Long-term approach paid off for family offices during recession

Campden FO: single family offices in the US and Europe were largely well prepared to ride out the financial crisis of 2008 and the subsequent difficult market environment, making very few strategic changes to their asset allocation.

That’s according to new research by American investment advisory firm Cambridge Associates, which surveyed 40 single family offices in the US and Europe in 2011.

Full story: http://www.campdenfo.com/article/long-term-approach-paid-family-offices-during-recession

India’s HNW wealth grows faster than global wealth

Campden FO: the amount of wealth held by high net worth individuals in India has increased faster than that held by rich people globally.

That is according to the India Wealth Report, released by Indian wealth management firm Karvy Private Wealth. It found that while the fortunes of HNW individuals internationally grew by around 9% during the year, money held by Indian rich increased by more than 11%.

This made India one of the fastest-growing HNW populations in the world, accounting for 1.2% of global wealth, said the report.

Full story: http://www.campdenfo.com/article/india-s-hnw-wealth-grows-faster-global-wealth

Super rich private jet company soars

BBC: despite the global economic turmoil, there is still demand for private jets. As part of the Super Rich series, Aaron Heslehurst spent the day with Thomas Flohr, who founded the private jet company Vistajet. With many of the super rich getting even wealthier, demand for a tailored jet service is on the increase.

Full story and video: http://www.bbc.co.uk/news/world-16694577

McGrigors and Pinsent Masons prepare to merge

The Lawyer: McGrigors and Pinsent Masons are preparing the ground for a potential merger in a deal that would make the combined firm the 12th largest in the UK by turnover. The firms today confirmed that they are holding merger talks, with partners due to vote on the deal by February.

Full story: http://www.thelawyer.com/revealed-mcgrigors-and-pinsent-masons-moot-%C2%A3282m-merger-%C2%A0/1010990.article

New case highlights need for review of inherited estates

A new case has highlighted the urgent need for a full review into the laws of inherited estates, says City law firm Wedlake Bell.

Wedlake Bell says that a recent ruling, in which the cohabiting partner of a deceased man was bypassed for inheritance of an estate worth potentially £750,000 in favour of their three year old son, highlights the need for reform of this area of law. (Wright v Gater, 2011)

For the full story see Wedlake Bell's web news at:

http://www.wedlakebell.com/index.php?option=com_flexicontent&view=items&cid=318%3Alatestnews&id=1940%3Anew-case-highlights-urgent-need-for-review-into-inherited-estates&Itemid=10

Nick Clegg is pushing for a new 'Mansion Tax'

Deputy Prime Minister Nick Clegg has said he will continue to push for a 'mansion tax' on high-value properties but warned that any progress on the tax will depend on "give and take" negotiations, having made clear he is fighting against stiff resistance from Conservative colleagues in the coalition government.

Full story from the Telegraph at http://www.telegraph.co.uk/news/politics/nick-clegg/9017478/Nick-Clegg-pushes-for-Mansion-Tax.html

LG partner Garnham quits firm for social networking

From The Lawyer website:

LG private client partner Caroline Garnham has left the firm to concentrate on the social networking site she dreamed up five years ago.

Garnham has been an equity partner at LG since 2006. Before that she was head of private capital at Simmons & Simmons but left as part of a four-lawyer team when Simmons axed the department (31 July 2006).

Garnham will now devote her time to her role as managing director of Family Bhive, a social networking site for ultra high net-worth individuals, of which LG is a member.

On the trail of the offshore tax dodgers

From the BBC News website:

The government's attempts to squeeze more money from offshore tax dodgers is being run from just about the most nondescript set of offices you could possibly imagine.

Based at the back of a tax advice centre in the middle of Birmingham, the Offshore Co-ordination Unit (OCU) is the latest measure of HM Revenue & Customs (HMRC) to tackle offshore tax evasion.

As the name of the OCU suggests, it will try to co-ordinate the Revenue's scrutiny of the extra information it is now receiving on UK taxpayers with money abroad.

That includes data generated by recent tax deals with the Liechtenstein and Swiss governments.

Full story at:
http://www.bbc.co.uk/news/business-16111639

£68m in revenue raised from foreign sports stars and entertainers in 2009/10

A U.K. tax on the earnings of foreign sports and entertainment figures working in the country, including two-time Wimbledon tennis champion Rafael Nadal, yielded 68 million pounds ($105 million) in 2009-2010.
The Foreign Entertainers Unit of Her Majesty’s Revenue & Customs collected 56 million pounds from the tax on endorsement income, appearance fees and revenue in 2008-2009, according to data obtained by Bloomberg News under a Freedom of Information Act request. That compared to 58 million pounds in 2007-2008.


Full story from Bloomberg at:

http://www.bloomberg.com/news/2011-11-25/u-k-tax-that-pushed-rafael-nadal-to-germany-brings-in-105-million-a-year.html

LONDON TOP EUROPEAN CITY FOR UHNWS

Campden FO is reporting:

London is the European city with the highest number of ultra-high net worth individuals, says a study by international private wealth network Wealth-X.

According to the research, 5,955 individuals with a net worth of more than $30 million (€22.4 million) live in London, equivalent to more than 50% of the UK’s 10,450 ultra-rich individuals.

Paris is the second most popular city in Europe with affluent people, the study also found. The Ville Lumiere is home to 2,820 ultra-wealthy individuals, less than half of London.

The research also found that UHNW individuals are more dispersed throughout Switzerland and Germany than they are in the UK and France.
Full story at:
http://www.campdenfo.com/article/london-top-european-city-uhnws

Hill Dickinson makes strategic appointment for Manchester private client team

Leading law firm, Hill Dickinson, has appointed Sean Williams as a partner in the private client team in Manchester. Sean joins the firm from Addleshaw Goddard, where he worked for 11 years; three years as a legal director.

Sean brings with him particular expertise in advising clients on ways in which to mitigate tax, provide for the vulnerable, and protect wealth through tax efficient wills and gifts. Sean also acts as professional executor or trustee and is an expert on all aspects of trust and estate administration including disputes over wills and probate. Sean also advises trustee service providers and has previously worked in-house on secondment with a trust corporation to better understand the requirements of this particular client group.

Full story at:
http://www.hilldickinson.com/news/news_articles-1/hill_dickinson_makes_strategic.aspx

Online access to Personal Tax records planned

The BBC is reporting:

Big changes to tax system planned

Every taxpayer may be given online access to their tax records, the government has suggested.

The idea is part of a public consultation on making the personal tax system easier to use and understand.

Other ideas include supplying pre-filled tax returns to people in the self-assessment system using information from employers and banks.

All taxpayers may be sent an annual tax statement in addition to their normal P60 form and PAYE tax code notice.

For full story see:

http://www.bbc.co.uk/news/business-15722698

HMRC targeting HSBC Swiss Accounts

The BBC is reporting that HMRC is targeting HSBC Swiss bank accounts. The UK tax authority is targeting 6,000 UK-based Swiss bank account holders who may not have declared all their income and gains.

The names are understood to come from a disc originally stolen from HSBC's Geneva office.

See the following link for full story:

http://www.bbc.co.uk/news/business-15292013

Is the tide turning for tax havens?

The BBC reports:

'Around the world, grassroots opposition to tax avoidance is on the rise. But a survey shows that all but two of the UK's biggest 100 companies have subsidiaries in tax havens, from the Cayman Islands to Singapore. So is big business out of step with public opinion?'

Continued at http://www.bbc.co.uk/news/magazine-15239196

Swiss deal tightens evasion net

Tax evasion net tightening after Swiss deal, reports BBC.

'The "net is tightening" on tax evaders from the UK following a deal struck with the Swiss authorities, an industry body has said.

More details have been released about the agreement in which undeclared money held by UK taxpayers in Swiss accounts will be taxed for the first time.

Concerns were raised that it offered an amnesty to some tax dodgers.

But the Chartered Institute of Taxation (CIOT) said lawbreakers could still be prosecuted.'

For full story visit:

http://www.bbc.co.uk/news/business-15215867

New targets set for HMRC

The BBC is reporting that an inquiry by a committee of MPs heard from accountants and taxpayers about how they thought HM Revenue and Customs (HMRC) seemed to be operating on "auto-pilot". See the link below for full story:

http://www.bbc.co.uk/news/business-14978052

Chancellor orders HMRC to check revenue stream from 50% rate of tax

BBC News website is reporting as follows:

Chancellor George Osborne has asked the Inland Revenue to check whether the 50p top rate of income tax is actually making money for the government.

Some economists have claimed that tax avoidance and evasion mean the rate is raising less income than expected.

Full story at: http://www.bbc.co.uk/news/business-14515518

Key reason for career moves is now pay, says CIPD

The prospect of better pay has overtaken job satisfaction as the main reason for moving to another job, a survey suggests.

Just over half of the 2,000 people surveyed by the Chartered Institute of Personnel and Development (CIPD) said a rise in wages and benefits was the key reason for changing employer.

In the same poll a year ago, job satisfaction was the main reason.

Full story from the BBC at http://www.bbc.co.uk/news/business-14307405

Pay freeze for 75% of workers reports CIPD

Only a quarter of workers in the UK have had a pay rise so far this year, the Chartered Institute for Personnel and Development (CIPD) has said.

Full story from the BBC at http://www.bbc.co.uk/news/business-14386032

EY Partner Andrew Tailby-Faulkes joins Barclays Wealth.

Barclays Wealth announced today the appointment of Andrew Tailby-Faulkes as a Managing Director within its Wealth Advisory business. Andrew will report to Rob Withecombe, Head of Wealth Advisory, when he joins in September, and will work closely with Jonathan Burt, Head of Key Clients, who oversees the Wealth Advisory proposition for Ultra-High Net Worth clients.

Andrew will focus on advising current clients and attracting new ones, with a remit including entrepreneurs, private business owners and family offices. The Wealth Advisory business helps clients where specific tax, trusts and insurance considerations are of particular importance, leveraging the relationship with Barclays Capital and Barclays Corporate where necessary.