Household wealth in Wales on the rise but still below UK average

view original post

Household wealth in Wales has risen but remains below the UK average, shows new Office for National Statistics (ONS) research.

Based on a median household net wealth calculation, the amount in Wales rose from £264,200 in 2018 to £275,700 in March 2020. The median average for Britain as a whole was £302,500 . The amount in Wales back in 2008 was £255,900 and declined to £231,900 in 2012, before starting a year-on-year recovery.

The level in Wales was higher than the north-east of England £168,500 , Scotland £214,000, Yorkshire and the Humber, £214,900, the north-west of England, £237,500 the East Midlands, £262,800 and the West Midlands £262,400

The highest level was the south-east of England at £503,400 followed by the east of England, £398,900 south-west of England, £379,900 and London £340,300.

The four components of the net wealth assessment are net property (the value of homes minus mortgage debt, household contents and vehicles and net financial (savings or investments minus financial liabilities.

The wealth of the richest 1% of households was more than £3.6m, compared with just £15,400 or less for the least wealthy 10%. The ONS, based in Newport, said that wealth inequality has remained stable over the last 14 years.

Median wealth was highest for households whose head was aged 55 years to under state pension age (£553,400); the wealth of this group was 25 times higher than those aged 16 to 24 years.

Households where the head was retired were the wealthiest group (£489,300); they also had lower expenditure and more stable primary income source, as such were more likely to withstand impacts to household finances resulting from the coronavirus pandemic.

The share of wealth accounted for by each of the four components has remained stable in the latest period, with net property and private pension wealth the biggest components, together accounting for more than three-quarters of total wealth.

Households where the head was unemployed or inactive (but not retired) had only one-twentieth of the wealth held by those where the head was retired. Average total wealth was around £25,000 with most of these households not having property or private pensions.

Related Posts