{"id":242355,"date":"2025-11-04T00:59:07","date_gmt":"2025-11-04T00:59:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/242355\/"},"modified":"2025-11-04T00:59:07","modified_gmt":"2025-11-04T00:59:07","slug":"more-than-70tn-of-inherited-wealth-over-next-decade-will-widen-inequality-economists-warn-inequality","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/242355\/","title":{"rendered":"More than $70tn of inherited wealth over next decade will widen inequality, economists warn | Inequality"},"content":{"rendered":"

More than $70tn (\u00a353tn) of inherited wealth will pass down the generations across the world over the next decade, widening inequality and highlighting the need for intervention by the G20<\/a> group of leading nations, a group of economists and campaigners have warned.<\/p>\n

In a report ahead of the G20 meetings in Johannesburg, hosted by the South African government later this month, the expert panel said the gap in global wealth between rich and poor will widen<\/a> over the next decade without a permanent monitoring group such as the UN Intergovernmental Panel on Climate Change.<\/p>\n

The Nobel prize-winning economist Joseph Stiglitz said the report, commissioned by the South African president, Cyril Ramaphosa<\/a>, found inequality growing in more than eight in 10 of the world\u2019s countries.<\/p>\n

The report said 83% of all countries, accounting for 90% of the world\u2019s population, met the World Bank\u2019s definition of high inequality. It added that countries with high inequality were seven times more likely to experience democratic decline than more equal countries.<\/p>\n

Ramaphosa said the report by an \u201cextraordinary committee of independent experts\u201d had provided a \u201cblueprint for greater equality\u201d that supported South Africa\u2019s G20 plan \u201cto put inequality on the international agenda\u201d.<\/p>\n

Without endorsing the need for a high-level panel of experts to monitor the gap between rich and poor, he said: \u201cInequality is a betrayal of people\u2019s dignity, an impediment to inclusive growth and a threat to democracy itself. Addressing inequality is our inescapable generational challenge. This report lays out prudent and pragmatic steps we can take to reduce it.\u201d<\/p>\n

The G20 was established after the 2008 banking crash to be a more representative group of the G7 group of the world\u2019s richest nations. It includes Saudi Arabia, Mexico, South Africa and the UK.<\/p>\n

Campaigners expect several G20 countries will back the demand for a panel to monitor inequality<\/a>, including Germany, before the ministerial meeting on 22 November.<\/p>\n

Stiglitz, a professor at Columbia University and the chair of the independent experts, said the committee\u2019s main recommendation was for the G20 to establish a permanent panel that \u201cwould monitor trends and assess its consequences and evaluate alternative policies for addressing it, to inform governments, policymakers, and the international community\u201d.<\/p>\n

Stiglitz said studies have shown a widening gap between rich and poor undermines democratic institutions and fuels populism.<\/p>\n

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The report said new analysis showed that between 2000 and 2024, the world\u2019s top 1% captured 41% of all new wealth, while only 1% went to the bottom 50%.<\/p>\n

The committee said a groundbreaking study by the Italian economist Salvatore Morelli showed as much as $70tn of wealth would be passed to the next generations by 2035.<\/p>\n

\u201cWealth inequalities have a forward momentum, as compound interest increases fortunes and, in the absence of effective inheritance taxes, wealth is handed down from one generation to another, undermining social mobility and economic efficiency,\u201d it said.<\/p>\n","protected":false},"excerpt":{"rendered":"More than $70tn (\u00a353tn) of inherited wealth will pass down the generations across the world over the next…\n","protected":false},"author":2,"featured_media":242356,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[84,1294,56,54,55],"class_list":{"0":"post-242355","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-economy","8":"tag-business","9":"tag-economy","10":"tag-uk","11":"tag-united-kingdom","12":"tag-unitedkingdom"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/242355","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=242355"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/242355\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/242356"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=242355"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=242355"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=242355"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}