The UK’s Economic Inequality Explained
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- Опубліковано 28 вер 2024
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Despite being one of the richest countries in Europe, the UK has some of the worst income inequality in the developed world. So, how unequal is the UK and can the government do anything about it?
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Could you make a video researching the contradiction between the UK's poverty and lower living-standards, while still being a prime destination for illegal migration? It seems weird to me that people would risk their life crossing the channel, only to end up in a worse economy than the countries they most likely had to cross to get there.
You seem to be being hammered by "investment" bots in the comments can you ban some of them?
Wealth inequality data is much less reliable than income inequality data because while an individual's income can be tracked by the government through tax payment, it is much harder to measure a person's wealth (it is not clear what counts and wealth and what doesn't) and some countries don't record the data on wealth.
Simply by changing poor tax choices, the UK can radically reduce income, wealth and regional inequalities and take a huge deadweight off our economy. Vested interests don;t want this discussed.
@@BenJamin-rt7ui can you expand on what specifically you mean?
It's funny that when he says "quite how poor the rest of the UK is" a clip from London is used. Even in London there's a huge divide in wealth and income
You can say that about any large town or city. Where do you draw the line. Chelsea is one of the most expensive areas of London but still has poor people.
Because London is England. Just London, that's it.
@@jamieakahenry i saiying economy does not matter. the economy made killed queen elizabeth and the uk collasped becasue of war in ukraine
MONEY DOES NOT DO FIX YOUR EVERYDAY JOB OR PAYING AT SCHOOL
@jamieakahenry in 2016, they got a massive shock. There's still life beyond London, 40 million people, whodathunk?
@@ganados0 and now those 40 million people are getting a massive shock as they realise that the people in London were right about how much of a cock up it was
I get TLDR is focused on short content but this seemed to just serve as a good introduction to the question of UK economic equality rather than actually explain it. I was hoping to see for example which professions/industries pay the most in the South East of the UK (e.g. Finance, Tech, Biotech etc.), concentration of foreign investment in certain industries and locations etc.
I agree, that would be very interesting. A more thorough look at the effect of government policies (and possible future policies) would interest me most.
I agree, this video was not about explaining UK economic inequality, just stating it and showing data that shows it
Exactly, the regional differences in the coast of living and other variables is not mentioned enough.
This is only UA-cam!
It's amazing to see that since the 80s when everything was privatised and taken out of public hands that the wealth/income inequalities really started to show and when thatcher said the banks would keep the UK afloat with no need for industry
Shame you can't eat that observation
NHS is public, happy the way it’s working ?
@@SK-vg3mw Given the fact that it's had 13 years being absolutely destroyed by the Tories and sabotaged, I'd say they are still holding their own. Imagine it under a government that actually cared
@SK-vg3mw Perhaps you should try traveling to the US and see how much better the NHS is compared to a privatized system, they spend the most per capita in the world on healthcare and end up having tens of millions of people with no insurance and many more that are underinsured and would go bankrupt if they were to get sick or get into an accident.
@@SK-vg3mw in 2010 it was one of the best healthcare providers. Then someone took the power, destroyed the nhs, got Brexshit done, and destroyed the pound.
Some economists have projected that both the U.S. and parts of Europe could slip into a recession for a portion of 2023. A global recession, defined as a contraction in annual global per capita income, is more rare because China and emerging markets often grow faster than more developed economies. Essentially the world economy is considered to be in recession if economic growth falls behind population growth.
My main concern now is how can we generate more revenue during quantitative times? I can't afford to see my savings crumble to dust.
It's a delicate season now, so you can do little or nothing on your own. Hence I’ll suggest you get yourself a financial expert that can provide you with valuable financial information and assistance
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My consultant is ‘’Catherine Morrison Evans’’ I found her on a CNBC interview where she was featured and reached out to her afterwards. She has since provide entry and exit points on the securities I focus on. You can look her up online if you care supervision. I basically follow her trade pattern and haven't regretted doing so.
Someone recently described the UK as Hungary with Singapore stuck on the bottom. We are almost definitely a poor eastern European country now
Hungary is a great country and Poland has a booming economy. Eastern European countries are well ahead in living standards than Uk.
@@marinamarley956Because of public ownership. That is the way forward.
Funnily enough I’ve just come back from the World Athletics in budapest this afternoon and no I can assure you they are still quite some way behind the UK. I talked to a lot of people there, especially taxi drivers and the average wage is about 1200- 1400 $ a month and inflations over 20%. Hungary is still well behind the UK economically.
@@liamb8644public ownership of what?
@@jackkruese4258 You jave to go out. Taxi drivers in Budapest are specific part of the population.
The economic models of the UK have exclusively relied upon low education and pay. Damaging the health service, underfunding schools and removing rights are all about keeping poor people working and not thinking.
Because of:-
1. The historic inequalities dating back to Feudal times that Attlee's reforms never dared address
2. The 'rent-based' economic model that Thatcher set up during the 1980's. Something which subsequent administrations have only sought to exacerbate.
What does rent based mean in this context?
@@tomlxyz It's an old term. At the crudest sense, 'The Drawing of Rent' is wealth that is extracted through non-productive means. Best to think of it through examples. Landlordism, privatised utilities (and essential services), excessive dividends, corrupt financial practises, corrupt state contracts. In all such cases, it is not only that wealth is extracted far in excess of the work that has been put in. But that it happens not as a one-off, but continually. Thus creating the 'trickle up' of wealth that is responsible for the inequality shown in the video.
The question then becomes, how is this possible?
'The historic inequalities dating back to Feudal times that Attlee's reforms never dared address' Would be interested to know more what you mean by this, I don't think I've ever heard someone mention this before. Inequalities from Feudal times makes sense to me, but how was Attlee involved specifically? Wouldn't that be a failure of multiple British leaders?
@@pm3302the working classes are not mostly immigrants. They make up 90%+ of the population. Only the top few % have enough wealth to have his model work for them.
@@marktaylor6491 i think that's called "economic rent" ("amount of money earned that exceeds that which is economically or socially necessary")
Either way, what are some concrete examples that were introduced during Thatcher's time in office?
Never forget that without London the UK is as rich as Mississippi
I think at this point it should be seen as a compliment that we are as rich as Mississippi because the Tories have tried to make it worse
Only if you look at per capita, if you look at living standards and HDI, it is way higher than Mississippi. Saying we are like Mississippi is done for shock value. New Zealand and most of Canada would be at the same level, and you don't think they are same living standard as Mississippi right? Exactly..
Yeah but this is probably measured in USD and you need to take into account things like purchasing power parity etc. It's hard to make exact comparisons.
Plus, while this is true on income inequality - does that take into account other benefits such as free healthcare?
The UK certainly has a lot of issues with regards to inequality, but I think ignoring other benefits is not helping the analysis. I work with Germans who say equivalent insurance costs for what they get with NHS access would cost thousands.
The SNP is desperate to cut Scotland off from the wealth and tax take of SE England - go figure.
I think you've misunderstood why they made a point about that, and it's not to compliment London.
We have to remember that the UK is such an equal society that 0.5% of the population controls 90% of the wealth and assets. As has been said the UK is a group of poor nations with a few exceedingly and obscenely rich people living in them. Poverty it should be explained is not about how much money you earn ; if you cannot afford or you are struggling from month to month to keep a roof over your head,pay for your energy needs or put food on the table you are in poverty and in the UK that is upwards of 30% of the population and is rising
That is a good point
Bollocks
You are making it up
So why is the state taxing the poor? Where are the trillions the workers have paid the socialist welfare state
@@Nickle314Disprove it then
@@pivomanslovensko the issue on wealth relates to government debt.
Let’s take one part socialist pensions. They have zero assets. Unfunded means no assets.
Working from the last two ONS estimates of the pension debts that is 600,000 per taxpayer. Negative wealth. The state pension puts you in poverty and causes the social care crisis
So what if mr average had retired last year but had invested his Ni free of taxes in a low cost FTSE tracker? He would have had a fund of 1.3 million. 40K a year in dividends.
So the state has destroyed the wealth of the masses.
650 people have done that
Could you do an episode on what it would take to level up the UK and another one on the USA?
The English will never distribute enough well they are greedy and self serving by their very nature. They suck all the resources they can put of Scotland with companies listed in England to make it look like we are subsidised by the oppressors to the south.
Im 37 and worked my entire life, ive signed on for 2 weeks when i was about 22... ive worked for the government for over a decade and im pivitol to my team, they cant function without me as i do all of their work.
I can save maybe £20pm, i am constantly afraid and depressed because of how hard it is just to feed my children, as a single man i get no help.
This country is fucked, this government is fucked.
There are people like me who are well off, who are in the top 2% income bracket. You need to change job every few years and try to maximize your salary. That's how I got mine.
So basically your a slave 😂 why are you working hard for nothing I'm on mim wage and I save 70% of it a month
@@Alex-df4ltyep. What do you work as. I do tech myself and only make 24k but I am looking to upgrade myself soon
I liked how you explained the GINI coefficient, I read about it a few times, but I think this one is going to sink in forever.
Everything else about the UK situation was secondary to this video for me, all the things that I already knew :) (unfortunately)
As long as the monarchy exists, that GINI coefficient will never get to a number that is adequate.
@@Peter-bk4pzAgreed
The government has really called things more difficult for its citizens, and we can't sit back and bear all the consequences of the bad governance. It's obvious we are headed for hyperinflation,it is always the poor who take the hit.
It's no longer a story that the world is experiencing a global economic downturn, I'm so happy that I've been receiving $64,000 from my $15,000 investment every 8 days
HOW !! I know it's possible I would appreciate if you show me how to go about it.
You actually need an expert trader assigned by a registered broker company to help you out. I currently trade expert Mrs Lori Jean. I thought I'm the only one trading with her .
Since I started my investment of $7,000 with Mrs Lori, I am now having $29,450 in my portfolio.
I have also been trading with her, The profits are secured and over a 100% return on investment directly sent to your wallet. I made up to $560,000 in months trading with her.
Because the Tories have been in power for 80 of the last 123 years.
And the aristocracy for the last 1000.
Maybe Labour should be less of a muppet then.
Selling off our gold reserves to pay for their failures.
The winter of discontent before.
The Tories may be shit, but they are slowly making everything shit, whereas Labour just want to accelerate the downfall.
This is why I have always said that a nation that is large enough YET they push for a single nucleus of economic activity is doing things WRONG. All you create is rural exodus and extreme competition (which lowers wages) in the capital. London, Paris, Tokyo, ... all are guilty of the same sin.
Agreed, we have similar issue with government focusing on Dublin for decades, only recently did other cities get some focus but it’s still hugely tipped to a city that is over saturated and has diminishing returns on investment.
Ireland are content in keeping Ireland a stepping stone into The Kingdom of God (Great Britain).
@@Darren-fm3pe tbh that was true in a lot of ways before brexit, Irish government tended to copy bits from the UK on laws and processes, but it’s becoming less so since brexit as the government pivots more to Scandinavia and French government styles, it’s a bit messy as they haven’t decided exactly who they prefer and they haven’t stopped copying some UK moves but it shows how much soft power was lost by the Tory government in recent years.
London has low wages? You could buy a big house in a neighboring city and commute through Heathrow, earning a big profit.
@@theBear89451 oh what a brilliant idea I'm sure everyone would love an hours commute in and out of work everyday. Are you sure you aren't 30p Lee in disguise?
There’s always been a massive wealth divide. Socialist policies have been painted as communism and taxation on high levels of wealth or profit is frowned upon as ‘inappropriate’. Whilst the naming for this hasn’t always been the same, the ideology has been consistent for hundreds of years.
Wealth divide is fine, it's income divide that is bad for society.
These hundreds of years was also the the period when went from everyone except a few being poor to today's world few few people are poor.
@@iamagi That depends a lot on which country you happen to live in I think. It's also relative: a poor person in the US is sill be better off than a poor person in, say, Sudan. But that doesn't mean the gap between rich and poor in the US is much better. And there's still hundreds of millions who live in abject poverty: acording to the World Bank, about 9.2% of the world, or 719 million people, live on less than $2.15 a day. In the United States, the richest country in the world, 37.9 million people - lived in poverty as of 2021. 47% of the world lives on less than $6.85 per day and 84% live on less than $30 per day.
@@znail4675why though?
I'd expect two people doing different jobs to earn different amounts of money.
I wouldn't want my salary to be equal to someone who is unemployed for example. Otherwise why would I not just be unemployed?
@@SaintGerbilUK in the 1960s the average corporate executive was paid 20 times what the average worker in their corporation was paid. Now the average corporate executive is paid around 400 times what the average worker is paid. And yet the performance of those companies hasn't gotten any better. Of course different jobs pay different amounts, but when the people in charge of the payrolls mysteriously end up with multiple mansions and yachts and the people doing the work are told that theres just not enough money to pay them enough to pay rent and buy food at the same time theres something wrong with things
You don't need "wealth" to live a decent life.
You need a steady normal income, a safety net guaranteed by the government, work-life balance, a culturally rich environment, free access to good education, a society without class structures... . Now compare that to the UK. Love from Germany :).
ohne die Freude der Köstlichkeiten wie 'Wigan Kebab' hat Deutschland ja nix für a decent life
@@ottohashmi Mein Gott, redest du einen Blödsinn, aber was will man von einem Briten erwarten, dessen Horizont nicht über seinen ekelhaften British Breakfast Tellerrand hinausgeht
That comment is so wrong. Because wealth is not just wealth, it opens up opportunities and networks, which in turn gives access to better job opportunities. When you rely on your employment income to get by, all it takes to fall into poverty is to lose your job. Wealth on the other hand is a buffer against such circumstances, and you can invest large chunks of it to generate more income.
@@ottohashmi Echt jetzt ??
@@oldskoolmusicnostalgia You sound like an American without the advantages one has living in Europe, lol.
Speaking as a citizen of UK Northeast: the fact were didn't even have a COVID Test or Vaccine Distribution Centre says it all (Vaccines were eventually done in numerous places after such as a Library were i got mine xD)
Our NHS is always under stocked with resources and roughly 2 of 7 of people aged 30+ I know of still live with their parents if not in a committed relationship due of cost of living prices. Been the case for many years now
How do you know the NHS is ‘understocked’? The problem isn’t funding, its the middle managements who aren’t necessary AT ALL.
If you didn’t have covid centres then you should count yourselves lucky as you dodged a bullet.
Shut up bot nobody cares about COVID or getting a clot shot
I live in Norfolk and we got our vaccines inside a gym and a museum.
a great follow up to this would be to explain this disparity between the income and the wealth inequality seen in some countries, I think that'd be a great video
Wealth often does not include pensions in the data. The Netherlands has giant pensions which compensate the differences between wealth and income in the sources cited here. This fact can be easily googled
I think the question is far more fundamental than that, yes the data may be skewed but is income equality actually a good thing?
Would you want your income to be equalised with an unemployed person?
@@SaintGerbilUKthere is a graduation in which way income inequality is acceptable.
A top manager responsible for a company or division and x number of employees should earn more than a person bringing the coffee. Sounds nasty to some, but itnis about responsibilities.
What is making inequality unacceptable if if such a manager is earning 100 times more than the average person in the company. There needs to be a balance and a ceiling. No person is worth getting paid 3 million a year.
An international company I once worked for had the rule that the ceo would have salary at maximum 7 times the average pay of the rest of the employees.
You can debate the number 7, but at least there was a balance and a ceiling. When I read yesterday that ftse ceo's got pay rises of 500k, sorry, that is not OK.
I don't think income equality is going to include the unemployed for some reason: No one would survive on it, therefore, the economy would be dead.@@SaintGerbilUK
@@ab-ym3bf Sure, I'm sure the number could well be higher than 7x.
Why is that not ok?
If you are not happy with your wages renegotiate. If everyone did that then you would have a much closer salary to your manager or CEO.
Or alternativly why not start your own company then you can be the CEO with a 7x salary, you can even be a "cool" boss and only earn 5x.
The other side of this argument is how replaceable are you?
If I can get someone else to do your job for the same money or less why would I not?
We have flooded the job market with cheap labour, which have been dragging wages down for the past 25 years.
If you want to be worth a good wage be irreplaceable.
If you want to earn a shed load start a company, but there are risks.
@@SevenEllen Unemployed people still have an income in the form of welfare and JSA (for a while).
But I agree, it absolutly would kill the economy, even if it was survivable, because there would be no incentive to not be unemployed.
The question isn’t can the government do anything about it, rather is it in their interest to do so?
Why is britain so unequal?
Short answer: Tories
Long answer: Conservatives
Longer answer a two party con trick.
Wish it was just one party. Be easy to vote them out.
Labour are 100x better but still completely against the working and middle classes in favour of the rich and the foreigners. I won't vote for either
You mentioned Johnson and Sunaks efforts to level-up. What about the role of Truss in levelling down?
He also failed to mention Sunak's contribution to "leveling up", which was to redirect funds from a poorer electorate to a richer (Tory) one.
@@raggedcriticalAny sources?
@@natenae8635 google "sunak redirected funding". No shortage of reporting - it was big news all the way back in 2022.
@@natenae8635Sunak was filmed in Tunbridge Wells (I think) saying that he was putting a stop to channelling money into poor urban areas.
@@clarecrawford9677 Has he done this and when did he say that? Was it before he was chancellor or during?
Genuine question
Whether you are pro or anti-Brexit, the point about how much time and energy was wasted on dealing with it should really sink in. I really hope if my country's government ever goes in this direction, they will bear that experience in mind.
Income in London is immediately eradicated by the cost of everything... they should do assess what money is left after taking away basic costs
If you don't find a means of multiplying your money, you will wake up one day and realize that the money you thought you had, had been exhausted. Investment is a ladder to climb the financial wall.
Who is your financial coach, do you mind hooking me?
@kingbush9328Cryptocurrency investment, but you will need a professional guide on that.
Facebook 👇
Evelyn C. Sanders
Telgrm.....
Levelling up was never intended to "level up" anything. It was a political soundbite meant to make it look like the government was doing something. And you shouldn't get bogged down in pointless discussions about how expensive levelling up is, that's antithetical to the point of the whole process.
Bit of a shame that over 2 minutes of this video is ads
@TLDRnews you used the wrong wealth databook. Slightly confusingly the data for 2022 is in the 2023 wealth databook and its now from UBS as UBS owns CS. Uk median wealth is now $151k and gini coefficient now ever so slightly lower than France.
In Germany there’s better protection for renters and a lot of people rent rather than buy. Might explain the wealth disparity quite easily.
Same thought
UK is full of greedy landlords. Money grubbers with no social conscience whatever. Aided and Abetted by the stinking Tories.
From a Margaret Thatcher speech 30 years ago......Growth is greater where countries take a lower proportion of the nation's wealth leaving more available to industry and in the pockets of the people. The two most successful economies in the world are the US and Japan, both of whose governments take about 34 % of GDP.
Low regulation and small bureaucracy, with flexible attitudes which are market driven. Contrast this with the European Union where regulations have reached unprecedented levels and are hampering the growth of industry and services.
These regulations are created by a large non-elected bureaucracy while the powers of nationally elected parliaments and government are progressively diminished. There is the problem in a nutshell thats why there has been no growth in the UK or EU for over 25 years.
I was surprised to see the inequalities of Sweden in your charts, so I did a quick search to confirm. We don't actually talk about these things, we just pretend that we're too "egalitarian" to have economic clefts. Especially ones that seem to relate to discrimination of ethnicity. This does illuminate a bit on our own current financial woes. (The SEK is quite weak right now.) We also (according to my quick search) seem to have lowered our taxes on the high income earners, and with a currently rightwing government that isn't changing any time soon.
Its not swedens fault for certain ethnicities being poorer and making less. They come to sweden uneducated and you think they will make the same? LOL
All caused by selfishgreedy bastards stealing all the profit and avoi
All you have to do is compare Northern Ireland to the Republic of Ireland and it tells you everything you need to know
If the issue with the UK's inequality is income, how does that income scale with purchasing power parity? Ie if I earn 50% more in London but everything costs 50% more, does this mean I have more income?
but everything isnt 50% more. taxis are slightly more than me in Lincoln, same with booze. its only house prices you get screwed on. do amazon and ebay change you more than us? etc.
This is dependent on where you are in your career. If you are entry level, you are better off in the north. If you are top of your game, the pay increase is more than cost of living. What you see is people working entry level living in London hoping to make it to the top, but not all of them will.
Of course you do, because you have 50% more disposable income. Your disposable income grew as well.
There is no wonder why there is a growing northern independence movement, especially in Yorkshire there have been calls for devolution for years. Southern parties offer nothing to solve Northern problems. We are culturally, linguistically, historically, economically, and socially different from the South, it can hardly be considered the same country.
Devolution ≠ independence
As a Northerner, we have no interest in independence, its laughable. We are more patriotic English than the South are.. And if you are a Northerner as well, then you know its fringe. What we want is some more devolved powers like our city mayors etc, not a parliament though. Although I would like England to have a parliament outside Westminster.
That's what we say in the South too😹The ruling Establishment is like a different people and a different culture, with different values and schools, and hospitals and justice and taxes. They rule the country in their own interests - at our expense. We want revolution. Would that work for the North?
Not at all, as a Northerner living in SE England (for the money ofc) it's still all the UK to me. I'd be firmly against devolution if it'll result in the farce that has been Scottish and Welsh devolution. More layers of politics just creates more problems, more corruption and more way to pick your pocket.
@@ricequackers Exactly
When the Prime Minister is the wealthiest person in Parliament, has not revealed what and where his assets are and his father in law's Indian company gets big Government contracts, what can possibly go wrong?
The problem is the government sticking it’s nose in where it’s not needed. The government make it so difficult for honest businesses to work and turn a profit, so that all your left with is companies that bully. Take for example house builders, there’s only a handful of large companies because the industry buys all the land, even if it means waiting on it for years (because they can) and then slowly releasing the builds so that they can keep the prices artificially high. While smaller honest house builders are not able to buy and hold land.
😂 are you for real? Your country is filled with crooks.
The Northern areas of the UK has always been ignored by the south, of the UK, even though the south grew rich on the back of the 'industrial north'. The north should 'demand the money back', off the from London and the home counties...
Great video and points. In fact, I live in London, one of the richest cities in the world and the largest urban economy in Europe. My point, you need to work for yourself in "gold collar" quaternary activity in order to realistically afford to live here! 😅 Just like the people who create TDLR(one such example I believe)!
Lay off that crack Jamie
Income inequality is largely tempered by a corresponding increase in expenses in high-income areas. I'd put more stock in wealth inequality which didn't seem too bad though I'm sure the figures for that aren't entirely reliable given how difficult it is to measure individual wealth (I expect it can be hidden quite easily)
Too much income or wealth inequality is bad. Some inequality is inevitable, desirable even. However, people are at their most productive and happiest when there is a floor under them that guarantees the basics of life. Shelter, food, Healthcare, education, public transit, utilities, etc. These are industries worth nationizing and paying/subsidizing with taxes. These sectors just don't have good market incentives due to inelastic demand. Commodities, luxuries, and non-essentials are best left to free markets (preferably co-ops and small business rather than conglomerates). Having a floor underneath you helps reduce poverty, crime, and suffering and pays for itself in terms of increased productivity and efficiency. It sounds counter intuitive but in the long term it generates more wealth for a country than standard investments. The only reason this isn't done is because it requires the very wealthy and powerful to give up their power and status. People don't actually want wealth. They want the power, status, and resources that come with it.
Equality in wealth distribution is not a measure of how well a country is doing or even an indication of the standard of living of the poorest people within that country. This is because we can imagine a country with perfectly distributed wealth where everyone is poor and we can also imagine a country with a huge disparity in wealth distribution but where even the poorest people have a great standard of living.
I will never understand the need of people to defend the capital class, you are absolutely brainwashed
I'm pretty sure they mentioned that inequality leads to less growth
@@mistermiles3271 Agreed, thanks. I removed that comment from my post. After a brief search, it seems as though there is little evidence for a meaningful relationship between economic inequality and growth, positive or negative. Cheers!
Am I the only one that had the opposite impression of the UK that they assumed everyone had? I associated it with poverty compared to the rest of Europe and was surprised that it's the sixth highest GDP in the world
GDP and poverty levels are absolutely not correlated
@@oldskoolmusicnostalgia
True, but I still think he's wrong that people have the impression that the UK is a rich country. I think the impression people have is that it was once rich but is now in decline both economically and socially.
@@firstsecond9569most people do have this perception. You think it’s poor because your a weirdo and one individual but the vast majority of people think it’s a super rich country and it is technically as it has one of the top GDPs and immagrints kill to come here
@@makeytgreatagain6256 It is 22nd for GDP per capita. Not exactly top in the world. But average gdp per capita doesn't tell the whole story. To visit, one encounters a lot of poor and rough people. While the old grand buildings show it was once wealthy, it feels like a country in decline.
@@firstsecond9569 it is in decline and what’s worse is most of europe is even in a worded state. Just hilarious to think most of europe is even worse, and tbf the working class in the uk have always lived in squalor even during the height of the nation it’s a truly capitalist classist nation for a reason
UK has a huge number of NEETs. The benefits here are too good.
Wealth inequality in the UK is probably distorted by high housing prices, which make people appear wealthier than they actually are. Income inequality is a better indicator of consumer spending power and consequently, living standards.
Short answer. Tory's keep winning.
Huge mistake was to close so many railways.such bad rail connections outside of London . Most of the uk has poor rail services
Tax the banks and corporations.
I've been to Mississippi and if the average Non-Londoner is poorer than that, you guys have to be very close to Mad Max Fury Road. I saw a no shit, unregulated, barbeque stand selling alligator meat guys, you CAN'T be poorer than that. I'm genuinely shook.
They are not poorer than that in living standards if you actually see them. Its just going off a random per capita stat for shock value. New Zealand and most of Canada would be on the same level, do you view them as poor as Mississippi as well? Of course not, its the same with majority of the UK.
Outside London and in lower cost living areas, a couple on minimum wage (around $14 hr) can easily pay rent, go on holiday once a year and have money for luxuries and savings. No one is forcing them to stay in London or Bristol where rent and cost of living is high.
Living standards on the HDI index, is higher than most US states and that is still on a lower per capita income.
So like I said, its shock value to say UK is like Mississippi outside London.
I've also never seen a tent city in the UK, and we only have a few thousand rough sleepers on the street out of a 70m pop.
There is an obvious bias on TDLR, it portrays a lot of facts out of context.
They can't eat any alligators in the UK because of a royal decree from 1269 by king Edward I which declared all alligators to be personal property of the king. Only some guilds with a hereditary mandate may hunt a specific number of alligators each year. Also, while junkie alligator bbq is nowadays allowed, it used to be considered heretical until the late 1800s, and is still looked down upon.
Cultural differences I guess ¯\_(ツ)_/¯
A simple search shows the UKs homeless population is a lot higher, five figures for people sleeping rough and 6 figures for people with temporary accommodations.
Again, a simple search online and you can see a lot of documented tent cities.
Just because you don't see it or aren't looking for it doesn't mean that extreme poverty doesn't exist in the UK because it does and its more common then you are portraying.
@@SLDimarco I see you don't know the difference between rough sleepers (people actually on the street) and Homeless by UK definition.
"There were 3,069 people estimated to be sleeping rough on a single night in autumn 2022 in England. This is an increase of 626 people or 26% from 2021 and an increase of 1,301 people or 74% since 2010 when the snapshot approach was first introduced, but was a decrease of 1,682 people or 35% since 2017". - UK Gov
So as I say, a few thousand.
Homeless in the UK =
People in temporary accommodation, living accommodation but not registered there (such as living back at parents house), or staying at friends. Caravan.
Staying at emergency accommodation like B&Bs or hotels.
99.9% of homeless people in the UK are not on the street or in a tent.
And no, I don't class 25 people in a group living in a tent as a 'tent city'. US doesn't even class anything below 100 people a tent city. Thus no tent cities exist in the UK by this definition.
US has around 600,000 rough sleepers or what they call 'unsheltered homeless'.
So lets see some stats and sources you can use to counter me?
Tbf as explained in an earlier TLDR video it's a bit misleading as these are PPP-adjusted dollar figures, which skews things against the UK due to the strong dollar and the higher CoL in the UK. Makes for shock value in headlines though.
Because they don't invest anywhere else but London. London should be thrown into the sea, it's not a representation of the rest of Britain. Capital should be York.
Perhaps reducing the corporation tax rate for the rest of the UK to 15% whilst maintaining 25% in the south east would go some way to fixing this inequality over time.
I’d say in the UK’s sense if you can afford inflation then your pretty much well off. But if you live in london the cost of living will leave you with no money at the end of the month.
Comparing German average wealth is a bit misleading given (i'm assuming) wealth is being calculated via property ownership and house prices and most Germans rent due to great socialist renter protections. Germans rent long term and some Germans are still renting in Berlin on rents fixed in the 1980s.
In Germany about 45 percent of households own their main residence. So yes, more people rent. But it's not a vast majority.
Clip at 0:27 is actually of an old project known the 'eco village' - the tents were some sort of demonstration thing. It's right by kew bridge in London, so a wee bit misleading (not some kind of slum)
‘ Much of the uk is poor by European standards’ that’s such a lie. Maybe compared with the top wealthiest countries but not compared with the whole of Europe.
I'm sure it has nothing to do with the fact that we keep electing 10%ers as MPs and PMs. Even the next Labour leader is part of the 5% club. Who represents the majority of the people?
at least he is self made and not inherited.
@@kanedNunable thats what he wants you to think. The guy is a mastermind of manipulation. He made Labour a right wing party but convinced most labour supporters that its still left wing. I can't wait to see parents being told they can't have more than 2 children, that parts of the NHS will be sold off, more tightening of any criticism of Israel's illegal occupation and even more strict immigration policies. Even Farage is a fan of Starmer! 😂
It's not a matter of "what the government can do about it". The current government is happy to make inequality worse and worse, and indeed has been trying its best to do this.
Labour are promoting the same style of policies because that’s what the English want. A country or serfs doing their masters bidding.
The substantial increase of UK GINI coefficient in the last decade is due to the policies of Tory government favoring owner class at the expenses of working class.
Yes they were elected by the English workingclass 🤣🤣 serfs the lot of them.
To be fair, inequality wasn't particularly addressed by the Blair government in their 13 years in power, and the current Starmer administration looks like they're *at least* as corporatist as the Blair gov't, if not moreso. Sadly the UK's poor have no viable option right now.
@@palindrome. the English elect the government and their serf nature means real change will never come.
2:59: The UK is slightly MORE unequal than France and Spain (please correct that)
Got worse during the 80s you say? Wonder what caused that?
I think most of us already know
@@wind4758 It was the immigrants! no wait benefits scroungers! no wait single mothers! Disabled people?
Government debt.
TDLR is completely missing the point here wealth is extremely unequal in the UK when you take offshore tax havens into account.
Throughout the UK public services, saving money is a bigger priority than anything else including addressing inequalities. Yes there's plenty of talk about it. But when the tough funding decisions happen then the priority above all is save money. The data is clear, every time spending cuts happen it is the poorest communities that see the most cuts.
And the poorest communities in England voted for the tories in 2019 causing a lot of the damage.
Scrap privatisation, kick out all unpatriotic foreigners, and let us run the country ourselves like we did in 1970s.
This is what i keep explaining to my students (I teach maths) as I use exactly these figures when we do stats/data handling...At 5:09, you have not yet mentioned the price of accommodation in London/on the east or west south coasts/in the north.
Also, no mention yet of the situation of Wales/Scotland/NIreland.
I moved to the UK from Germany in 2019 and although overall I prefer the UK, there clearly are massive issues here and things that are much, much better in Germany.
The one thing that stood out to me above all though, was the state of towns and cities that aren't London. Even London has pretty of bad and super ugly areas, but going to some of the larger places like Birmingham, Manchester, Liverpool, Leeds, Sheffield, Bristol etc. shocked me. So much deteriation, poverty, and just grim looking areas...
Now I personally believe, that the main reasons for this are twofold:
1. The UK places a lot more emphasis on the individual. Germany despite calling itself a democracy and free-market economy, is not really much of both. There is way too much power in the hands of the federal government and the economy is anything but free. It's overregulated and limits any sort of entrpreneurial spirit. The result of this is a lot more equity in terms of incomes. There are smaller gaps between incomes and generally, on average people are not off too bad. In the UK on the other hand, you can see that there are many people with extremely high incomes (especially in and around London), and so many other areas that are completely deprived of any economic wealth.
2. Now I'm sure a lot of people will argue with me on this, but I believe the 2nd big reason for the UK's position is the fact that this country has not had any major wars or militar conflicts fought out on its own territory where as a result the political system was completely overhauled, which also meant that for way over 300 years now, there have been no major redistributions in terms of wealth. No you can argue whether this is a good or bad thing, but regardless, this led to some people accumulating incredible amounts of wealth, while others have not made any progress in that area.
5:09: The poorest region of the Netherlands is richer than the poorest region of the US, so that comment is unnecessary.
When the Tories talk about 'Leveling Up' it's just a distraction from inequality. It's a catchy 2 word slogan that is designed to imply : 'Hmm 🤔isn't it a big mystery why some people are poor? They need to somehow catch up - because we aren't going to redistribute any wealth to help them'. The tories have no intention of actually doing anything significant to address inequality, only to make a big show of doing practically nothing. It is just PR designed to reassure wealthy voters with a guilty conscience that they won't get taxed and to distract critics from the real causes of inequality. It's a bit like Cameron's 'Big Society' - that really meant 'Small Government' AKA public spending cuts = lower taxes for the already rich. The Tories don't communicate to impart information or convey meaning. They only 'message' the public to alter perception and divert attention away from their efforts to increase inequality.
The problem with the UK, is that too much power is in Wessex while Mercia and especially Northumbria are left out to dry. The obvious solution is for Mercia (Midlands) and Northumbria (North) to become semi independent countries like Scotland and Wales, that are still part of the UK.
i think the biggest issue is how money is distributed on a smaller scale. a lot of the "rich areas" are labeled so due to the average income being high due to a few people being so wealthy where as most people are have almost no wealth and struggle with paying bills and the local funding means that there is nothing to help with problems such as mold issues with houses and large scale substance abuse
Isn't "levelling up" a term from 'computer games' - why is such a serious topic being described using a slang term? 🕹️
Check out the UN GINI coefficient, the UK is in about the middle regarding wealth inequality. There are 83 countries with worse inequality than the UK, South Africa being the worst
I love reading the comments and seeing what people have to say but I'm too early :(
Years of successive governments creating loopholes for tax avoidance. Sell people that there wages push up inflation. Pay rises by %. Instead of pounds and pence. We all suffer from rising costs. Give the same pay rise to everybody bottom to top. Minimum pay is not a recommended wage. It's how low you can go before facing charges.
I live in London and recently had to go to Scunthorpe to collect car. And that place was really depressing.
The thing is with the Gini co-efficient is that it is based upon statistical data but context is required to fully understand it. Here are two examples.
In 1990 at her last House of Commons appearance as Prime Minister, Mrs Thatcher said that during her premiership, wealth across each quintile had increased in the UK. Her critics would point out that the top 20% had increased more than the bottom 20%. But the point is, if all of areas are increasing does it matter if one increases more than another? If the situation were reversed would it be better? If the top 20% decreased in wealth but the other 80% increased, is this an improvement?
The other point is in an old Top Gear episode, they were performing various tests on 3 small cars, but later on realised that two of the tests were essentially the same but produced different outcomes, which Jeremy Clarkson summarised as "The fastest car is also the second slowest."
The UK can get over any difficulty. It just need good politicians (a thing with which the rest of the world struggles having). The UK is the Land of Hope and Glory, much more than other country, but a series of bad decisions made up be the country's politicians made it be where it is. The UK can get over this in a few steps: 1) Join a Free Market Area, and quick. It can be anything. It can even be the discount Imperial Federation (CANZUK). 2) Further Economic Devolution based on just normal regions and not historic ones. Even in Scotland, Wales and NI you further devolve the economy with the Central Government in London only Macro-managing it and focusing more on actual economic decisions. 3) Solve the Housing Crisis. Go find a big empty field and just build flats there. Build as many as you can and also talk to giant employers and have them expand there. People who really want work and/or a decent life will come there even uninvited. 4) Don't focus on London, Cardiff, Edinburgh/Glasgow and Belfast. Go out, expand, you Birmingham, Newcastle, York, Norwich, Wrexham, Swansea, Dundee, Inverness, etc. The UK has a lot of cities it can choose to build into and level up. Nobody says it needs to be at the current level of London, but somewhere in the middle is fine. 5) Profit???
I don't know if what I said can hold up from a real economists viewpoint, but I don't think that all that I've said isn't true in a way at least.
I'll explain it in one word GOVERNMENT !
Exactly! Time has shown that businesses only make this problem worse, the government needs to take them to task!
Why doesn’t parliament call in the French loans to pay for services and alleviate poverty? The French haven’t paid a penny on their trillion pound debt to Treasury since 1931 and have had a whoopy time thanks to British taxpayers.
It's my experience that billionaire Rishi Sunak is a liar and cannot be trusted;- "government integrity, professionalism and accountability at every level" - 25/10/22, outside number 10.
We saw how many British businesses CLOSED during “Pandemic”; and UK rolled out mRNA jabs - as told!
London being so wealthy is a result of almost 1/3rd of the population living in London. Those areas with "lower incomes" are also less densely populated and way less expensive to live in. This is a superficial analysis at best.
VOTE FOR PROPORTIONAL REPRESENTATION.
In wealth inequality in Germany and Netherlands, it would’ve been nice for you to point out that it is largely tied to mortgages. Netherlands is famous for >100% mortgages empowering individuals and families with access to finance.
Where was the explanation? Title should read "wealth inequality stated "
I was always right-wing but must admit, we need to do something! Please correct me if I don’t understand economics but I would have thought surely the average wage should be enough to own a house and live a modest life. Nothing flashy but it seems you need two/three times this to achieve this. Surely that isn’t fair or right? What do all these people under £30K per year do?
France is also highly centralized in Paris, but that doesn't seem to pose as many problems.
France is currently considering government reform to reduce centralisation. They are having issues with efficient governance since so many things are decided on government level.
0:27 Any particular reason you're using a 13-14 year old clip here? I can tell it's that old, because the bus is advertising Final Fantasy XIII, which came out in March 2010.
The almost 3 min long ad is quite savage in an under 10min video..
It’s called levelling up apparently however the trickle seems to end at Hampstead heath leaving the rest of the UK to rot
And yet most of us in the south east are struggling with bills, can't afford to fix a dangerous kitchen or grt a mortgage on a one bed flat.
I've lived all my life in the South of England and my friend, the north, and the differences are so big. There are so many cultural differences and attitudes towards money. Likely because the south is more economically active...
Look at any part of Europe and you will see that the closer a region is to the centre, the more prosperous it is. The SE of the UK is closer to Europe and so is richer. The way to improve the north of the UK is to improve its direct communication links with the EU.
@@alanwhiplington5504Not true for germany. Or you could say that germany has many centers.
@@alanwhiplington5504 sorry, but that's just not true at all. It has nothing to do with being closer to Europe. The north-south divide has been a thing for literally centuries, way before globalisation and closer ties to Europe
@@Pyriold Germany still has one of the strongest economies in the world.
@@alanwhiplington5504
What a load of rubbish.. the south is closer to LONDON and has a better geographical position to do business.
The wealth map correlates pretty well with the Brexit-voting map. Wealthy Southern metropolitans *still* don't get it. That people from poorer regions *didn't* get the same benefits from the neoliberal economics of the EU as they did. Of course it didn't help that these people were called bigoted, stupid and racist at every turn - what a way to bring them on to your side of the cause!
alot of towns use their leveling up money on building cinemas and culture centres. surely that ain't gonna help
I sometimes wonder if wealth or income inequality matters more to most governments, assuming they do look at it at all.
The claim that income equality is actually a good thing, without evidence.
If someone is not working, and someone else is running a huge company, would we want these incomes to be the same?
The only way to "equalise" these people is to take all of the money from the wealthy people, and then you don't have businesses, or jobs or any incentives to make businesses or jobs.
It's the wealthy who take money from the working class. The workers should seize the means of production and take back what belongs to us. My guess is that you are one of us. Stop defending those parazites, all they want is to extract surplus value from YOUR labor.
No one is saying that, just allocating a larger portion of a company's revenue from rent to salaries will solve a lot of income inequality problems. But it takes guts for a govt to take on the property owners (their political overlords) and crush the rental prices so more revenue can be allocated to salaries
Yeah people just hear words like "inequality" and get all up in arms about it. Not everything is evil, chaps
@@zurielsss How much do you think companies are paying for rent?
How will they lower their rent?
Whats astounishing for me is: How can the wealth between the south east and the north east be so different? The south east is the richest region besides London and the north east is the poorest.
Infrastructure and population. All the countries with the largest populations have massive economies. 33% of the English population lives in London and the SE.
I learned this in grad school - your explanation is wayyyyyyy better!
Before the food price hikes, the way I lived as an engineer compared to the average Brit was a lot more luxurious. I feel that the way pay increments works in the UK is totally unfair. Some people get wages so low it would be unheard of in Canada or the USA. And outside of London, after a certain point a higher salary is just a burden. More responsibility and not much benefits in terms of finances or quality of life. Hence the people that aspire for more and aim big are either people in destitute circumstances or the already wealthy. No instead of making things more equal we have high earners living pay-pay, while the lower earners can’t afford food. Horrific.
Request: next time you're talking about London, use some stock footage of Wellington New Zealand and see if anyone notices.
FYI that GDP figure isn't a representation.. at all hence Italy India Brazil being so high on the list
It is tragic to see Britain in this state, empty streets, where even 100s of supermarkets sut down is evidence how much consumption really went down and sighn that country really struggles. BRITAIN has fallen, just as BRITTANIA have fallen when ROME left . UK became real HELL on EARTH for its citizen last 10 years, like it is not even same country it once used to be. The speed of that change is unbelievable... 14th increase of interest rates ? This will impact mortgage holders as well as renters. look officially is UK 6th largest economy , but that does not have to mean it is a prosperous nation. China is 2nd largest and it has 400 million poor out of 1,4 billion people and that is data before Covid and Ukraine war. UK is very misserable place to live in right now