Executive Summary

Swiss wealth has grown from 1,400 to 3,600 billion francs over 25 years – an increase that significantly exceeds income growth. Economics professor Marius Brülhart documents in a new study that wealth grows annually by 3.9 percent, while income grows by only 2.6 percent. This divergence fuels political demands for new financing sources for the 13th AHV and defense spending – particularly through a progressive wealth tax at the federal level, as proposed by GLP National Councilor Patrick Hässig.

People

Topics

  • Wealth distribution and wealth tax
  • 13th AHV financing
  • Federal finances and revenue sources
  • Wealth concentration and inequality

Clarus Lead

Swiss wealth has grown exponentially faster than income – a phenomenon that is fueling new debates about progressive taxation. A study by economics professors from ETH Zurich and EPF Lausanne shows: In 25 years, inheritable wealth quintupled to 3,600 billion francs, while income rose by only 65 percent. The consequence is relevant for decision-makers: The Federal Government urgently needs new revenues for the 13th AHV and defense. GLP politician Patrick Hässig therefore proposes a wealth tax starting at 5 million francs – as an alternative to further value-added tax increases.

Detailed Summary

Wealth growth exceeds overall economic development by 50 percent. Lausanne economics professor Marius Brülhart demonstrates in a joint study with Swiss universities a marked divergence: while wealth has grown by an average of 3.9 percent per year since 2000, gross domestic product and thus income grew by only 2.6 percent. In absolute terms, this means a wealth explosion from 1,400 to 3,600 billion francs – a quintupling in 25 years.

The financing crisis of social insurance schemes is driving the debate. The Federal Government plans two value-added tax increases to cover the 13th AHV pension and additional defense spending: 0.8 percent for the military, 0.4 percent for the AHV. This traditional burden on consumers is facing resistance. Patrick Hässig, GLP National Councilor from Zurich, therefore proposes an alternative approach: a progressive wealth tax at the federal level with an exemption threshold of 5 million francs. "This is smart taxation," argues Hässig, which protects the middle class.

Broad support from unexpected sources. Interestingly, not only Greens and left-wing parties are calling for higher wealth taxes. Billionaire and Partners Group co-founder Alfred Gantner publicly supports progressive wealth taxation and diagnoses a globally problematic wealth concentration. Green National Councilor Manuela Weichelt also argues that the "extremely drastic" austerity package must be flanked by additional revenues. Brülhart himself considers a federal wealth tax worth considering – so far, wealth in Switzerland is only taxed at the cantonal level.

Key Points

  • Wealth inequality is growing: Wealth increased 50 percent faster than income over 25 years (3.9 vs. 2.6% per year).
  • New revenue source demanded: Greens and GLP propose progressive wealth tax starting at 5 million francs – instead of further value-added tax increases.
  • Unexpected alliances: Even billionaires like Alfred Gantner support progressive wealth taxation as a solution to wealth concentration.
  • Institutional gap: Switzerland taxes wealth only at the cantonal level, not at the federal level – a peculiarity among industrialized countries.

Critical Questions

  1. Data Quality: How does Brülhart's study define "inheritable wealth"? Are real estate, pension assets, and business assets included, and how are their valuations handled?

  2. Comparability: Why is the 3.9% growth rate compared to 2.6% GDP growth – are these comparable figures or does the analysis mix stock quantities with flow quantities?

  3. Incentive Effects: What emigration effects and tax avoidance reactions would a federal wealth tax trigger, and how is this weighed against tax revenues?

  4. Feasibility: How would a wealth tax starting at 5 million francs be administratively enforced if Swiss wealth is increasingly dispersed internationally?

  5. Alternative Financing: Why isn't a progressive income tax increase (as proposed by the Greens) detailed compared with a wealth tax?

  6. Realism of the Exemption: Does a 5-million-franc exemption truly protect the middle class, or does it also affect wealthy middle-class individuals with real estate holdings?

Bibliography

Primary Source: «Instead of Wage Increases: The Rich Should Pay for the 13th AHV» – Blick.ch, Céline Zahno

Verification Status: ✓ 2025

This text was created with the support of an AI model. Editorial responsibility: clarus.news | Fact-checking: 2025