Letter: China and the UK — two accounts of capital flight

Last weekend you had two articles on capital flight from struggling economies: one on the UK (“Rich foreigners turn away from UK”, Report, June 22), and an op-ed on China (“China’s super-rich are eyeing the exit”, June 22), in which James Kynge explains the term “runxue” or “run-ology” — escaping China and taking your wealth with you.

Both pieces however were missing some important context. In the case of the UK, the attention-grabbing headline, it turns out, was based on “more than a dozen interviews” with clients — and their advisers. Exactly the people who stand to benefit from assets being shuffled around. If this scale is representative of the issue, then the next government need not worry. Scaremongering about the wealthy leaving the UK always overlooks the myriad advantages we enjoy living in this largely peaceful, safe, free society. As Philip Stephens points out (Opinion, June 22) the election will demonstrate Britain’s instinct for reversion to the centre once again.

China offers a helpful contrast. Society at large is probably “peaceful” yet substantial minorities are not “safe” — from the governing party itself. And even the wealthiest are clearly not “free”. What surprised me is that Kynge didn’t mention the ultimate “underground bank”, bitcoin, which is almost perfectly designed for runxue.

Faisal Sheikh
London W1, UK