Labour has made inequality worse: Gulf between rich and poor now widest since WWII

By Jason Groves
Last updated at 1:51 PM on 27th January 2010


The gulf between rich and poor has grown wider under Labour than at any time since World War II, according to a devastating report to be published today.

It paints a picture of a country shaped by inequality and an enduring system of class, with the children of the poor destined to live much harder and shorter lives than those of the wealthy.

The 450-page report by the Government's National Equality Panel represents a damning verdict on Labour's 13 years in office and Tony Blair's pledge on poverty in 1996.

Canning Town council estate in Newham, London

London's poorest district: Canning Town council estate in Newham is only a short distance from the City - but a long way in terms of wealth

The study says that inequality in income has reached the highest level since records began in 1961, and probably since the end of the Second World War. It also concludes that inequality in Britain is among the worst in the developed world, with the highest rate of poverty in western Europe.

It says 'deep seated and systematic differences' remain between the life chances of different social classes and groups. People's class and origins 'shape their life chances from cradle to grave'.

The report says there is 'widespread ignorance of the scale of inequality' and warns that many people will find its conclusions 'shocking'.

 

In 1996, before he came to power, Mr Blair pledged to bring about 'greater equality', adding: 'If the next Labour government has not raised the living standards of the poorest by the end of its time in office it will have failed.'

But the report shows that working-class children will generally do significantly less well at school, earn less at work and die younger than those from richer homes.

On average, children born in the poorest areas will die 13 years before those in the richest.

Five-year-olds from well-off homes have a vocabulary that is almost twice as wide as those from the poorest homes and are 30 per cent less likely to have problem behaviour.

The richest 10 per cent of families have assets worth an average £853,000 - almost 100 times the £8,800 average wealth of the poorest 10 per cent.

White boys trial
The lifelong gap

The only glimmer of good news for Labour is the report's finding that the pay gap between men and women has narrowed in the last decade.

The report was commissioned by Labour's deputy leader Harriet Harman in October 2008. She had hoped it would show evidence that Labour policy interventions and creeping social engineering costing billions had worked.

Last week, on seeing a preview of the report, she admitted it contained some 'hard home truths' and made 'uncomfortable reading' for Labour. But last night she promised to use its findings to make the case for even more state intervention.

She claimed the Government's controversial Equality Bill, which will force the public sector to focus resources on closing the gap between rich and poor, would help tackle the problems identified.

She added: 'We have made progress over the last 13 years - especially in tackling poverty - and halted the rising growth of inequality that dates back to the 1980s and which we still see the effects of today. But we will do more to increase social mobility.'

Tory equalities spokesman Theresa May said the report showed that the billions spent by Labour had failed to address the causes of poverty and inequality.

She added: 'It is truly shocking that after 13 years of a Labour government inequality has grown to the highest level since the Second World War.

'It is unbelievable that Labour still thinks it can claim to be the party of aspiration when its failure to tackle the causes of poverty have let down so many lives.'

 

Here's what readers have had to say so far. Why not add your thoughts below, or debate this issue live on our message boards.

The comments below have not been moderated.

Means testing strips the poor of any savings ensuring a brief time on benefits reduces them to poverty. Poverty for the (non)-working classes is built into the sytem, it's their by design and neither Labour nor the Tories will every do anything about it because that is how they want it.
I don't vote, nobody represents me.

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The gap?

The government created it? made it worse? made it bigger?

Really?

Surely people do these things.

People - like you and me.

'And so who is my neighbour?' asks the man who seeks an alibi.

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Genes. Smart, indepentent people marry smart independent people. These people have kids who are 'programmed' to be smart independent people.

The 'poor' make choices that keep them poor, always have, always will.

You could take all the money in any country, divide it up equally and 2 years later 90% of people would be right back where they were before the experiment.

That is the whole failing of left wing governments, the give hand outs but never require the looters to change. Why? THEY DON'T WANT THEM TO CHANGE. The left promises to steal more from the doers and give it to the takers and all the left asks for in return, their vote.

Seems (fingers crossed) the US is waking up, will the UK?

Click to rate     Rating   18

The gap is created by your benefits system.

A person who tris to succeed but is on the low end of the pay scale is often better off not having a job at all and letting the benefits system take care of them. Their children then become dependent on the same benefits system, and come to view the world from the perspective that it's better to get paid to do nothing than it is to work.

It creates a vicious cycle where you have an ever-decreasing pool of successful people subsidising the lives of an ever increasing pool of people who simply have no real incentive to even try.

Click to rate     Rating   12

'Mind the gap'
Does this mean a Cameron government will close the gap? Just like Thatcher did! If it wasn't so serious, it would be so funny.
Isn't Osborne's inheritance tax designed to set the gap even wider? But I have an idea. If all the poor people decide to get married, Cameron will see them alright!

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Labour since after the Clement Attley government have NEVER supported the working classes, they have been the biggest supporters of make the rich richer and the poor poorer (remember income tax increase for low paid workers from 10p to 20p. A 100% increase for those least able to afford it, by this government.). This policy became even worse under Blair and Brown.
The shame however of this country is that people will still vote and support these untrustworthy labourites.
Vote for control of OUR country vote UKIP.

Click to rate     Rating   6

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