Considerable expansion of tech industry start-ups in the North
Michael Shimmin, chairman at Fedelta, says the young wealthy entrepreneurs have a completely different outlook to wealth preservation.
What tech sectors have generated most private wealth in the UK in the past year?
There has been a tech revolution in all sectors in the UK, with ‘Silicon Roundabout’ at Old Street in London being a good example of how a business hub develops. However it would be a mistake to think that this investment is restricted to the South and there has been considerable expansion of tech industry start-ups in the North.
This new era of certainty provides a healthy environment for business investment going forward, and with probably the lowest level of tax in the G7, levels of investment are likely to rise and a lot of this will be from overseas.
Did the industry have to reshape itself around new type of clients, i.e. young wealthy entrepreneurs in the gaming industry?
The young wealthy entrepreneurs that are being created have a completely different outlook to wealth preservation, possibly because they create so much wealth so quickly. As a result of this in the Isle of Man we have seen a significant increase in the use of Foundations, which have a dual purpose of preserving wealth for family, and also being used for philanthropic purposes where the sums involved are in excess of what the family might reasonably need to live a comfortable, but not excessively ostentatious lifestyle.