Business
Wealth tax warning for Burnham as capital exodus grows
Andy Burnham has been warned to rule out a wealth tax before he even reaches Downing Street, with one of the world’s largest independent financial advisory firms claiming that speculation alone is already driving capital, and the entrepreneurs who deploy it, out of Britain.
The warning from Nigel Green, chief executive of deVere Group, follows an interview in which Burnham, who replaces Sir Keir Starmer as Prime Minister on Monday, declined to rule out a levy on the assets of Britain’s wealthiest citizens. Speaking to Gary Lineker’s podcast, the incoming PM suggested people may eventually be asked for “a little more” and said fairness demanded difficult decisions ahead.
For business owners, the concern is less the tax itself than the uncertainty. “A wealth tax that has not been proposed is already doing damage,” Green said. “Money does not sit around waiting for legislation. It moves the moment a government signals it is willing to go there, and Mr Burnham just signalled it.
“He needs to put this to rest today, not let it hang over Britain for months while capital quietly heads for the door.”
The timing is awkward for a new administration promising stability. The UK lost an estimated 16,500 millionaires in 2025, one of the largest single-year outflows recorded anywhere in the world, and industry forecasts suggest that figure could double again in 2026 as the effects of the abolition of the non-dom regime continue to ripple through. Analysts had already warned that Britain faced the largest exodus of millionaires globally before the leadership change, and more recent research suggests the non-dom exodus is running far worse than forecast, putting billions in expected tax receipts at risk.
The competition is not standing still. The UAE, Switzerland and Italy have all positioned themselves as beneficiaries of Britain’s loss, actively courting the capital and talent that London once took for granted.
Green argues the precedents are not encouraging. “History has run this experiment more than once, and the result never changes,” he said. “France tried it and watched tens of thousands of its wealthiest residents leave before scrapping the policy. Sweden tried it and lost entrepreneurs and headquarters it never got back.
“Wealth is mobile in a way wages are not, and every government that has taxed it hard has ended up chasing capital that has already gone.”
The economic maths, he contends, rarely works as proponents assume. “A wealth tax reads well on a policy paper and collapses on contact with reality. Tax accumulated assets and the people holding them start planning their exit immediately. What follows is not new revenue for the Treasury. It’s a shrinking base of investment, jobs and philanthropy, all disproportionately reliant on the very people this tax would target.”
For the SME community, the second-order effects may matter most. Departing wealth takes with it the angel investment, family office backing and consumer spending that smaller firms depend on, and Green says the damage is already underway.
“Family offices are having relocation conversations this week that would not have happened a year ago. Entrepreneurs are asking advisers whether Britain is still worth building in. None of that needs a wealth tax to pass. It only needs the idea to stay alive.”
His conclusion is blunt: “Andy Burnham has a choice in his very first weeks as Prime Minister. Rule out a wealth tax now, or watch Britain’s record wealth exodus become his opening legacy.
“There’s no version of this where keeping the door open on a wealth tax helps Britain compete for capital. Every day it stays open, more of that capital walks through it.”
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The great wealth transfer could be over $100 trillion or $36 trillion
Robert Nicholas | Ojo Images | Getty Images
A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.
A new estimate for the great wealth transfer has sparked a debate over how many trillions of dollars will pass from baby boomers to their heirs, and how it will be spent and invested.
Last week, Visa Business and Economic Insights released a new projection for the great wealth transfer, estimating that $36 trillion in baby boomer wealth will be passed down to Gen X and millennials over the next 20 years. The figure is a fraction of the widely cited estimate from Cerulli Associates, which says $105 trillion will pass from older generations to heirs by 2048.
The more than $60 trillion gap between the two studies has raised new questions about the size and impact of the great wealth transfer. Some say it will be the largest in history, dramatically reshaping wealth management, charity and the global wealth landscape. Others say its impact will be far more limited and simply marks a continuation of long-term inheritance trends.
The dueling Visa and Cerulli numbers highlight just how important the estimates have become for wealth managers and other companies overhauling their businesses to prepare for the next generation of wealth.
Visa, as a credit card payments company, focuses its study on the amount of inherited wealth that will be spent by everyday American consumers. Cerulli, being a financial research firm, focuses its study on the total wealth being transferred, including the outsized share of fortunes being passed down by the ultra wealthy. While Cerulli focuses on all wealth transfers in coming decades, Visa looked only at transfers from baby boomers.
“We wanted to go through and inspect how much money will actually be spent,” said Wayne Best, chief economist at Visa. “A lot of people think about the $93 trillion or $124 trillion and think ‘All that money’s going to be available for spending; this is going to be incredible.’ That’s why we went through the kind of the step-by-step process.”
Visa’s process started with the total amount of wealth held by today’s baby boomers, which it put at about $93 trillion. The report then stripped out liabilities, which includes mortgage debt, of $5 trillion and subtracted the wealth of the top 1%, estimated at $28 trillion.
Best said the top 1%, or those with wealth of at least $12 million, approach money very differently from the rest of consumers. They spend a much smaller share of their wealth and they tend to buy different things.
“They don’t spend like the rest of us,” Best said. “They’re buying yachts and airplanes. It’s all great for the economy, but that’s not what the average person really thinks of. So we removed that top 1%, to put this more on a normal or level playing field.”
Visa then stripped out the retirement spending of baby boomers, which could be larger than expected. Because boomers are living longer and spending their wealth more than past generations, Visa estimates their retirement spending at $16 trillion. It also subtracted $8 trillion for charity and taxes.
In addition, Visa focused its analysis exclusively on the wealth being transferred from baby boomers over the next 20 years. Cerulli looked at transfers from all generations by 2048, which includes members of the older Silent Generation, as well as the younger Generation Xers, who are now between 46 and 61 years old.
After taking out the debt, the fortunes of the top 1%, retirement spending, taxes and charity, Visa estimates that boomers will pass on only $36 trillion of their $93 trillion in wealth.
Of that $36 trillion, they estimate that $28 trillion will go to savings and investments and $8 trillion will go to spending. The $8 trillion will be spent mainly on cars, homes, travel and retail.
“You know, $8 trillion in spending is nothing to sneeze at,” Best said.” It’s a significant amount of money. And it’s additive. But we wanted to put that in perspective because when you start throwing around trillions of dollars it can get confusing very quickly.”
Cerulli, by contrast, sought to estimate the total wealth being passed down by all wealth groups, of all ages, by 2048.
Chayce Horton, Cerulli’s associate director of wealth management, said the biggest impact of the great wealth transfer will be in wealth management, rather than consumer companies.
Half of the more than $100 trillion being passed down will be from high net worth or ultra-wealthy families, he said. The first transfers in the coming years will be to spouses, mainly women. Cerulli estimates that $4 trillion will go to spouses before being passed down to children and other family members.
“When you look at that demographic, on average, spouses are a couple years younger, and those spouses live a couple years longer,” Horton said.
Cerulli said it does factor in retirement spending, taxes and debt. It also estimates that about $18 trillion of $124 trillion in total transferrable wealth will go to charity — leaving a total of $106 trillion going to heirs and spouses.
Gen Xers will be the first recipients, followed by millennials and then Gen Z. Gen X will inherit $14 trillion in the next 10 years, but millennials will eventually inherit the most, estimated at $46 trillion in the next 25 years.
Horton said it would be a mistake for the wealth management industry or any company serving wealthy clients to discount the impact of the great wealth transfer and the acceleration of inherited wealth. He said that one of every four wealth management clients currently come from inherited wealth — second only to business owners and founders, and ahead of corporate executives.
“The focus of our report when we do this analysis is understanding where the wealth is today, and where that wealth will be moving tomorrow so the wealth and asset management industry can adapt,” Horton said. “Something that we continue to emphasize as an important consideration for the wealth management industry, is making sure that they have those relationships across spousal lines, as well as intergenerational lines.”
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Microsoft Patches a Record 570 Security Flaws in July as AI Accelerates the Pace of Vulnerability Discovery
Microsoft Patches a Record 570 Security Flaws in July as AI Accelerates the Pace of Vulnerability Discovery
Microsoft released software updates Tuesday to fix at least 570 security vulnerabilities across Windows and its other products, nearly tripling the number of flaws the company patched in last month’s already record-setting release, as the company points to artificial intelligence as a major driver behind the surging patch counts.
Nearly 60 of the vulnerabilities addressed in this month’s release earned a “critical” severity rating, meaning attackers could potentially exploit them to seize remote control of a Windows device with little or no action required from the user. Microsoft also patched three zero-day vulnerabilities as part of the release, including two flaws that were already being actively exploited before the fix became available.
Two of the zero-day vulnerabilities allow attackers to elevate their level of access on a compromised Windows system, joining roughly 250 other elevation-of-privilege flaws fixed this month. Among them are CVE-2026-56155, a bug affecting Active Directory Federation Services, and CVE-2026-56164, a vulnerability in Microsoft SharePoint. Separately, Microsoft addressed CVE-2026-50661, a security feature bypass affecting Windows BitLocker that could allow an attacker with physical access to a device to gain entry to encrypted data. Microsoft said that flaw had been publicly detailed but that the company was not aware of any active exploitation of it at the time of the patch’s release.
Microsoft has attributed the dramatic rise in disclosed vulnerabilities directly to artificial intelligence tools now being used to hunt for security flaws across its massive codebase. In a blog post published July 9, Microsoft Executive Vice President Pavan Davuluri wrote that users would begin noticing “a higher volume of security updates included in each security release” as AI-assisted discovery methods continue to mature. Davuluri explained that advances in AI are changing how quickly vulnerabilities can be found, allowing researchers to identify more issues across larger volumes of code than was previously possible using traditional manual review methods.
Among the vulnerabilities drawing particular attention from security researchers is CVE-2026-48561, a remote code execution flaw in Microsoft Copilot carrying a severity score of 9.6 out of a possible 10 on the Common Vulnerability Scoring System. Jack Bicer, director of vulnerability research at the cybersecurity firm Action1, flagged the bug as especially serious, noting that Microsoft has said an attacker could exploit it simply by hosting a malicious website capable of automatically sending crafted prompts to Copilot when a victim visits the site using Microsoft Edge on an Android device.
The same forces accelerating Microsoft’s ability to find and patch vulnerabilities are also making it easier for attackers to develop working exploits for known flaws more quickly. Microsoft has traditionally used an internal measure called the “exploitability index” to estimate how likely it is that a given vulnerability will be reliably exploited by attackers. But Satnam Narang, a senior staff research engineer at the cybersecurity firm Tenable, argued that Microsoft’s current approach to rating exploitability has not kept pace with how quickly AI tools can now generate working exploits. Narang pointed to this month’s SharePoint zero-day as an example, noting that Microsoft had initially rated it as “less likely” to be exploited, even though the flaw had already been added to the Cybersecurity and Infrastructure Security Agency’s Known Exploited Vulnerabilities list by July 1.
Narang cited internal research from Anthropic’s red team as evidence of how quickly the landscape has shifted, noting that the company’s Mythos Preview model was able to independently produce proof-of-concept exploits for 13 of 14 known vulnerabilities that Microsoft had rated as unlikely to be exploited. “What this means is that our way of looking at Patch Tuesday has changed, because the exploitability index is centered around humans, not AI tools, and as these tools continue to improve, defense needs to improve alongside it,” Narang said.
Microsoft is not alone in scaling up its patch cadence in response to AI-assisted vulnerability discovery. Chris Goettl, a security researcher at the IT management firm Ivanti, noted that several other major software makers have similarly increased how frequently they release security fixes. Adobe announced this week that it is shifting to a twice-monthly security bulletin schedule, publishing updates on the second and fourth Tuesday of each month, and specifically cited AI as a factor accelerating its own patch cycles. Goettl added that Cisco, Mozilla and Oracle have also increased the frequency of their security updates recently, while Google’s cumulative patch releases in June 2026 alone totaled more than 900 individual security fixes.
Security professionals recommend that organizations and individual users back up their systems and data before applying large batches of operating system updates. Given the unusually high volume of patches included in this month’s release, some experts suggested users consider waiting a few days before installing the updates, since large patch releases can occasionally introduce system stability issues alongside the security fixes they deliver. That risk appears to have grown alongside the dramatic increase in patch volume seen in recent months, as Microsoft and other vendors race to keep pace with AI-accelerated vulnerability discovery on both the defensive and offensive sides of the security landscape.
The record patch count adds to a broader industry conversation about how artificial intelligence is reshaping both cybersecurity research and the software development practices that produce the underlying code in the first place. While AI tools have proven effective at surfacing previously undiscovered flaws in massive, decades-old codebases that would be impossible for any single researcher to fully review manually, the same technology is simultaneously lowering the barrier for attackers to weaponize newly disclosed vulnerabilities, a dynamic that security researchers say is forcing companies like Microsoft to rethink how they prioritize and communicate risk to their customers going forward.
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