For many decades, high net-worth individuals (HNWIs) from around the world have turned to the United Kingdom (UK) to diversify their investments and secure long-term financial growth. It is easy to see why. The UK has diverse and robust financial markets, a substantial residential and commercial real estate sector, and an excellent infrastructure for developing UK wealth management strategies. If you are considering moving to the UK in 2024, 2025 or beyond, one of the primary considerations is which immigration route to choose. The UK’s Home Office offers various visa routes, which not only provide access to the UK’s economy but also offer pathways to residency.
Understanding the multiple visa routes to unlock UK investment opportunities for HNWIs
The UK has several visa routes to help foreign investors relocate and settle in the UK. Here are some of the most popular and proven immigration routes for HNWIs in the UK:
Self-sponsorship route
The UK’s Self-Sponsorship Route is increasingly popular with foreign wealthy individuals looking to capitalise on the UK’s economic prospects. This immigration option is an excellent choice for HNWIs who wish to invest and live in the UK without being tied to employment or sponsorship from a UK-based company. Under this route, applicants establish their own company in the UK, apply for a sponsor licence, and sponsor themselves to work and live in the UK. Crucially, this route offers a pathway to permanent residency after a period of continuous residence here.
Investor visa
Another well-known visa type is the Investor Visa (Tier 1), which, although it is no longer open to new applicants, allows existing holders who invested £2 million or more in UK assets to gain permanent residency.
Innovator founder visa
The Innovator Founder visa is the perfect option for HNWIs who want to set up a business and live in the UK. Applicants must have a new, innovative, and viable business idea and have this endorsed by an approved endorsing body. If approved, those on an Innovator Founder visa can enjoy accelerated settlement after just 3 years compared to the standard 5 years under most visas. You can also bring your partner and children with you on this route as your dependents.
UK Expansion Worker visa
If you already have a business presence overseas and wish to expand this into the UK, the Expansion Worker visa will allow you to do so. With this type of visa, you can come to the UK or send a member of your staff to the UK to set up a wholly-owned subsidiary or branch of your existing overseas business. You can then switch to a different type of visa, which will enable you to qualify for settlement in the UK.
These are just some of the visa routes that will enable you to benefit from UK investment opportunities by giving you the legal standing to establish a physical presence in the UK, access UK financial markets, and benefit from favourable tax laws.
How these visa options empower HNWIs to invest in UK assets and secure residency
The Self-Sponsored route UK and Innovator visa will both allow you to invest in businesses in the UK and allow you to diversify your investment portfolios by investing in UK assets ranging from stocks and bonds to real estate and private equity. You can benefit then from the stability and growth potential of the UK economy, which has long been a global hub for finance and commerce.
When it comes to securing residency, both of these routes provide a direct pathway to permanent settlement after a period of continuous residency (3 years for the Innovator Founder visa). Expansion Worker visa holders can switch to a different type of visa once they have established a presence in the UK, allowing them to gain permanent settlement.
Securing permanent UK residency offers several advantages, such as access to world-class healthcare, education, and an overall higher standard of living. For HNWIs, this is not only an opportunity to grow their wealth but also to ensure the future of their family in one of the most exciting and dynamic economies in the world.
Private equity and venture capital: Investment channels for wealthy individuals in the UK
UK private equity investment and venture capital provide excellent opportunities to generate significant returns. The UK’s private equity market has a long-standing reputation for enabling and facilitating large-scale investment in businesses of all types, scales, and levels of risk and reward.
The UK has a highly established infrastructure and plentiful expertise to enable private equity investors to acquire or invest in companies poised for rapid expansion. This is the same for venture capital specialists seeking to leverage the enormous potential of AI, biotechnology, and financial services investments. In fact, new AI start-ups represent 22% of all UK technology investment, raising £1.6bn in the first half of 2024 alone, marking what is expected to be a record-breaking year for investment in this rapidly growing area. By investing in UK-based start-ups, HNWIs can take advantage of the country’s innovation-friendly environment, which is backed up by its excellent universities, research institutions, and government initiatives.
Real estate investment for HNWIs in the UK’s lucrative property market
Real estate is a cornerstone of wealth accumulation for HNWIs. The UK, particularly cities such as London, Birmingham, Leeds, Liverpool and Manchester, offers many exciting residential and commercial property investment opportunities ranging from luxury residential properties to high-yield commercial investments.
London remains a hub of property investment for HNWIs who want to place their money in exclusive residential hotspots, including Islington, Kensington, Chelsea, and Mayfair. These properties not only provide valuable long-term investments but also luxury residences for HNWI investors. Additionally, there is growing interest in investing in warehousing, modular homes, office spaces, shopping centres, and mixed-use developments across major UK cities.
UK luxury asset management for HNWIs: Art, collectables, and high-value goods
For HNWIs who want to diversify their interests beyond business and property, the opportunities available from luxury assets, such as art, collectables, yachts, and luxury cars, are vast, especially in the UK. We have one of the most well-established and thriving markets for luxury goods in the world, being home to some of the world’s most prestigious auction houses (e.g. Sotheby’s), galleries, and luxury dealerships.
Art investment, in particular, has gained traction among HNWIs, with masterpieces from renowned artists being auctioned for millions. Indeed, Bill Gates is believed to have an art collection worth in excess of $127 Million, demonstrating that billionaires remain confident in the international art market. Investments in other high-value assets, such as classic cars and yachts, are also very popular in the UK, and they can yield substantial returns while providing investors with a luxury lifestyle.
To make the process of investing in luxury items, the UK has many luxury asset management firms providing tailored services to help HNWIs manage, preserve, and grow their collections. These firms offer expertise in areas such as valuation, storage, insurance, and sale, ensuring that these assets are well-managed and protected.
Tailored wealth management UK family office services for UHNWIs
As the financial portfolios of HNWIs grow in size, complexity, and risk, many use the services of family offices for help and tailored advice. The network of family offices based in the UK manages their financial affairs, including:
- Investment strategies
- Tax strategies
- Wealth preservation through legacy and estate planning
- Philanthropy
- Private Equity
- Venture capital
- Real estate
- Luxury assets
Final words
There are boundless UK investment opportunities for high-net-worth individuals, from private equity and venture capital to real estate and luxury assets. Immigration routes such as self-sponsorship and the Innovator Founder visa provide a gateway to the UK, enabling HNWIs to unlock the full potential of the UK economy while securing residency.
A Y & J Solicitors is a specialist immigration law firm with extensive experience with all types of visa applications. We have an in-depth understanding of immigration law and are professional and results-focused. For assistance with your visa application or any other UK immigration law concerns, please contact us on +44 20 7404 7933 or contact us today. We’re here to help!
