More than two in five wealthy investors have increased gifts to family members or are seriously considering doing so because of concerns about the forthcoming Budget, according to research from Wealth Club.
The survey of 506 clients, whose estimated average wealth was £3.15 million, found that gifting was the most common action being taken or considered ahead of the announcement.
Some 42% had already given more money to children and other relatives or were seriously considering increasing their gifts. Meanwhile, 30% were withdrawing money from pensions or considering doing so.
The findings show how speculation about potential tax changes is influencing decisions on investments, retirement savings and the transfer of wealth between generations.
Investors Sell Assets Ahead of Feared CGT Changes
Nearly a quarter of respondents — 24% — said they had already sold investments to avoid a possible increase in Capital Gains Tax. Those decisions came before reports that the Chancellor had ruled out a CGT rise in the Budget.
CGT increases were the most frequently cited tax concern, selected by 21% of respondents. Further changes to Inheritance Tax were the main worry for 20%, while 15% were most concerned about the tax treatment of pensions.
Overall, 63% said they were very concerned about higher taxes on savings, investments and wealth, with another 29% fairly concerned.
The research also found that 28% were investing more in tax-efficient investments or considering doing so. The same proportion were delaying investment and financial decisions until after the Budget.
A further 26% had sold or were considering selling investments and other assets, while 18% were holding more cash or considering increasing their cash holdings.
Tax Concerns Prompt Some to Consider Leaving the UK
One in six respondents, 16%, said they were considering moving abroad because of tax changes over recent years.
Another 16% had seriously considered relocating for tax purposes but said they were unlikely to proceed.
The research was conducted among Wealth Club clients during October 2026. Their estimated average wealth included homes, pensions, assets and investments, meaning the findings reflect the views of this client group rather than the wider UK population.
Alex Davies, Founder and CEO of Wealth Club, said:
“Our research shows just how much Budget uncertainty is affecting people’s financial decisions. More than two in five have already increased gifts to family or are seriously considering doing so, while 30% are taking money out of pensions or considering it.
“These are major decisions, with consequences that can last long after Budget day.
“The reports today that the Chancellor has ruled out a capital gains tax rise show the damage this uncertainty can cause. Nearly a quarter of those we surveyed have already sold investments to avoid an increase. Some will have brought forward tax bills and sold investments they would otherwise have kept, to beat a tax rise that now looks set never to happen.
“The constant speculation is damaging. People sell when they don’t need to, hold off investing when they otherwise would, and make decisions based on what the Chancellor might do rather than what makes financial sense. Our research shows 28% are delaying investment and financial decisions until after the Budget.
“There is also a warning for the Government in the 16% considering moving abroad because of tax changes over the last few years. People respond to higher taxes, and policies designed to raise more money can end up driving away the investment and wealth the economy needs.
“Investors don’t expect tax rules to stay the same forever. But they do need greater certainty. The Government needs to recognise that prolonged uncertainty damages confidence and holds back investment, even when the tax rises never happen.”
Sources
- Wealth Club: October 2026 survey of 506 clients and accompanying comments supplied in the press release.
- Reuters: reporting on the Chancellor’s decision against a Capital Gains Tax increase, citing The Times.