Millionaire headcount much depleted by crunch

The number of high-net worth individuals in the UK has diminished markedly over the past two years, as the deflationary effects of the credit crunch reduce asset prices.

Properties, stock holdings and bonuses have all been depleted since 2007, meaning that the number of millionaires in the country has halved.

According to the Centre for Economics and Business Research (cebr), just 242,000 people, including many private banking services clients, now have total assets worth over £1 million.

This is roughly the same number as was recorded by the group in 2003.

’The recession has had a big impact on the number of millionaires in the UK,’ cebr said in its report.

’[It] shows that membership of the millionaires club was only fleeting for many. The halving in the number of millionaires reflects the collapse in the property market, the fall in the values of shares and the 70 per cent drop in City bonuses.’

The Sunday Times recently reported that billionaire numbers have also been reduced by the crunch.

In its annual Rich List, it was revealed that just 43 Britons had assets worth over £1 billion - down from 75 the year before.ADNFCR-2318-ID-19190646-ADNFCR