Nik Storonsky, a FinTech magnate of the bank Revolut, is one of those who have left the UK for the UAE, joining the wealthy and working age.
As the budget deficit has increased, and the tax net has been drawn to more areas of income and wealth, thousands have left the UK in recent years.
According to regulatory filings, 41-year-old Russian citizen Storonsky has shifted his base to the UAE from the UK. A UK filing of his family office indicates that his relocation was effective a year ago.
Revolut is among the most valuable privately owned companies, which is believed to have a valuation of $45 billion.
Some analyses of figures compiled in recent months have revealed that the UAE has been the most popular destination among the rich people who have left the UK; the numbers are on the increase.
An examination of the number of directors of the company who are shifting their address this summer revealed that 3,790 directors had been reported to have changed their address compared to 2,712 directors during the same time of the year before.
The number of departing individuals includes Nassef Sawiris, the Egyptian tycoon; Shravin Bharti Mittal, the Indian businessman; John Fredriksen, the Norwegian-Cypriot shipping magnate; and Richard Gnodde, the South African-born vice president of Goldman Sachs.
Fredriksen, the owner of a Norwegian newspaper who had told the newspaper that Britain had “gone to hell,” was reported to be offering his £250 million ($332 million) Chelsea mansion, The Old Rectory, valued on the market.
The net worth of Storonsky nearly doubled to approximately $14 billion after the valuation of the London-based company increased when it announced the sale of secondary shares at a higher valuation last month. A Bloomberg index now makes him the 209th-richest person in the world.
This announcement is only a few weeks following Revolut’s introduction of a plan to expand to 30 markets by the end of the decade, a move that will eventually cost the fintech $13 billion in an attempt to reach 100 million users.
The Chief Executive has, however, insisted that the UK is a priority for the firm and he is keen on a full bank license in the country where Revolut is based, which has so far been a tedious process.
The exit of Storonsky is likely to bring forth new concerns about how the changes in taxation will affect the richest people in the country. He emigrated to the UK in his early career and is said to be a British citizen.
The Treasury has also justified its regime and termination of non-domiciled status for internationally committed residents. The Labor Party leadership has been under pressure to implement a wealth tax by the rank and file.
A Treasury spokesman reported that “The UK remains highly attractive. Our main capital gains tax rate is lower than any other G7 European country, and our new residence-based regime is simpler and more attractive than the previous one, while it also addresses tax system unfairness, so every long-term resident pays their taxes here.”
