Is the Generational Wealth Divide really just a Class Divide?

[@Kactus_Kris]

"its class based" "it always has been" *astronaut meme*

[@Yavin4]

I made more money than my co-worker, but my co-worker was able to purchase two homes largely because of their parents. This robs the incentive of working hard and building careers. What's the point of it all?

[@weeksy79]

There is a whole new divide coming; the interest rate divide. A huge swath of people that were able to accumulate assets at extremely low cost and have upped the barrier to entry for everyone else. Hence you end up with 50 somethings paying £500 a month on their mortgage, going on three holidays a year. With 30 somethings next door on the same salaries paying £3000 a month and racking up debt.

[@Micheallarm]

I'm 47yrs old. $73,000 biweekly and I'm retired, this video have inspired me greatly in many ways!!!!❤️

[@MeganMars-x]

I'm highly inspired. Please spill some sugar about the bi-weekly stuff you mentioned.

[@Micheallarm]

All thanks to Maria Luisa Clare

[@Micheallarm]

After I raised up to 325k trading with her I bought a new House and a car here in the states 🇺🇸🇺🇸 also paid for my daughter's surgery (Joey). Glory to God.shalom.

[@JulioSuarez-p2m]

Absolutely! I've heard stories of people who started with little to no knowledge but made it out victoriously thanks to Maria Luisa Clare.

[@msdowning1]

Wow 😱 I know her too! Miss Maria Luisa Clare is a remarkable individual whom has brought immense positivity and inspiration into my life.

[@OnlyYato]

From someone who was originally saving to just be able to afford a home. I've mentally checked out. I still to save but honestly dont take it as seriously as I use to. I spent years saving money to be able to afford my own home but part of the problem is just how long and how much you're willing to take. In the grand scheme of things it makes sense. But when you start to also learn about the harsh reality of how expensive things are, how lonely it is and honestly how mind numbing it is. Theres a point where you just crack and cant do it anymore. Along with the fact youre in a toxic household where you dont have a supportive parent that just uses you then helps you. And you give in. You either need to have supportive parents, have an incredibly set code to focus on saving substantial amount of money for 4-5 years. Or be incredibly hard working at your job in these tough times to ear wage growth to get to owning your own home faster. None of those applies to me. And I can say I'm pretty done trying to make it all work

[@Aubrey2004-j4k]

Yeah true

[@dalebraithwaite6890]

@OnlyYato I did it, I lived in a rough area, had long commutes, and I didn't go out drinking or smoking, and I took as much overtime as available averaging 60hr weeks for 11 years, I ate bland food and I drove a 2004 3 door citoen c2 for 8 years, I'd get my hair cut every 6 months and I had one hobby which was a £15 a month gym membership. I sacrificed, and I worked hard, and by the time I was 29, I bought my own place. I did this as a millennial born in 1993 and am the sun of a factory yard worker father and an unemployed mother, I didn't go to uni and I'm on the autistic spectrum and have dyspraxia. My parents gave me nothing. Don't just check out cause you think you can't do it. You can, let today be the day you start the grind

[@BadgerBoy59]

I mean, it's both a class AND generational divide. Those older generations were able to build wealth and assets - which have all increased in value over time - so therefore became middle or upper class. They're then able to pass-on that wealth to their children, automatically putting them into the same class.

[@WhichDoctor1]

but if people today were still able to generate wealth themselves through their own work then it wouldn't be as much of an issue. Those without rich parents would also be able to acquire assets themselves like older generations did, and the rich parents wouldn't feel as much of a need to help their children and would spend more of their money on themselves instead. So it's the fact that our economy is moving away from earning money to become wealthy and back to having to already own money to be wealthy that is creating both the generational and class divide

[@HansChucrute88]

My mom is a hag, even though she in her 60s and I'm in my mid 20s she will live more than me for sure. I'm just above minimum wage, even though I have a college degree, and do uber as a gig on the side. My mom has a passive income though rents, pensions that is 14 times mimimum wage. I have 2 sisters, and much of her wealth has been build after she married my stepfather, he has other 3 sons. All above 35. Probably I will be in my late 50s when I get any inheritance and will be divided by 6 people, all above 60(I'm the youngest). So basically I will be already old, and get not so much.

[@jayviolentmob8309]

@@HansChucrute88 It's still not a generational issue, so much as a class one, is the point. Back in the day you would have, on average, have been able to make your own way, even without your mom's support. You wouldn't have had to struggle after getting a degree. You wouldn't have needed a side gig. Because back in the day a single average job would have been enough for you to get a mortgage. The economy has changed and forced a class issue, not a generational one. I had a landlord who was able to buy a 3 up 1 down house on his single income working a standard job at the post office. ANd he came out with a wonderful pension too. No help needed from his folks. Basically, it's not your mom's fault. "It's the economy, stupid."

[@TW0man4RMY]

@@jayviolentmob8309 NO, it is a generational divide because the problem stems from the debasement of the currency by Nixon and older generations actively went along with it and continue to do so by ignoring the original cause of the problem and their hand in ignoring it because of hoping they could get rich easily over the resulting property speculation.

[@XeNeXX]

pensioners have also had 60+ years to purchase the things they need in life - games, decorations, coats , blankets etc etc - they had 60+ years to buy it ALL for WAY CHEAPER than they would cost today - i have 0 sympathy for those whove had 60 yeares to prepare and havent - my sympathy goes to everyonme else who hasnt had thaty luxury and who earns less than they did decades ago (in real terms) - everyone else is cold too - if only they say, had 60 years of experiecne to draw on and buy a bastard blanket

[@finnle5432]

Without a push from my parents, I would not be on the property ladder and would now be paying more in rent than I do on mortgage repayment. It's more expensive to be poor. I'm lucky and I acknowledge it's extremely unfair.

[@g3523jaen]

Yeah... My parents don't own anything... So I'm fucked... Left the west (I'm from europe) to try my luck and will probably be able to buy in a few years....

[@DummyUseless-er3dn]

So sad that your parents don’t own anything and yet had kids. Let’s hope you don’t do the same mistake

[@Tommyleini]

@@g3523jaen Where did you move to?

[@HoneyTwee]

​@@DummyUseless-er3dnso only the rich should have children? Sickening comment.

[@patrickglenn4038]

Didn't think we were allowed to use this particular 'c' word these days!

[@Pobotrol]

They'd like us not to.

[@sagm5674]

Split the population 50/50 on all social questions (migration, energy, gender, sexuality..) except class. We shouldn’t talk about class

[@WhichDoctor1]

@@sagm5674 i hear class talked about all the time in feminist and queer spaces. You can't understand inequality without it. I think it went out of fashion in the mainstream with new labour. But it never went away

[@tomasvrabec1845]

That's ridiculous. Class is a commonly used word everywhere, including public sector.

[@Talisguy]

​@@sagm5674 Well, those things all play into class. For instance, BAME people had a much harder time accessing council housing in the early post-war years, which meant that the beneficiaries of the Right to Buy scheme were disproportionately likely to be white. The people who benefited became property owners and had increased financial security, leaving people who couldn't benefit to face the same housing crisis as the younger generations. You can't separate them from each other.

[@dabi-ngin]

Being a few days into living in my first property, which I could not possibly have afforded without support from the bank of mum and dad, I can confirm my experiences line up with this. I'm 28, have many colleagues older than myself not even close to being able to afford a property, and feel unfairly far ahead at this point for something I didn't really earn. Poor access to quality housing is really divisive and bad for social cohesion. We drastically need to get building and renovating older properties and do more to bolster wages for those barely able to survive month-to-month renting, unable to build any savings aside for a deposit.

[@justinstephenson9360]

The video missed something very important. Having parents who are asset rich, usually because they have a house which has massively increased in value, doesn't really help very much because with people living longer you may be in your 50s or even 60s before your parent dies and pass on their wealth to you via inheritance. What matters is having parents who have a lot of spare cash - or die when you are in your late 20s or early 30s

[@MinotaurvsCyclops]

Yep exactly. My mom's inheritance is worth around £1m (all in assets), but it doesn't mean anything at the moment because I won't get anything until then, at that point I would hope I don't need it anymore.

[@matthowells6382]

Exactly, though my parents were recently able to help me with a deposit as they’d both taken their cash lump sums from their pensions. That’s probably the best way for most people to have access to large amounts of cash, though it obvs depends on your pension situation

[@santostv.]

If their house is paid for already or have a mortgage at a cheaper market rate they have higher savings rates thus they can pass their savings to their children or you can save by living with them and not paying no to minimal rent and thus your savings rate is still higher compared to someone renting by themselves , this is how it works in my country for decades and some even have more options like inheriting a home or their parents convert the first floor,garage,annex,basement ect into a house for them and the ultimate option is emigration. If your parents have none of that you are screwed tho.

[@justinjoseph8491]

If your parents own a home and have have a decent job, you are in a better position than someone who's parents do not, assuming parents help their children out by the same proportion of their wealth and income. A renting parent cannot help their renting children buy a house.

[@Osindileyo]

It does. If the assets they have is housing, you cam get it cheap or free, or otherwise, some of it can be sold and you have the help that way. Assests are just stored cash. They still have something that can be used to help. Help is help.

[@cfehunter]

I grew up in council housing with my mother and my siblings. Went to uni, got a computer science degree, helped her buy her house and now looking to buy my own. I can imagine it's not as simple if you didn't go into a STEM field, and middle/upper class folks are going to have it a lot easier. I think the housing market is just broken, demand is massively outstripping supply.

[@unamedjoe830]

I know very few poor older people... I know a fuck load of poor young and middle age adults.

[@Wingsaberrules]

I don't doubt that most pensioners are better off than young people, but they are still affected by the class divide. I work in Pensions and know both ultra rich people with multi million £ private pensions and those with just the state pension which covers their mortgage but not food or heating.

[@AppleAirsoft]

In the UK the wealth distribution is now worse than it was during the french revolution, the gap between our richest and poorest 10% is now, the US excepted, the highest in the developed world. And the rich will still be telling you its the fault of the poor people in a boat fleeing war and you will still buy their papers and still be poor. Blame the immigrants not the literal people making your life worse.

[@Bushflare]

No, *everyone* will tell you the people being trafficked into the country are part of the problem and the *rich* people will pay for mouthpieces that force an interminable argument between the proles over even the most transparently agreeable issues because that's what they've been doing since Occupy Wall Street. Doubling down on redirecting ire over oppression away from the factors which benefit the rich and towards factors which are ultimately inconsequential. If the left and right could just stop being stupid and agree "Yeah maybe the people traffickers are exploiting out asylum process and taking advantage of our good will." and "Maybe there's merit to exploring how race and gender affect the stratification of society." then we could actually focus on the real problems like the neoliberal hegemony wringing the lifeblood out of the country and throttling out freedoms out of us until the proles have no recourse left to resist. But no. Squabbling over inconsequential tribal bugbears is all we get.

[@mikecooper2566]

Unfortunately tackling the true root cause of the issue is to much thinking for the average person to do, so instead they just use a scape goat because that's much easier. That's the key issue here, people are not focusing on the true root cause because that would require them to think rationally and use a bit of intelligence, much easier for them to just blame a foreigner because "They said it was the foreigners fault on TV" or "I saw a Facebook post that said it's foreigners to blame for our problems". The world as a whole is heading towards a very dark place because of mass wilful ignorance but unfortunately it's not the first time and it won't be the last because no matter how many times we have to go through this crap, people will never learn from history.

[@barknbryce6993]

they both make our lives worse - but the rich cause the immigrants to come here and strain supply and push up prices

[@Diesel-bk1ie]

I didn't know France is having a war?

[@weeksy79]

Unlike the US though, the truly wealthy in the UK hide it exceptionally well. The general public doesn’t seem to have a clue what real wealth is, and thinks anyone earning £100k is the enemy.

[@tomasvrabec1845]

The sad thing is that a mere 20k, which is not all that much money overall, makes a mammoth difference. It means getting on the housing ladder, it means owning and paying to own (as you redirect rent into something you will actually own), it means more stability... And over all it can save more than 100k when the rent savings and investment accumulation is taken I to consideration. The problem is that that 20k is exceptionally hard to save. It's a difference between an under 25 buying a house (if they have it) and someone saving up to mid 30s to buy a house.

[@DummyUseless-er3dn]

True

[@jayviolentmob8309]

Bold of you to assume the house price to salary ratio will continue. Folks who do manage to buy should be well prepared for their house price to take a big crash/recorrection in the next decade or so. No guarantees.

[@HoneyTwee]

​@@jayviolentmob8309people have been saying that for years. Truth is is we've commidified land and housing and it's now one of the safest investments you can make. It's not going to crash and honestly if it did i'm not so sure it wouldn't take half the economy with it.

[@00dude3]

20k won't be enough for a deposit

[@RFXZ67966]

Is 20k hard to save? Many people I know under 35 have £10k+ cars and are spending £2k a year on holidays

[@guss77]

The key is "house is an asset that appreciates in value" - this "accepted truth" is what destroys the economy. If the *real* value (compensated for inflation) constantly increases - especially compared to real wage growth that has been stagnant for half a century (especially "young families" wage growth that hasn't been positive for some decades), it means that owning a house becomes less and less tenable as time moves on, but also as rents track house values - renters income % towards housing increases and their disposable income decreases - leaving more and more people in the "working poor" trap.

[@Dan-dy8zp]

And why should they always appreciate? Yes, there is population growth but that trend is tapering off, and houses get older just like cars. Home values have been increasing throughout living memory with population and zoning designed to make prices increase so people just assume it will continue forever. It realistically can't. Will the rich have 100 homes a piece?

[@guss77]

@Dan-dy8zp it's not about billionaires accumulating dozens of houses - it's about the upper middle class cordoning off access to house ownership from the lower 3 fifths of the populace by treating land ownership as long term investment for retirement and inheritance. It is exacerbated by life expectancy increase and housing stock not keeping up with population growth. It is unsustainable in that it will soon price housing out of the hands of working people, at which point there will either be massive government action, tons of homeless and death, or a revolution. This is not a UK issue - it happens across all industrialized countries, and governments are running out of time to fix this using small measures. The labor house stock repair plan is a good first move, but it's not enough and it's unlikely to fulfil its promises in either scope or time frame.

[@Dan-dy8zp]

@@guss77 Obviously it's not about billionaires accumulating dozens of houses. It was a rhetorical question the answer to which is 'no'.

[@olliejarvis1200]

I'd argue that being a home owner sours you as a human. What were once immensely frustrating barriers to entry (prices, inflation, an indefinitely appreciating asset) become a way to pull up the ladder to the next generation. I.e, you can remark that the price you had to pay was unjustifiably high, but it's okay because the next guy is going to pay even more than you did and you make a return. It's this 'screw you I got mine' mindset multiplied by millions upon millions of people that's the issue. Whatever class you're in, no matter how wealthy you are, it's ultimately greed.

[@djoldschool]

I own a house with my wife approximate value 650k. Problem is I have 16 years on mortgage left and 2 grown up kids who cannot afford to buy. The only way we can fix this is to have a far more progressive tax system (ie tax the rich properly) as well as building A LOT more houses to bring the prices down. I don’t feel confident about either happening

[@punklesam94]

The one thing I fear for the younger generation is the increasing frustration with homelessness, inequality and poverty as costs keep on soaring... Mass defiance is nigh.

[@lightningstrike5024]

why do you fear that? sounds like liberation to me

[@punklesam94]

@@lightningstrike5024 Well, is there any other reason to fear for how much worse it'll get before the next generation will be living in? Please give me some answers, I'll be waiting...

[@lightningstrike5024]

@@punklesam94 for some there might be, other have already hit rock bottom, ill be willing to take the pain for the high

[@ChristieNel]

An even better measure of house price is number of hours worked.

[@SaintGerbilUK]

@@ChristieNel I've not seen any stats on this can you tell us more?

[@ChristieNel]

@SaintGerbilUK I did the calculations many years ago and came to 60,000 hours of work for the median wage to buy the median house, which includes the hours they have to work to pay rent while they save for a deposit, interest on the mortgage, taxes, etc.

[@harryscull]

In my opinion this is also part of why rents prices are souring. Most of the 20 somethings renting one bed apartments in the properties I manage have the bank of mum and dad paying for all of it, or at least a good chunk of it. This means 20 somethings like me who can only rent what we can afford on a starter salary are being priced out of these properties and back into house shares. When student studios are over a grand a month in rent it is pretty obvious who is paying the bill

[@1nbp]

2:00 I’m a student studying at a London uni, currently in my fourth year. Before starting this year, I checked my student loan balance. It was above £70,000 and will be above £90,000 once I’ve finished studying. It’s crazy to me that studying costs this much, and I’ll have to get a good job to pay it off soon - owning a house/flat just seems like a pipe dream at this point.

[@dalebraithwaite6890]

Or is the class divide just a generational divide?

[@blackroseangel123]

Notice how it all goes to shit whenever we have a Tory government

[@edmundprice5276]

Capitalism requires a person to be in the right place at the right time with the right capital resources to act upon opportunities that present themselves. Now that the olds have had all the good opportunities they don't want the younguns to have equal opportunities, because they would become comparitively poor

[@Master_Failure]

College is not important. Training is. Trades make a LOT of money and those are solely about training. Many of them become business owners. Some jobs do require the training to be college, but you will find that they often do not pay as well because there are so many people available for those jobs (supply/demand). Maybe this is an unusual take for the latest generation (I am an older generation). But, also from someone making a comfortable anount of money without a degree (and children on variations of these paths).

[@justinjoseph8491]

This just isn't true, you need both. And someone with a degree will always be in a position to move higher up than someone who without one if they have the same training.

[@kyleolson9636]

Jobs that require college still pay far more than the trades, on average, but so many people who graduate from college will never get those jobs. I've seen studies claiming that a third of college graduates would have been better off without college. If we didn't push so many people into college, a lot less people would be struggling financially.

[@justinjoseph8491]

@@kyleolson9636 This doesn't make much sense as someone with a college degree is not disadvantaged in comparison to someone without one because trades don't require degrees. If you finish a degree before going into a trade you'll be more likely to get hire paying positions that require a degree.

[@nevagunter3305]

For new investors: Buy stocks in solid companies and hold them as long as they stay strong. Ignore forecasts and market opinions-they’re distracting at best and useless in the long run

[@williambennington-w]

The key to strong returns isn’t quick-gaining assets but managing risk in relation to reward. It’s about maintaining the right allocation and consistently using your edge to reach your goal. This holds true for everything from long-term wealth building to short-term market plays

[@nevagunter3305]

That makes sense. I’ve been using a financial market expert for two years now and I own a six-figure diversified portfolio from investing in stocks

[@williambennington-w]

Impressive can you share more info about your financial adviser?

[@nevagunter3305]

Yes i will and his name is Gabriel Alberto William, he is not just a broker, he is a financial adviser that give advice on any financial matters

[@williambennington-w]

Thanks for the recommendation and i quickly run a research online with his full name and spotted his website and i will email him right away

[@dorianodet8064]

I mean, header of the video : Young people can't afford shit. Lots of old people are loaded. Some young people may inherit wealth. How can you ask such a stupid question as "is it a class divide" ? It would be a class divide if children from affluent family could easily make it on their own due to better upriging/education/network/Whatever. But if the "class divide" is "Will an inheritance come". Then it's not a class divide, it's still very much a generation divide. If working full time, as a couple, can't afford you an house with kids, even while doing the most menial job, then we're talking about a working class genocide over time. Who'll be left to work when those that do don't live well enough to produce the next generation of worker ?

[@SamWilkinsonn]

The issue is the title’s a loaded question and a false dichotomy. There’s both a generational divide and a class divide and they’re inextricably linked (e.g. lots of old people have no assets and are therefore a ‘lower’ class but on average the older generation are better off.)

[@Maksimszz]

well there is a class divide? and always have been? I go to a prestigious uni and some of the people there already have parents who literally hooked them up on internships and everything so tell me how those people don't have an advantage over me in an ever growing competitive job market?. The wealth inequality for housing just makes the issue much worse

[@dorianodet8064]

@@SamWilkinsonn Yeah but the class divide is largely irrelevant here. The key issue adressed is that "Young people are unable to make it on their own". The fact that some people still can't, but benefit from a free ride, is not systemic, and not representative of a class divide between those young people, that's just it, a free ride. If you replaced this system by saying that "None of the young people can do it on their own but we'll draw lot and give the bare minimum to 20% of them at random" you would still call the system what it is, fucked, and suffering from generational divide.

[@Maksimszz]

@@dorianodet8064 I think the video tries to explain how a generational divide leads to a class divide in the long term, Its literally a no brainer that when you buy a house you save massively on rents therefore giving you more disposable income in the long term thus leading to a class divide within millenials and gen Z. The thing thats causing the divide isn't higher pay, But actually lower costs if that makes sense?

[@IAmConorr]

I think it's the right question to ask, it just hasn't really been asked in this video. The structure of social classes themselves have evolved and expanded to a point where the lines are so blurred it's almost a parody of itself.

[@zachweyrauch2988]

Im canadian, but for reference, my dad didn't finish high school and got a factory job. His wage was higher for moving boxes than my spouse, who was working as a nurse. I got a job temporarily at that same factory and was put onto a lower teir wage scale. I had to move across our entire country and buy a house with severe issues that won't be a functioning home for another 2 years. My dad bought a house in his hometown that tripled in value by the time he sold it and bought another house. Maybe its an anecdote... but how many people have similar stories?

[@larskaminskidk]

It doesn't make sense to compare how much a house costs in relation to income. It's about how much of your income you spend on housing. So when interest rates go down, house prices can go up while the cost of buying a house remains the same.

[@00dude3]

I'm the youngest person in my team (30) and it's crazy how much money my team members (40+) all seem to have 2nd homes, maxed out NSI bonds, motor homes etc

[@gustavelauffer3568]

We need class consciousness and class solidarity to defeat the capitalist class. People need to respect themselves and understand that they do also deserve certain basic human standards.

[@AlexanderLHawkins]

@3:40 and it's right here where the improper assumption is made that this is an investment. It's not an investment, it's a home! And the sooner we lose this distinction the sooner we might get housing prices down to it's utilitarian value.

[@RFXZ67966]

The big problem is people moving out at 18 or straight after uni. If you save that rent money (£600 a month), you'd have enough money for a healthy deposit after 4 years.

[@ratchet2505]

We've know about this near to the end of the 90's and the credit crisis accelerated it.

[@Username18981]

It takes time to build wealth and assets, those who have used more of it will be in the lead.

[@clytemnestra]

This is definitely better framing than the recent Financial Times article

[@glennet9613]

The proportion of university graduates has increased, there is a massive over supply for the number of jobs that really need their skills. Immigrants have been brought in to do the jobs the British graduates feel beneath them. This results in a large number of graduates surviving in the gig economy and an increased pressure on housing.

[@JonasHamill]

This seems more like 'Class divide is actually just a generational wealth divide'

[@teuschi]

I’ve got lucky with my house. Not long turned 25 and my first house should complete this a Friday. I’m on a low income but managed to buy 30k under market value. I currently rent for £800 per month very happy my mortgage will only be £622. I will end up overpaying the difference though.

[@360trev]

Way too simplistic video. Costs of education shot up because it was decided in a think tank somewhere that "everyone" needed to get a degree, just to go and work in basic relatively low paid jobs, not McDonald's but not much better. This saddled the majority of students with huge debts from day 1. Many of those new degrees were totally useless except to earn the universities cash. Even dropping the title "red brick uni" Vs Polytechnic. Sad. Couple that with falling average wages, energy policy "suicide" linked increasing energy costs and over emphasized impact of green washing being placed on UK citizens as a burden that will make zero differences to the world overall but cause huge hardship to UK people. Add in increasing inflation and massively increasing immigration of the wrong kind, poor and not net positive financially (again govt policy) putting more demand on house prices you had a perfect storm. It's all linked. Houses are not some panacea to unlimited future security and wealth, as increasing interest rates, stagnated wages and lower quality of life standards become reality for millions of people. It was far easier for tech savvy young to just leave and go somewhere low taxation and growing like UAE. What a mess they've created. 😢

[@RenoGerry]

There is not a generational divide other than what occurs naturally over a lifetime. However, the upper class has always used this as a diversion to pit young against old meanwhile they continued to lobby for more and more favors from politicians including helping bring their favored politicians into the upper class.

[@josephharrison8354]

This is astonishing. I'm astonished right now. Truly flabbergasted. Utterly gobsmacked.

[@MisterM2402]

So are you saying you're rather surprised then?

[@stephanguitar9778]

The neoliberal financialised economy started this process, the process that is leading us back to sefdom. Thatcher started this in the UK and to accelerate the process sold off the council housing stock.

[@Bushflare]

Combine that with the consistent importation of a foreign serf class to displace low-skilled workers by Blair and subsequent governments and now Starmer's even going after the Farmers. It's so nice to see the parties can at least agree on who to screw.

[@Osindileyo]

​@Bushflare the numbers disagree with you. Paying people poorly is a choice, as is refusing to have wealth taxes. This issue would exist with and or without immigration. This is just what capitalism is all about, you are pushed and incentivesed to have as much as possible, especially when it comes at the cost of others not having said thing. Let's not use racism to explain a capitalism problem

[@charlieduke1627]

The upper class is another word of aristocracy and rest are just ordinary people. We live in a medieval period of 21st century with advanced technology and medical care.

[@SleinJinn]

You've kinda buried the lead with this one. The key issue is whether the class divide has gotten larger across generations. For one, in a less unequal era, greater socioeconomic mobility allowed people more opportunities to climb out of the class they were born into. Furthermore, the opportunities to live "the good life"-however one defines it-were less heavily concentrated in the upper classes; i.e., even people near the bottom of the socioeconomic ladder could achieve relatively good standards of living.

[@mark27432]

4:04 I love that your graph goes back to 1845

[@kaanboztepe]

unemployment data collection/calculation has changed so much in the last decades that it is not possible to compare it to the 1900s. also the starter job income and requirements have also changed dramatically

[@daryam3924]

Are we factoring in difference in young household structure? Whereas 30 years ago it would be a young couple in 20s, now largely it will be single households, which dramatically reduces affordability

[@daryam3924]

Also, are there stats on what % of older generation used bank of mom and dad to get onto property ladder?

[@SidewaysIsDead]

0:57 I couldn't help but hear Alan Partridge saying this in Scissored Isle😂

[@TwentyZZ24]

Picture this. If you have 2-3 properties from your parents, you are automatically in a better situation compared to a well paid doctor but I think solutions to this problem is worse than the problem. What should be done? Punish people for being successful and providing to their children?

[@zachweyrauch2988]

We could restrict and regulate the use of private property. For instance, in canada where I live, the property value growth since the 80s has allowed people who could only afford a single home for themselves to leverage debt into another home for them to rent out.

[@sSteppingStones]

Keir starmer will blame the Tories as he always does

[@Mitjitsu]

If you go back to the 1979 election. The most reliable indicator as to how one voted was their class. However, age was the most reliable indicator during the previous election.

[@Dendarang]

On a macro level, to me this looks like the end of post WW2 general prosperity for all where everyone is middle class and a return to pre WW2 (or even pre WW1) sharply divided society. Right now it seems like a generational divide between those who grew up in the Cold War and its immediate aftermath and who were part of the general prosperity and those born after 2000 who won't be, this time of flux then produces sharp generational divide that's going ot disappear in a few generations and leave behind strong new old class divide.

[@AnthonyRusso93]

Here in Yankeeland it is much more biased to the generational side. Actually the economic situation (excluding the 1% of course) in Yankeeland is largely dependent on specifics of location certain places are overheating economically, lots of places are Ligottian desolations of deindustrialized grayland or greyland maybe you call it, but hit the Goldielocks communities it is actually pretty nice right up until you are ready to sell and people who can afford to take a property off your hands as well as real estate vacuums that are exclusively interested in boom-towns, are few and far between. Which you know is not that counter intuitive regardless of why a given market is a buyers market or a sellers market at any given point in time it is either one or it is the other never the quantum superposition with the hope being you have a buyer's market when you hope to buy and the timeline you want to sell lines up with a change in market to that favorable for seller's.

[@DavidJBradshaw]

You need to include interest rates in mortgage affordability comparisons between generations

[@chronosx7]

tl;dr: As things become more expensive having relatives with money is more of an advantage and the have/have-nots distinction become more tangible So increase _supply of_ goods through production and building on one hand and _demand for_ jobs through entrepreneurship on the other and things might reverse

[@Kris_96]

I mean it still is a G. divide because those people could buy on their own, we need to rely on others for help. Yes some also got help from parents but they didn't need it, they could've actually saved and afforded.

[@nuttspaz1]

I mean a fair link. However the fact that young people increasingly rely on parents just supports the generational divide. If there was no divide there would be no need for the bank of mum and dad

[@basvriese1934]

Sadly this is also a problem for democracy. Having housing be cheap and affordable is clearly great for a country as a whole, but there are definitely individuals for whom high houseprices is more advantagous. The housing market has been caught up in this and this results in a system where high house prices are great for people who already own their homes, because it means that their house goes up in value. This is a huge politcal problem that's going to create some serious issues in the future on top of all the damage it's causing now.

[@blablup1214]

Wouldn't say this is a class thing. I mean the children of rich parents also can't afford a house with their income.... The ones that can afford is STILL the older generation ...

[@bleakryan]

The system is broken.

[@Pobotrol]

More inheritance tax please!

[@MinotaurvsCyclops]

No thanks, me and my siblings are all broke, but if my maker ever goes - we'd all be ok. We all work, btw

[@xvutq706xcrt]

Even if we could buy commonhold apartments, it would be better than renting... we need the ability to get on the ladder... the ability to buy... renting is destroying everything

[@singranasbonfireofdreams8161]

you dont need to buy a house, simply take what you would (could) have paid in a mortgage and save that amount of money in something like the vanguard total world etf, you get very similar returns to owning a house and is less risky since if your location goes down the drain, you wont lose your house value and income at the same time. on the class issue, demand the government pay you a UBI so you are sure the spending helps you (and other poor people) directly without just being a gravy train for connected contractors. also demand a land value tax to replace all the other taxes that the rich can game their way around

[@dixieflatline1189]

Generational wealth.... I'm 56 - those families that were wealthy when I was a kid, their kids and grandchildren are wealthy & educated today. In that time "middle classes" have grown (in expectation if nothing else) and the working class has got relatively poorer (flatlined pay, things are more expensive). The thing that has hurt the uk is a) loss of council housing / good quality housing for working class families b) unrealistic expectations / aspirations. Aspirational thinking (PR / Marketing) has done more damage to our young than anything I can think of. As the Stones say, you don't always get what you want. But get educated and be paid for your intellect, you might get what you need

[@Osindileyo]

Nowadays aspirational thinking Is having your own home and not starving and freezing Why should people not have a comfortable and enjoyable life? Should we just accept not being able to make ends meet and give half our paycheck to some wealthy slob who lives without ever having to work at our expense? You're joking, right?

[@dixieflatline1189]

@ A universal truth is get an education and payed well for your intellect, not your labour. There is nothing unserious about that.

[@TheRealE.B.]

Historically, Bitcoin has gone up in price. The sooner you get on the pyramid... I mean, ladder... the better off you are. Of course, houses actually have intrinsic value, unlike Bitcoin. However, their "historical tendency" to appreciate faster than inflation has a pretty short track record on a civilizational scale, and many of the underlying factors behind that appreciation were one-time things. The paths to "profitable" home ownership have narrowed substantially and could easily disappear. That's not to say that older generations didn't make a ton of money from it. Just because the mine is empty now doesn't mean someone didn't get rich from it. And I ultimately agree that the resulting wealth gap represents a return to a more traditional class system, even if I disagree on what's a cause and what's an effect.

[@kevinboushel154]

As other commenters have said, to wave off the generational divide as a class divide misses the point. Those YouGov stats show that only 19% of young people in 1975 required family assistance to buy a home, which had risen to 55% by 2020, proving that our generation is far less financially independent. Furthermore, the article does not compare home ownership rates or wage to rent ratios to show how many young people are boxed out of the property ladder, nor does it compare the number of young people living in their family home well into their 20s and 30s. Class divides are always prevalent, but how about you compare the experience of working and middle class young people in 1975 to today?

[@kevinboushel154]

It's unfortunate that TLDR no longer lists sources in their descriptions. I did my best to find the cited study and found qn article from 9 May 2022: "How many people had help from their parents to buy their first home?"

[@antlermagick]

Now I wonder how many comments will call you 'biased' just for looking at the facts and analysing the cause of this crisis...

[@SaintGerbilUK]

You mean like how they completely ignore people who don't go to uni?

[@Maksimszz]

we all know the cause of this crises, I mean it was literally Margaret Thatcher who decided to sell off most of the housing stock and decided to leave the construction of homes to the 'free market'. Didn't really work did it?

[@Bushflare]

Or how they ignore the major factor which has increased housing demand and thus housing prices over the past 30 years?

[@samdonohoe9796]

Get your degree in something pragmatic, move abroad to somewhere thats going to pay you better and has more affordable housing, once you move stop paying back the student loan and invest all your earnings into an s&p 500 etf until you have enough for a downpayment

[@swedichboy1000]

Why money is an artificial limitation.

[@HOLLYcat1]

FDR once said "People who are hungry and out of a job are the stuff of which dictatorships are made" I'd argue that today it us those without prosperity and the security of owning a roof over their heads are what make dictatorships and this can be seen in the rise of the far right and even the far left amongst the younger generations, it shoukd deeply concern our politucians that this issue should be delt with as if they dont we may loose our democratic rights to people who will promise younger generations the promise to fix it by blaming it on scapegoats.

[@Bushflare]

The people taking away our democratic rights are Labour and the Tories wtf are you on about the 'Far Left' and 'Far Right'. The extremists on the right want the government to stop jailing people for speech and the extremists on the left want the government to dislodge corporate interests from the back of their throats. We live in an age where positions once considered to be moderate have *become* extremist because the government seems to be invariably arrayed against the interests of the people.

[@luluisze]

And combine with new labour budget with rise of stamp duty, only wealthy player can get on housing ladder. House own by strong player means expensive housing market will stubbornly stay on rise further

[@Phil_AKA_ThundyUK]

5:26 - it's "Have Nots" not "Haves Nots"

[@dirtmcgirt168]

This guy sounds like DIY Perks

[@TejashPatel-z2r]

This is culture shift problem not a class problem. Western people are culturally individualist and expect the state to ensure they can be independent. Eastern people look after each other. The older look after the younger and younger look after the older. Western culture maybe pretty but its flawed and we're now seeing the flaws now its reached its pinnicle. Time to shift East people.

[@simonmarshall3869]

More ane more jobs needing a degree when degrees were free. And they blame the kids for their own free ride.

[@bullbrumDJ]

Selly Oak, nice rental example (as a UoB student)

[@sapientia4805]

Guys, maybe it is time to upgrade your studio; it looks very sad 😅

[@biggeordiecliffordd8609]

As the population of the UK decreases, so will the value of houses as demand falls & real wages will rise as Labour becomes more scarce. Unfortunately, this is in the future & doesn’t help the current 20 - 35 year olds.

[@santostv.]

Will not happen if immigration and real estate investment continues at a rate that doesn’t let property prices fall then young people have more working opportunities in cities and thus demand in cities with more jobs will keep up.

[@Jon-hh3gz]

It'll always be class. Even when people do get inheritance it's not usually a lot in working class families. There are many who don't get it from both their grandparents and parents and with aging populations I may be of retiring age before I'd get the later and even then it wouldn't buy a 1/3 of a house.

[@Tomwitten123]

Where does it stop though? you dont need an expensive egconomics degree (of which I'm still paying off!) to know that at the end of the day an asset is only woth what someone is willing to pay for it, at some point we must hit the edge of affordablilty even with parental help - no ones ever been able to explain to me how house prices can continue to rise (in real terms) with stagnating wages over decades.

[@zachweyrauch2988]

In canada people don't buy homes more than companies. Maybe that's the case in the UK too.

[@Tomwitten123]

@@zachweyrauch2988 I can see that happening here down the line - very depressing future where we all just rent off institututional landlords.

[@undertone2472]

Can it not be both a generational and class divide? Because it is. Your graph showed that in the past less parents had to help thie children get their first home. Not that more parents couldn't in the past, they didn't need to help. That mean the younger generations have a lower buying power as a whole. The difference with class is that wealthier parents can afford to buy their children out of the housing affordability crisis, the poorer ones can't. That doesn't mean it didn't affect those people of the younger generation they just have some rope to help. They can't have the pride of doing it on the own. It was taken from them. So a generation had to pass on wealth earlier then normal because housing is so expensive. That means those parents didn't have that money to still grow and accumulate interest. Which then means the average British family as a whole is pooer now then in the past because they have less buying power across generations. The whole Kingdom is sinking....thats so sad. The Titanic is still sinking the wealthy just get on the first life boats. (Except London, London built their own ship inside the ship). This should be so alarming to the UK government...will they do anything the fix it? They will likely just dig a bigger hole.

[@DanskerneFraDanmark]

Its 100% real

[@SaintGerbilUK]

It's odd this started to happen when we opened the borders. It's even stranger that you completely ommit this from your video.

[@Bushflare]

I don't think that's strange at all tbh... Expected, even. Intentional, perhaps.

[@tomasvrabec1845]

It all started with the selling of council properties introduced by Maggie Thatcher. There is a lot of evidence that her ideas were very shortsighted and caused issues within the whole housing market.

[@Talisguy]

@@SaintGerbilUK It didn't.

[@SaintGerbilUK]

@@tomasvrabec1845 did she do that in 97' when the graph changes? How does the government owning a significant amount of housing make housing cheaper?

[@SaintGerbilUK]

@@Talisguy weird how the data points that it did, but your feelings tell you it didn't.

[@ThomasBoyd-t7g]

Pietro Boselli Italian warned he out my system he better person no Thomas. Thanks England London.

[@GarethWrintmore]

I think that financial education, basic economics and investment management should be taught in secondary schools. It's about 20 years since I attended though, so maybe it is.

[@wearesebastian]

Getting on the housing ladder is by far the worst decision you can make at a young age. Never invest more than 20-25% of your net worth into property. So do not put more than 20-25% of your capital into your deposit. Most young people put over 90% of their net worth into their home and cripple their ability to outperform the market and actually grow their wealth. Invest your money and denominate your portfolio in terms of a ‘typical three bedroom house in London’. Once you do that you’ll understand how you can grow your wealth versus only having the one home you sank all your capital into. This is excellent advice.

[@ThomasBoyd-r6k]

What Margaret Sweeney say about him she thought England London win it she Age 90 born 1934 103 Lesmuir Drive Glasgow bought property she on pension credit. Last time seen her August 2023.

[@ThomasBoyd-r6k]

Pietro Boselli Italian excellent he got warned about it Thomas England London and USA. Got fed up with it or him.

[@Bobbydyland]

Wait, what? There's no generational wealth gap cos some people can get money from the richer generation? Is that what we're saying now?

[@edgamz9315]

Tuition is only £9k a year? *(Sad American noises ensue)*

[@santostv.]

The uk uni is expensive for European standards

[@poultonreal]

The baby boomers have been well looked after by the Tories. Millennials like me will be paying the bill.

[@Lords1997]

I’m pretty progressive, and even I understand that with time industries become more productive and by extension even if capitalist owners paid their employees faulty they themselves would still be rich. If they at least did this, I would care very little when the owner does become a billionaire. It only makes sense mathematically that the rate of billionaires will only increase and normalize. Like how millionaires were the top of the top before John Rockefeller and other first world billionaires. Wealth does get distributed, but just way more slowly to the bottom class…

[@Lando-kx6so]

This is all over the world 😅

[@joelashworth1037]

Inheritocracy

[@play4dc]

My parents have double the wealth my wife and i will have at their age despite almost identical professions and lifestyles. We are in public sector jobs that require postgraduate qualifications and both have two children and are similar in approach to savings etc. The salary contraction in public sector, the increased costs of housing, and childcare (which for two children in nursery was more than my mortgage), are the main contributing factors. We were not able to get onto the property ladder until 5 years later (as they chose not to help us with it) and our childcare costs are triple theirs based on inflation. I know we will be fine as the reality is middle class people who are sensible with money tend to be, but if the trend continues the only way I can guarantee my kids security is by my parents inheritance and with care costs etc. there is no guarantee of that and not everyone is lucky enough to have that.

[@PedroPedro-k9p]

Lmao, no it's not. The fact that now young people have to rely on their parents when in the past they didn't it show's that this situation is new.

[@MattsMkia]

To attain upper-class wealth, a wise individual recognizes that building financial success requires smart investments, strategic tax planning, and informed decision-making. Although the stock market offers growth potential, effectively seizing these opportunities demands both skill and expertise.

[@Hectorkante]

Stock investments can offer great potential, but it's essential to approach them with caution. I recommend consulting a financial advisor who can help you determine the optimal times to buy and sell.

[@RaymondKeen.]

Accurate asset allocation is crucial. Some use hedging or defensive assets in their portfolio for market downturns. Seeking financial advice is vital. This approach has kept me financially secure for over five years, with a return on investment of nearly $1 million.

[@ChristianKelv]

How can I reach this advisor of yours? because I'm seeking for a more effective investment approach on my savings

[@RaymondKeen.]

Certainly, there are a handful of experts in the field. I've experimented with a few over the past years, but I've stuck with ‘’Sophia Maurine Lanting” for about five years now, and her performance has been consistently impressive.She’s quite known in her field, look-her up.

[@JohnSmith060]

She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.

[@ThomasBoyd-t7g]

Chris' Stan US lawyer told you truth Thomas. Got job Italian parliament Rome Italy 🇮🇹 as staffer Thomas yes.

[@1985MrFRESH]

What's really annoying (and yes I am jealous) is that friends who don't work nearly as hard and do not earn as much as I do. have far better lifestyles because of the bank of mum and dad. Being able to buy in nicer areas. They have the cushion to follow their passion and not just work for maximum earnings and so on.