Inequality

Key points

• Inner London is more divided than any other region in England. 19% of the population of Inner London are in the top tenth for income nationwide, measured after housing costs. 16% are in the bottom tenth of income.
• Though less markedly divided than Inner London, Outer London is also more divided than other English regions. 16% of its population are in the nationwide top tenth, and 14% are in the bottom tenth.

• Income in London is more concentrated at the top than anywhere else in England. In Inner London in particular, 20% of people have 60% of the income.

• Within London, the data suggests there are marked inequalities in income both between and within boroughs. Of the 18 wards in the borough of Richmond, 13 are in the richest tenth in London. Of the 17 wards in Barking & Dagenham, 11 are in the poorest tenth.

• One of the defining features of London is that low incomes sit alongside very high incomes. While boroughs in Outer London tend to have either rich or poor wards, Inner London boroughs tend to have both rich and poor wards. For example, Haringey, in Inner London, is London's most divided borough. Its 19 wards contain four of the richest and five of the poorest wards in London.

• The distribution of hourly pay also shows inequalities within and between boroughs. The top quarter of earners living in Kensington & Chelsea earn at least three times more per hour than those in the bottom quarter.

• The big inequality is between high earners. The top quarter in Kensington & Chelsea earn more than twice as much per hour as the top quarter in Newham, Barking & Dagenham or Brent. However, the bottom quarter of earners in Kensington & Chelsea earn only one-third more per hour than the bottom quarter of earners in Newham.

Relevant Indicators

• Income inequality in London compared with other English regions
• Income inequalities within London boroughs
• Pay inequalities within London

Glossary

Quartile:

25% of the relevant population ordered according to the measure being discussed

Inner London:

Camden, Hackney, Hammersmith & Fulham, Haringey, Islington, Kensington & Chelsea, Lambeth, Lewisham, Newham, Southwark, Tower Hamlets, Wandsworth, Westminster

Outer London:

Barking & Dagenham, Barnet, Bromley, Bexley, Brent, Croydon, Ealing, Enfield, Greenwich, Harrow, Havering, Hillingdon, Hounslow, Kingston upon Thames, Merton, Redbridge, Richmond upon Thames, Sutton, Waltham Forest

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