Some 59 per cent of high net worth individuals are considering moving abroad, a survey has revealed.
Arbuthnot Latham’s Financial Well Being Report found reduced tax was one of the top three incentives for the UK’s wealthiest to relocate.
The top reason for wanting to move was for an improved standard of living in retirement (36 per cent) followed by lower property costs (28 per cent).
The survey also revealed women were most concerned about quality-of-life post-retirement with 50 per cent citing that ‘maintaining their lifestyle later in life’ was their biggest financial stressor overall.
According to the research, male and female HNWIs are aligned on the priority lifestyle changes needed to save money for retirement.
However, across the board women seem to be more willing to make cutbacks than men.
The top five lifestyle changes HNWI are willing to make to save for retirement included reducing spending on luxury items, evenings out, holidays, car purchases and philanthropic giving.
More than half of women were more prepared to cut back on luxury items, a higher proportion than men.
Women were also more willing to sacrifice evenings out and holidays with the only area where more men preferred to cut back than women was on philanthropic giving.
Eren Osman, managing director of wealth management at Arbuthnot Latham, said: “One of the best pieces of advice you could give, or receive, is to start saving for retirement as soon as possible. This is one of the cornerstones of long-term financial wellbeing.
“The effect of compounding, assuming annual growth, means you have a better chance of exponentially growing your retirement pot over time if you start saving at an early age.
“This is even more important because those planning for their retirement in 2024 are reliant on what provisions they can make themselves. The state age of retirement keeps increasing and most people nearing retirement do so without the guaranteed income stream of a final salary pension.
“My message is clear, if you want a comfortable retirement, it is up to you. Do as much as you can, as early as you can.”
This comes after additional research from Arbuthnot Latham’s report found 81 per cent of HNWIs were stressed or worried about their finances.
Some 51 per cent of respondents were concerned about how they will maintain their lifestyles in later life.
While 39 per cent were worried about preserving the value of their investments in the current economic climate.
A quarter were also thinking about how to provide for their children and grandchildren.
alina.khan@ft.com
