Press comment: ONS Data on disposable income and inequality from Old Mutual Wealth | Old Mutual Wealth
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ONS Data on disposable income and inequality from Old Mutual Wealth

10/01/2017

If you’re covering the ONS data on household disposable income and inequality released today, please see the below from Jon Greer, Pensions Expert at Old Mutual Wealth:

“Theresa May, speaking at the launch of her leadership campaign, highlighted the growing wealth gap between generations, and has repeatedly highlighted her promise to foster an ‘economy that works for everyone’. Meanwhile, in November last year the work and pensions committee issued its third report on intergenerational fairness and made recommendations to the government on policies to tackle intergenerational imbalances.

“Today’s figures from the ONS re-ignites the argument that intergenerational unfairness is a threat.  

“While at first glance, the data paints a positive picture that disposable income across the population is on the rise. However, in reality the majority of working households are seeing a decline in their disposable income, with the overall rise being skewed by the surge income for retired households as the ‘baby boomer’ generation retires.

Jon Greer

 

“The ONS points out retired households have seen a 13% increase since 2007/08 in their income, while non-retired households have seen a 1.2% decrease in the same period.

“This gives government further cause for thought to pursue a policy agenda focused on rebalancing the intergenerational contract. The most obvious targets are the state pension triple lock, which seems likely to be replaced with an earnings linked system, and  universal pension benefits, like the winter fuel allowance, which could come under scrutiny.”  

For more information contact

Kathleen Gallagher
Old Mutual Wealth
023 8072 6293
07990 004932
kathleen.gallagher@omwealth.com

Notes to editors:

About Quilter plc:

Quilter plc is a leading wealth management business in the UK and internationally, helping to create prosperity for the generations of today and tomorrow.

Quilter plc oversees £116.5 billion in customer investments (as at 30 June 2018).

It has an adviser and customer offering spanning: financial advice; investment platforms; multi-asset investment solutions and discretionary fund management.

The business is comprised of two segments: Wealth Platforms and Advice and Wealth Management.

Wealth Platforms includes the Old Mutual Wealth UK Platform; Old Mutual International, including AAM Advisory in Singapore; and the Old Mutual Wealth Heritage life assurance business.

Advice and Wealth Management encompasses the financial planning network, Intrinsic; Old Mutual Wealth Private Client Advisers; discretionary fund management business, Quilter Cheviot; and the Multi-asset investment solutions business.

The Quilter plc businesses are being re-branded to Quilter over a period of approximately two years:

• The Multi-asset business is now Quilter Investors

• Intrinsic to Quilter Financial Planning

• Private Client Advisers to Quilter Private Client Advisers

• The UK Platform to Quilter Wealth Solutions

• The International business to Quilter International

• The Heritage life assurance business to Quilter Life Assurance

• Quilter Cheviot will retain its name

This press release is for journalists only and should not be relied upon by financial advisers or customers.

Please remember that past performance is not a guide to future performance. The value of investments and the income from them can go down as well as up and investors may not get back any of the amount originally invested. Exchange rate changes may cause the value of overseas investments to rise or fall.

This communication is issued by Quilter plc.  Registered office: Millennium Bridge House, 2 Lambeth Hill, London EC4V 4AJ, United Kingdom. Registered number: 6404270.  Registered in England.