Spain’s rich are getting richer

January 6, 2012  •  Business & Finance  •  1 Comments

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• The gap between Spain’s rich and poor has grown bigger than in the UK

By Wendy Williams

THE gap between Spain’s rich and poor has grown bigger than in the UK.

It comes as a new report by the OECD reveals the wealth divide throughout Europe has soared to the highest level for 30 years.

In particular it has emerged that the top 10 per cent in Spain earn a staggering 12 times that of the lowest paid workers.

And according to the report, last year inequality in Spain reached its highest level since 1995.

Of those countries surveyed, only Israel, Turkey, America, Mexico and Chile have bigger divides.

The situation has been made worse by the economic crisis but the trend started in the mid-90s with the period of sustained growth that left policies of wealth distribution by the wayside.

The main reason for inequality is globalisation as the workforce must compete globally with cheap labour more readily available.

But tcchnological advances have also widened the wage gap, as those without training or qualifications struggle.

Now the OECD is calling on Spain to review taxes and public spending to ease the problem.

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