Resolution says wealth gap widened over Covid recession. Here’s how to start levelling up

The rich usually take a hit during recessions. A report from the Resolution Foundation, however, found their wealth surged by an average £50,000 per person during the pandemic, while the poorest households saw their net increasing by a meagre £86

House prices in Britain have surged despite the pandemic (Getty)

Recessions can be great levellers.

The poor inevitably suffer the most. They are least able to sustain a cut in income. But relative inequality often reduces because the rich suffer proportionately greater hits to their wealth. The value locked up in their homes falls as a result of declining house prices. Their investments suffer when the stock market takes a kicking.

The last recession also saw an awful lot of bankers and other white-collar professionals losing their jobs. Given the role bankers played in fomenting it, you could say they got off lightly. But let’s park that.