Wealth managers serving ultra-high-net-worth clients are calling the UK's latest non-dom tax cap adjustments underwhelming—and frankly, mistimed. The Budget's revised approach? It's drawing skepticism from advisers who've spent years navigating offshore structures and residency planning for their clientele.

Here's the thing: the cap arrives after many affluent individuals already restructured their holdings or relocated entirely. One senior adviser put it bluntly—this feels reactive rather than strategic. The government's move might plug some leaks, but the ship has largely sailed for those who saw the writing on the wall months ago.

What's getting lost in policy discussions is how these shifts ripple through investment behavior. High-net-worth portfolios increasingly blend traditional assets with digital holdings, and tax uncertainty accelerates capital flight to jurisdictions with clearer frameworks. Some advisers note their clients are now weighing domicile decisions alongside crypto-friendly regulatory environments—a dual calculus that didn't exist a decade ago.

The sentiment among wealth management circles? This policy adjustment might capture headlines, but it won't reverse the exodus that's already underway. When tax reform lags behind market reality, even well-intentioned measures struggle to achieve their stated goals.