months to June 2023, with the total for the year at 728,000.

Prime Minister Keir Starmer stated that the new measures mean: “Settlement will be a privilege to be earned, not an automatic right. If you contribute to the UK, work, pay taxes, and help rebuild the country, you’ll find it easier to qualify for settlement.”

However, some Labour MPs have expressed concern over the possible retroactive application of the extended residency requirement to current residents — warning it could face legal challenges.

Florence Eshalomi, Chair of the Housing, Communities and Local Government Committee, noted in Parliament that the policy lacks clarity and that constituents have already voiced serious concerns. She mentioned that some individuals have even said they are considering leaving the UK, fearing their settlement status is now at risk.

In response, Home Secretary Yvette Cooper stated that the government will launch a public consultation and release more details later this year.