142,000 Millionaires Fled Their Countries in 2025. Here's Where They Went — And Why Andorra Should Be on the List

In 2025, a record 142,000 millionaires changed countries. Not for holidays. Permanently. They packed up their families, their businesses, their capital, and their tax residency — and they left.

That’s from the Henley Private Wealth Migration Report, the most widely cited dataset on global wealth flows, tracking millionaire movements since 2013. The 2025 figure shattered the previous record of 134,000 set in 2024. Projections for 2026 climb to 165,000.

The pattern is unmistakable: high-tax countries are bleeding wealth. Low-tax countries are absorbing it. And one small European nation — sitting between France and Spain, with 0% wealth tax and a maximum 10% income tax — barely appears in the conversation.

That’s Andorra. And the oversight is remarkable.

Who’s Losing: The Numbers Are Brutal

United Kingdom: -16,500 millionaires — the largest single-country exodus ever recorded. The trigger: the abolition of the 200-year-old non-domiciled tax regime in April 2025. After the change, all UK residents face worldwide taxation — income tax up to 45%, plus a new inheritance tax regime that follows you for up to 10 years after leaving. Applications for alternative residence programs surged 183% in Q1 2025. The new Andorra-UK double taxation treaty, which entered into force in January 2026, has made Andorra a viable destination for British entrepreneurs for the first time.

China: -7,800 — still losing wealthy citizens, though the outflow has stabilised thanks to booming tech sectors.

India: -3,500 — a steady drain, with HNWIs diversifying into Singapore, Dubai, and Portugal.

France: -800 — Economy Minister Roland Lescure admitted in February 2026 that wealthy individuals can leave France “in about a week.” Despite abolishing the broad wealth tax in 2018, France’s combined burden still reaches 55.4% for high earners.

Spain: -500 — the country that ranks 34th out of 38 OECD nations in tax competitiveness keeps doubling down. Wealth tax made permanent. Solidarity surcharge on fortunes above €3 million. The message to entrepreneurs is clear, and they’re receiving it.

Germany: -400. South Korea: -1,200.

Who’s Winning: The Destinations

UAE: +9,800 — the world’s number one wealth magnet for the third consecutive year. Zero income tax, zero capital gains tax. However, recent geopolitical instability in the region and growing substance requirements have introduced new risk factors.

USA: +7,500 — economic dynamism offsets relatively high taxes.

Italy: +3,600 — its €200,000/year flat-tax regime for new residents is attracting Northern European HNWIs, though the doubling of the minimum in 2024 raised sustainability questions.

Switzerland: +2,800 — still the gold standard for wealth preservation. But entry costs are high: some cantons require minimum annual tax contributions exceeding €300,000.

Singapore: +2,500 — Asia’s wealth hub, favoured by Chinese and Indian HNWIs.

The Gap Nobody Is Talking About

Look at that destinations list. UAE, USA, Italy, Switzerland, Singapore. Now consider Andorra: maximum 10% income tax, 10% corporate tax, 0% dividends from Andorran companies, 0% wealth tax, 0% inheritance tax, 4.5% VAT — the lowest in Europe.

On pure tax metrics, Andorra competes with or beats every destination except the UAE. And unlike the UAE, Andorra offers European legal frameworks, genuine political stability, zero geopolitical risk, and a location 2 hours from Barcelona.

So why isn’t Andorra on the Henley radar? Three reasons: size (population 80,000), lack of investment migration marketing, and the fact that Andorra historically had few double taxation treaties. That last barrier is falling fast — Andorra now has DTAs with 17+ countries including Spain, France, Portugal, UAE, and the UK.

Tax Comparison: Andorra vs the Winners

Country	Max income tax	Corporate tax	Wealth tax	Inheritance tax
Andorra	10%	10%	0%	0%
UAE	0%	9%	0%	0%
Switzerland	22-40%	11.9-21.6%	0.1-1%	Varies
Italy (flat tax)	€200K lump sum	24%	0.76-1.06%	4-8%
Singapore	22%	17%	0%	0%
UK	45%	25%	0%	40%
Spain	47-54%	25%	0.2-3.5%	7.65-34%

Safety, Stability, Quality of Life

Andorra has one of the lowest crime rates in the world. No terrorism risk. A parliamentary co-principality stable for over 700 years. Universal healthcare ranked among Europe’s best. Three free public education systems (Catalan, French, Spanish). Clean mountain air, skiing in winter, hiking in summer. A community where children walk to school safely — something money cannot buy in Dubai, London, or Singapore.

Who Should Consider the Move?

Business owners with location-independent income. A company generating €150,000 in profit pays €15,000 in total tax in Andorra versus roughly €60,000+ in Spain. The comparison is dramatic.

High-income freelancers and consultants. If you earn €80,000+ and your work is digital, Andorra’s freelancer regime saves €15,000-20,000 annually compared to Spain or France.

Investors and portfolio holders. Zero wealth tax means your assets don’t erode. Zero inheritance tax means generational transfers happen without a 7-34% haircut.

UK non-dom refugees. The new Andorra-UK DTA makes the Principality a credible European alternative to the UAE or Switzerland.

Those considering Spain’s Beckham Law. The Beckham Law offers 24% for just 6 years — then rates jump to 47%. Andorra’s 10% is permanent.

Residency in 2026

Following the Omnibus 2 Law of January 2026:

Active residency (entrepreneurs, professionals): Own ≥34% of an Andorran company, deposit €50,000 with the AFA (non-refundable), spend 183+ days/year. Processing: 2-4 months.

Passive residency (investors, retirees): Invest minimum €1,000,000 in Andorran assets, deposit €50,000 AFA plus €12,000 per dependent, spend 90+ days/year. Processing: 3-6 months.

Tax rates unchanged: 10% max IRPF, 10% IS, 4.5% IGI. CASS social security at ~22% covers healthcare and pension.

The Exit Matters Too

For anyone relocating from Spain, the exit tax on unrealised capital gains is a critical consideration. For those leaving the UK, the new 10-year inheritance tax “tail” means planning ahead is essential. Professional guidance on the departure side is as important as the arrival side.

What the Data Shows

The Henley report projects 165,000 millionaire relocations in 2026 — another record. The trend is accelerating. Every new wealth tax extension, every solidarity surcharge, every bracket left unindexed pushes another cohort toward the exit.

Andorra, despite its size, offers stability, simplicity, and competitive taxation. The question isn’t whether Andorra is competitive. The data shows clearly that it is. The question is how long it remains Europe’s best-kept fiscal secret.

Calculate your exact tax comparison between Andorra and your current country with our free calculator.

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This article is for informational purposes only and does not constitute tax, legal, or financial advice. Always consult a qualified professional before making residency or financial decisions.

Sources: Henley Private Wealth Migration Report 2025, New World Wealth, UBS Billionaire Ambitions Report 2025, Tax Foundation ITCI 2025, Govern d’Andorra, Omnibus 2 Law (January 2026).