The rich have done very well indeed in recent years. Their wealth increased 31 times more than the bottom 99% between 2010 and 2021, with nearly a quarter of all UK wealth going to the top 1%. Their rise comes from a combination of high asset prices, ultra-low interest rates and quantitative easing (QE) and the fact that they can invest their income into further wealth. The poorer 99% are not in a position to do this.
Breaking into the uk top 1% by income is not easy. It requires not just a very high salary but also a good deal of financial planning, and embedding good financial habits. Many of the top earners also supplement their salaries with partnership and dividend income, which are taxed at a lower rate. Moreover, some of them have the benefit of inheritance and of owning business assets that bring in further income. Find out theinvestorscentre.co.uk
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But raw statistics can be misleading. The real figure that counts is net worth, which means how much you would have if you sold everything you own. This is not the same as income, but it does take debt into account. The latest figures, from 2020, show that the average net worth of people in the uk top 1% is PS4,400,000.
The richest 1% of UK earners take home around 13% to 14% of all income. This is a significant slice of the pie, but it is also a fluid group – it is estimated that a quarter of those in this year’s top 1% won’t be there next. It is not easy for any organisation (political or third sector) to reach this group with arguments that will appeal to them.…