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The exodus of rich UK residents following final 12 months’s Finances has hit the marketplace for butlers, housekeepers and safety guards in London’s largest properties.
Most of the wealthy non-doms who left the UK after adjustments to the tax regime have saved their homes however not had full-time employees, in line with Caroline Baker, who supplies administration service for luxurious properties.
“They need a extra dial-up, dial-down resolution” with employees working solely when they’re in residence. A full family of employees prices between £100,000 and £300,000 a 12 months, she mentioned.
Baker added that the downsizing of full-time employees meant it was now “simpler to seek out good-quality, high-calibre candidates” who can begin instantly.
Debbie Salter, managing director of recruitment company Greycoat Lumleys, mentioned the non-dom adjustments adopted sanctions towards wealthy Russians after the full-scale invasion of Ukraine, which had beforehand damage the marketplace for home employees.
Salter mentioned Greycoat Lumleys, which provides housekeepers, butlers, chauffeurs, cooks and nannies, had acquired 14 per cent fewer requests to fill everlasting roles thus far this 12 months in contrast with the identical interval in 2024. She mentioned the company had about 300 open vacancies final month, down from 500 in 2021, however was now offering many extra non permanent employees for wealthy folks opening their UK homes for shorter spells.
“On the increased stage — the chiefs of employees, the home managers — there aren’t as many roles,” Salter mentioned.
Many rich people, equivalent to metal billionaire Lakshmi Mittal and Egyptian industrialist Nassef Sawiris, have both left the UK or are planning to due to the abolition of the non-dom regime, introduced by chancellor Rachel Reeves in October 2024. This allowed British residents who declared their everlasting dwelling as being abroad to keep away from paying UK tax on international earnings and beneficial properties.
Those that have determined to remain will see their worldwide property doubtlessly topic to UK inheritance tax at 40 per cent. The FT reported final month that the federal government was exploring reversing the IHT ingredient of the non-dom reforms, which got here into drive in April, to stem the circulation of individuals leaving the UK.
The exodus of non-doms was having combined results on different service industries that cater to the wealthy.
Kate Shand, chief govt of Take pleasure in Schooling, mentioned the corporate was now offering extra tutors to rich individuals who had moved overseas than earlier than.
Nonetheless, Norland, which supplies nannies to rich households, mentioned it had “not seen any affect” on its enterprise from non-doms leaving the UK.
The intense spot for the home employees business was Americans moving to the UK. Baker mentioned she had gone from having one US enquiry each 4 months to 1 per week.
“The non-doms have gone however the People are coming and they need to be embraced as a result of they do pay for good service and so they by no means haggle,” she mentioned.