UK wealth industry pays £7.6bn in tax and generates one per cent of GDP

Elizabeth Fournier
THE UK’s wealth management industry generates an estimated one per cent of the country’s GDP and pays £7.6bn in tax every year, according to new research.

With more than £1.2 trillion in private client money under management, wealth management firms directly employ 124,000 people, research from the Scorpio Partnership showed yesterday – around 12.5 per cent of the entire financial services workforce.

A wealth management firm was defined as one working for clients with net investable assets of more than £100,000, with the total sector estimated to be involved in managing the financial affairs of nine per cent of the UK population.

More than £100m of the industry’s annual £36bn in revenues comes from the big four accountancy firms, the research found.

“This initiative ... clearly shows the important worth of wealth – both personal and corporate – to the wider future story for the UK economy,” said Andrew Fisher, chief executive at Towry.