A recent report by Oxfam, titled Takers Not Makers, has revealed a dramatic increase in billionaire wealth in 2024, sparking concerns over widening global inequality. According to the report, billionaire fortunes surged by an astounding $2 trillion last year, which equates to an astonishing $5.7 billion per day. This pace of wealth accumulation is three times faster than the previous year, intensifying the disparity between the world’s richest and poorest populations.
Oxfam warns that the current trajectory could result in the world having at least five trillionaires within a decade. At the same time, nearly half the global population—approximately 3.5 billion people—continues to live in poverty. The World Bank has reported a stagnation in poverty reduction, a troubling trend not seen since 1990.
Unequal Wealth Growth in the UK
The United Kingdom has witnessed a significant spike in billionaire wealth in 2024. Combined wealth among UK billionaires grew by £35 million ($44 million) per day, reaching a total of £182 billion ($231 billion). To put this into perspective, this amount of money could cover the city of Manchester in £10 notes nearly 1.5 times.
The number of billionaires in the UK also increased, with four new individuals joining the ranks, bringing the total to 57. However, this wealth accumulation comes with concerns. Oxfam highlights that the UK has the highest proportion of billionaire wealth generated through monopolistic practices and cronyism among G7 nations. Specifically, 37% of UK billionaire wealth is linked to cronyism, while 15% stems from monopolistic ventures.
On a global scale, Oxfam’s report estimates that 60% of billionaire wealth is rooted in inheritance, monopoly power, or crony connections between the wealthy elite and governments. The analysis further notes that many European billionaires owe parts of their fortunes to historical colonial exploitation, which Oxfam describes as a form of “modern-day colonialism.”
Global South Faces Economic Exploitation
The Oxfam report sheds light on the persistent economic exploitation of the Global South, which continues to serve as the labor backbone for the global economy. According to the findings, 90% of the labor that drives the global economy comes from the Global South, yet workers in these regions receive a mere 21% of the global income.
Moreover, $30 million per hour is extracted from the Global South through financial systems that disproportionately benefit wealthier nations such as the United States, the United Kingdom, and France. These systems exacerbate inequality, as low- and middle-income countries are burdened by debt repayments that consume nearly half of their national budgets.
Between 1970 and 2023, governments in the Global South paid an eye-watering $3.3 trillion in interest to creditors in the Global North. Much of this money flowed to financial hubs like London and New York, perpetuating the cycle of wealth extraction from poorer nations.
Alarming Implications
Oxfam’s report underscores the urgent need for structural changes to tackle the growing wealth gap. The organization emphasizes the role of monopolies, inheritance, and cronyism in perpetuating billionaire wealth while leaving billions of people in poverty. The findings also draw attention to the historical and ongoing economic exploitation of the Global South, highlighting the stark disparity between those who contribute to the global economy and those who reap its benefits.
As global inequality deepens, the report serves as a stark reminder of the pressing need for policies that promote economic fairness and reduce the concentration of wealth among a small elite.