LEADING public and private sector organisations need to do more attract ethnic minorities to their boardrooms, Kalpesh Solanki, managing director at Asian Media Group (AMG), told attendees at the GG2 Leadership & Diversity Awards.
In December 2023, only 44 per cent of the UK’s top 50 largest private companies had at least one ethnic minority director on their board, compared to 96 per cent of FTSE 100 firms and 70 per cent of those in the FTSE 250.
“As we look across the country into the boardrooms of the leading public and private sector organisations we don’t see many faces of colour,” said Solanki.
“All the arguments of employing diverse talent, especially in senior positions, have been made. So how do we persuade leaders to have impact on their organisations and our society?
“Maybe the time has come to shine a light on those organisations making progress and those which are not. And for ethnic talent to be more discerning in choosing their future employers.”
Solanki added that “we needed to create a more just and equitable society”.
“There are racial disparities in many facets of our lives. This is why we must continue to work towards eradicating these disparities and create a more just and equitable society where opportunities are available to all, and not based on the colour of our skin,” he said.
“We need to address the pay gaps that exist for ethnic communities and highlight the organisations who choose to pay ethnic talent less than their white counterparts.”
He added, “While there are many examples of inequalities and racism, there are also many examples of success where immigrants have integrated and enhanced our lives.”
Solanki referenced success attained by British Asians in politics as an example of what ethnic minorities could achieve, if given the opportunities.
He noted a British Indian prime minister in Rishi Sunak; a British Pakistani mayor in Sadiq Khan (London); and in Scotland, the first minister Humza Yousaf and Anas Sarwar leader of the Scottish Labour party, who are both of Pakistani heritage.
Solanki said the awards were about recognising organisations working towards a diverse and truly inclusive workforce and championing diversity.
“We see ethnic judges upholding the rule of law; surgeons performing ground-breaking operations; researchers finding solutions to cure us; professors helping to educate us; and doctors and nurses at the heart of the NHS,” he said. “This evening is all about recognising and celebrating these successes.”
£1.3m needed to join Britain’s top 10% of wealthy families
Average worker would need 52 years of savings to match elite wealth
South East wealth nearly triple the North East
Rising wealth divide in UK
British families now need total wealth of £1.3 million to enter the country’s wealthiest 10 per cent, according to new research that highlights the growing financial divide in post-pandemic Britain. The Resolution Foundation’s ‘Before the Fall’ report reveals that Britain’s stock of wealth continued to grow during the pandemic, reaching a new record high of 7.5 times GDP.
Whilst relative wealth inequality has remained high, the absolute wealth gaps between rich and poor families have grown sharply following the unprecedented mix of economic shocks and policy interventions during the Covid-19 pandemic.
The report reveals that a typical worker would need to save 52 years’ worth of their earnings to join the wealthiest 10 per cent. This shows how building wealth has become nearly unachievable for ordinary workers, with riches now concentrated amongst those who already own homes and have large pension pots. The wealth gap between the richest and middle-income households now stands at £1.3 million per adult, showing how the distance between rich and poor has grown dramatically.
Regional wealth divide
The wealth divide extends across regions, with stark disparities between the prosperous South and struggling North. Median wealth per adult in 2020-22 stood at £290,000 in the South East, compared to just £110,000 in the North East – a gap of £180,000.
This regional inequality reflects decades of uneven economic development, with London and the South East benefiting from higher property values and greater access to high-paying jobs, whilst northern regions continue to face lower house prices and fewer economic opportunities.
Wealth concentration persists
Molly Broome, senior economist, at Resolution Foundation said, “Soaring wealth and an acute need for more revenue has prompted fresh talk of wealth taxes ahead of the Budget next month. But with property and pensions now representing 80 per cent of the growing bulk of household wealth, we need to be honest that higher wealth taxes are likely to fall on pensioners, Southern homeowners or their families, rather than just being paid by the super-rich,”.
The findings paint a picture of a nation where wealth accumulation has increasingly become concentrated amongst those who already own property and have pension savings, making it harder for younger generations and those without existing assets to climb the wealth ladder.
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