Britain’s economic model is broken and produces widespread inequality, the Archbishop of Canterbury has warned in a report backed by business leaders.
Justin Welby said the UK needed to make fundamental choices about the direction of its economy, in a study that found the gains from growth are being diverted into profits rather than wages.
“Our economic model is broken,” said Welby. “Britain stands at a watershed moment where we need to make fundamental choices about the sort of economy we need. We are failing those who will grow up into a world where the gap between the richest and poorest parts of the country is significant and destabilising.”
The report by the IPPR thinktank’s commission on economic justice, which features senior business and public figures alongside Welby, stressed that all political parties needed to reject the current patterns of economic growth that delivered most of the gains to corporations and the richest in society.