Soaring levels of inequality in the UK helped ‘contribute to Brexit’, Oxfam says
The richest 1% of the UK population now owns more than 20 times the total wealth of the poorest fifth
SOARING levels of inequality in the UK helped ‘contribute to Brexit’ say Oxfam, who revealed the richest 1% now owns more than 20 times the total wealth of the poorest fifth.
The charity said this made the country one of the most unequal in the developed world, and was one of the factors in Britain voting to leave the European Union.
The figures suggest around 634,000 Britons are worth 20 times as much as the poorest 13 million, with Theresa May urged to take action to close the gap between the "haves" and the "have nots".
The report said: "The UK is one of the most unequal developed countries in the world.
“Three decades of high-level inequality have had a profound impact, leading many people to believe that they have little stake in society and to feel locked out of politics and economic opportunity.
"Whatever your views on Brexit, the referendum brought divisions within our country to a head, with many people expressing distrust and disconnection with political processes and voting for change in the hope that it would improve their economic position."
It used data from Credit Suisse which showed the richest 10% of the UK population own over half of the country's total wealth (54%).
The top 1% own nearly a quarter (23%), whilst the poorest 20% share just 0.8% of the country's wealth between them.
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The paper welcomed the Prime Minister's recognition of the need to shake-up corporate culture and suggested a four-point plan action plan for her to adopt, including putting workers on company boards.
Rachael Orr, head of Oxfam's UK Programme, said: "Inequality is a massive barrier to tackling poverty and has created an economy that clearly isn't working for everyone.
“The UK is one of the richest countries in the world, but it's a nation divided into the haves and have-nots.
"Whilst executive pay soars, one in five people live below the poverty line and struggle to pay their bills and put food on the table."
A Government spokeswoman said: "Work is the best route out of poverty and since 2010 we've made real progress: 2.7 million more people in our country have a job, we've given a pay rise to a million of the lowest paid with the National Living Wage - and we've overhauled the welfare system so it pays to work rather than claim benefits.
"But there is still much more to do, not just for those on the margins of society, but for families up and down the country who are just getting by.
"With Theresa May as Prime Minister, we will do what is needed to keep our economy strong and build a country that works for all of us, not just the privileged few."