Part 8/13:
Switzerland is also benefiting, with banks reporting increased interest in securities holdings and lump-sum tax arrangements for new residents. The trend echoes earlier migrations from Britain after London’s tax regime changes for non-domiciled residents. Italy, responding to its own fiscal challenges, plans to raise its flat tax regime for foreign residents by 50%, suggesting a broader continental drift of affluent wealth.
Many of these assets are not necessarily being transferred physically but are moved into financial vehicles—a strategic hedge against political risk. For France, this capital flight risks a double blow: it diminishes the domestic economy’s reliance on its wealthiest class and risks weakening the fiscal base needed for future reforms.