HSBC Global Private Banking finds UK retains lure for global business owners
The UK remains one of the most attractive locations in the world for global entrepreneurs despite recent scrutiny of its position as a global financial wealth centre.
HSBC’s Global Entrepreneurial Wealth Report 2024 revels that ultra and high net worth entrepreneurs continue to want to live or move their personal wealth to the UK. The study found that the UK is a top-three global destination for wealthy business owners to move to and is as attractive as the US and Switzerland. The UK is also as popular a destination as the US, France or Singapore for business owners contemplating a transfer of some or all of their personal wealth.
The report also reveals that the UK’s entrepreneurs are optimistic that their personal wealth will grow in future. More than half (59 per cent) believe their personal wealth will get a lot better, higher than any other financial wealth centre in the report.
The survey also finds that business owners around the world live international lives, with 53 per cent living in more than one location over the course of a year. Some 73 per cent are looking to set up a business in a different market, 69 per cent are looking to move wealth abroad, and 55 per cent are considering setting up home in a different market.
Charles Boulton, Head of Private Banking, HSBC UK, said: “This wide-ranging research paints an intriguing portrait of today’s international business owners – and the global opportunities for them to house their wealth and business. It confirms what we are also hearing from our clients – that the UK remains one of the world’s most attractive places for high and ultra-high net worth entrepreneurs to live and work, not least because of its cultural diversity, trusted legal system and world class schools and universities.”
Other key finding from the Global Entrepreneurial Wealth Report are:
Global concerns: When asked to select their biggest global concerns, inflation came top after being selected by 31 per cent of entrepreneurs, followed by climate change at 24 per cent.
The importance of a network: 82 per cent agree it is essential to have a mentor, while 44 per cent agree that being a business owner can be lonely, and 31 per cent do not have a peer group for support.
Family succession is a headache: 81 per cent agree they trust the next generation to uphold their values in running the family firm, although 35 per cent worry about their children stepping up.
Pride and pressure of a family firm: 80 per cent of those who inherited the family firm agree they take pride in running the business, the 52 per cent say it’s stressful and 50 per cent agree it held them back from their own professional goals.
Regrets from ex-entrepreneurs: 58 per cent of former entrepreneurs agree that they wish they had more support to manage the exit of their business, while 30 per cent would like to have had a more realistic understanding of the business’s value.
Further information – Global Entrepreneurial Wealth Report 2024 | www.privatebanking.hsbc.com