LONDON (Bloomberg) — Bermuda-based Hiscox Plc, the third-biggest underwriter at Lloyd's of London, said more employees are requesting to transfer away from the UK, after the British government pledged to raise the highest tax rate on personal income to 50 percent.

"I'm staggered by the number of people within our own organisation who have come to see me not to ask to go to Bermuda, because we have very little opportunities there, but to go and work in America, mainland Europe, even France," said chief executive officer Bronek Masojada, speaking at the Association of British Insurers conference in London yesterday. "These aren't people at the top of my organisation."

Prime Minister Gordon Brown's government will raise the top rate of tax to 50 percent on incomes over £150,000 ($244,000) from next year to combat a budget deficit that it expects to be the highest since World War II. That will give the UK a higher top rate than the US, France, Spain, Italy, and Germany, according to KPMG, the accounting firm. Some of Hiscox's competitors are moving the whole company to locations with lower corporation tax. Beazley Group Plc, which sells professional liability and commercial property insurance, gained approval from the UK's Financial Services Authority yesterday to be purchased by Beazley Plc, a holding company that is tax resident in Ireland.

Brit Insurance Holdings Plc, the Lloyd's of London insurer that sponsors the Oval cricket ground, said last month it's "close to finalising proposals" to move its headquarters to the Netherlands. Both Beazley and Brit cited more stable tax regimes for their decision to move.

Hiscox moved its headquarters to Bermuda in 2006, joining fellow Lloyd's insurers Lancashire Holdings Ltd. and Catlin Group Ltd., which also list their headquarters as located in the territory.

"Not just insurance businesses, but many other businesses have left the UK because the government hasn't got the corporate fiscal regime right," Masojada said.

In the past decade, the UK insurance market lost customers to Bermuda, which writes as much reinsurance as London, as companies started catastrophe insurance units and moved their headquarters to take advantage of the territory's low taxes and regulation. Bermuda has about 67,000 residents and 1,480 insurance companies, or one insurer for every 45 people.

The main rate of corporation tax in the UK is 28 percent of profit, compared to zero in Bermuda. Bermuda levies no tax on dividends, capital gains or wealth. Ireland has a corporate tax rate of 12.5 percent. The Netherlands' rate is 25.5 percent.