The number of Britons paid more than £1million a year has increased to 18,700, with over a third of these living in London, research shows.

One in ten live in the borough of Kensington and Chelsea, with 7 per cent in Westminster and 4 per cent in Wandsworth, south London, according to the latest figures available from 2015-16.

The report by law firm Wilsons found that the number of millionaires in the UK rose from 15,000 in 2014-15.

One in ten Britons paid more than £1million a year live in the borough of Kensington and Chelsea (pictured), with 7 per cent in Westminster and 4 per cent in Wandsworth

It added that many of the top earners were foreign business executives, investors or so-called non-doms.

Tim Fullerlove, a partner at Wilsons, warned there was a ‘danger’ that overseas investors could be put off from settling in the country if visa rules are tightened after the UK leaves the EU next March.

He added: ‘London is still an attractive prospect for the wealthy, but a more welcoming culture in UK policies could help to retain its appeal.’