It’s official. Rishi Sunak is no longer Prime Minister of the United Kingdom. His long and winding road to Exit 10 has seemed inevitable since he took over from the economically disastrous, short-lived Liz Truss government in the autumn of 2022.
But Sunak, 44 – who was reportedly spotted riding his peloton off into the California sunset before results were announced – is more likely to be licking his lips at the future that awaits him than preparing for another five years in power. worried about what might happen in the year.
That’s because Sunak, who is technically richer than the King of England and was once an ambitious London banker, could be ready for some more generous benefits after a life of service.
Sunak’s millions
As Prime Minister, Sunak is entitled to a salary of £80,000, on top of his £91,346 salary as MP for Richmond and Northallerton. Tax records show he earned £139,000 ($177,000) from those positions last year.
His pay for leading the UK is minuscule compared to what he was accustomed to before entering politics, and even compared to other forms of income during his time in office. Sunak made nearly £1.8m in capital gains last year and paid a total of £500,000 in tax.
Sunak spent many years as a successful banker, first at Goldman Sachs, then earning an MBA before returning to the lucrative world of hedge funds.
According to analysis by efinancialcareers, Sunak is likely to have earned less than £100,000 in his first three years after graduating from university.
Sunak, who was in his 20s at hedge fund TCI from 2006 to 2009, shared £100m in a lucrative bet with colleagues during the onset of the global financial crisis. Became a multi-millionaire.
In 2007, the hedge fund actively invested in ABN Amro, forcing its sale to Royal Bank of Scotland (RBS), making a profit of £555.9 million. However, the acquisition left the Scottish bank saddled with debt, leading to a £45.5 billion government bailout.
While Sunak’s biggest fortune is likely to come when he eventually steps down as an MP, he can eventually look forward to several new avenues of income.
There is evidence that Sunak would be in high demand if he returned to finance after leaving politics.
Sunak’s former chancellor, George Osbourne, earned his fortune through city advisory roles at groups including Blackrock and Robey Warshaw, as well as his editorial job New millions of dollars. london evening standard newspaper.
Or he could take a lesson in caution from David Cameron. The man, who was prime minister between 2010 and 2016, has been in trouble for his role in collapsed financial group Greensill Capital.
Cameron reportedly received $10 million from Greensill to lobby the government on behalf of the company, but his spokesman disputed the figure.
speaking engagements
Possibly the easiest mileage for Sunak’s bank account since leaving office has been as he draws on his years of training as a public speaker.
Tony Blair, the ninth-longest-serving prime minister in history, hit a milestone when he retired when he reportedly received £1 million from his role in 2012. His Conservative successors have been keen to follow this trend.
In the year between resigning as prime minister and resigning as an MP, the erratic Boris Johnson made millions from extracurricular activities and settled into life after office.
Documents from May 2023 show that Johnson was paid about £3.5 million for speaking engagements after he left office. He also received a £510,000 advance on a book deal. Johnson’s predecessor Theresa May has also enjoyed speaking tours since resigning as prime minister in 2019.
family wealth
However, Sunak is unique among his contemporaries in that the Prime Minister will never have to work again.
According to the latest figures, Sunak and his wife Akshata Murty have a combined fortune of £651 million ($830 million). Sunday Times Rich Listmaking him richer than King Charles.
Much of that wealth comes from Murthy’s holdings in Infosys, the Indian information technology company co-founded by her billionaire father.
Muti’s wealth became a source of controversy during Sunak’s tenure as prime minister because her status as a “non-citizen” meant she was not subject to tax on income from foreign shares in Infosys. After the media storm, Muti vowed to pay British tax on the incident.
Sunak will remain an MP until he decides otherwise, like Boris Johnson or David Cameron before him.
But when he does leave, the man who led the Conservative Party to its worst defeat in almost two centuries will soon be absorbed by the multi-million-dollar corporate cushion shared by most of his former allies.
