Reeves’ ‘exit tax’ plan branded “reckless and self-defeating” by leading wealth adviser

Chancellor Rachel Reeves’ reported plan to impose a 20% “exit tax” on the business assets of wealthy individuals leaving the UK has sparked a furious backlash from the financial sector, with critics warning it could drive away entrepreneurs and investors.

The proposed measure — described as a “settling-up charge” — would levy capital gains tax on the holdings of those relocating to low-tax jurisdictions. Treasury insiders reportedly believe it could raise around £2 billion in additional revenue.

But Nigel Green, CEO of deVere Group, one of the world’s largest independent financial advisory and asset management firms, called the proposal “reckless and self-defeating.”

“The government seems determined to make the UK an increasingly unattractive place for wealth creators,” Green said. “The introduction of an exit tax would accelerate the exodus of entrepreneurs, business owners and investors who already feel punished for their success.”