Oh Dearie me Ms. Hargreaves

You\’re committing a Ritchiebollocks mistake here.

The average chief executive pay in FTSE 100 companies is £4.8m – 185 times the average wage. You would think they could afford to pay their own bills.

And here is another critical issue for our economy and society. Those top bosses have seen their pay treble in the past 10 years while their company share prices have stagnated. During that period average earnings have risen by 51%, barely keeping up with inflation of 45%. The fruits of our economic boom in the late 1990s and early 2000s have mostly gone to the highest paid. The share of GDP paid to those on middle to low incomes has declined.

You cannot compare FTSE 100 with UK GDP. Too many of the FTSE 100 companies are simply listed in London, not actually operating in the UK economy. Companies like ENRC or Polymetal simply don\’t have any connection with hte UK economy: other than their listing that is.

Then the fraction of BP\’s business, to take one example, that is UK based is trivial.

I would be astonished if more than 25% of the economic activity represented in the FTSE 100 were actually UK based. You seem to have entirely missed the globalisation of the capital markets. A bit odd, given that what you\’re complaining about is a result of the globalisation of the capital markets.

One comment on “Oh Dearie me Ms. Hargreaves

  1. >You seem to have entirely missed the
    >globalisation of the capital markets.

    Not just the capital markets in general, but the function of London in particular. It is the place where international companies come to list. That is just about its principal function.

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