INEQUALLITY IN THE DISTRIBUTION OF INCOME AND WEALTH

Factor incomes or factor rewards are rarely if ever distributed equitably in any country. Indeed it is a fact of life that the distribution of income and wealth in the UK is highly unequal there is a huge gap between the richest and poorest households in our society. For example, the latest available data shows that 94% of the total wealth in this country is held by 50% of the population. Put another way, the other half of our population can lay claim to only 6% of total wealth. Millions of people must rely on relatively low incomes with little opportunity to accumulate wealth.