Hat tip to Lenin for this one
THE richest people in Britain have seen a record boom in wealth over the past year. Their fortunes have soared by 30% even though much of the UK is struggling to recover from recession and the near-collapse of the banking system.
It is the largest rise in wealth since the list was first published 21 years ago. Much of the increase is a result of the rebound in stock markets and property values after the government injected hundreds of billions of pounds into banks and the wider economy to stave off collapse.
Philip Beresford, compiler of the list, said: “The rich have come through the recession with flying colours. The stock market is up, the hedge funds are coining it. The rich are doing very nicely.
“The rest of the country is going to have to face public spending cuts, but it has little effect on the rich because they don’t consume public services.”
As a corollary to this the wealthy were hit hard initially by the financial crisis.
Since then of course, stocks and shares have been boosted by Government action like Quantitative Easing which has pushed up the prices of their assets.
Even without all that, recessions do treat the wealthy well when they put (or keep) workers on the back foot.
This reminds me of my company’s AGM last year. We hadn’t had any pay rise last year. Whereas in previous years earning had increased it was reiterated that this year there just wasn’t enough money to go around.
Of course, in a happy turn of events, our boss informed us that the company had made a larger profit this year than last.
And in events which were purely coincidentally, the increase in profits for this year looked to be almost identical to the pay rise we didn’t get.
Fantastic management there, I’m sure you’ll all agree. Squeeze us until the pips squeak and then slap yourself on the back for a job well done.