Putney 9th Richest Area in London
With an average individual salary of £29,729
South Londoners are getting higher pay with salaries averaging £24,170 compared to £23,955 north of the river according to research by Barclays Private Clients, the wealth management arm of Barclays
Despite the south on average being richer, it is Kensington and Chelsea that is the richest single area coming out on top with an average salary of £40,591, 12 per cent higher than the next best paid area, the Cities of London and Westminster (also north of the Thames) at £36,096. Hampstead and Highgate that came third with average salaries of £35,147, and is not until you reach Richmond Park in fourth place at £33,559, that the first southern parliamentary constituency appears.
Kensington also has the highest average salary in the country, however, when cost of living is taken into account two constituencies outside of the Capital have greater purchasing power. Tatton in Cheshire, home to David and Victoria Beckham, has an average salary of £29,303 but the cost of living adjusted salary gives Tatton an income of £41,506, higher than Kensington. Hallam in Sheffield with an actual income of £29,150 but a COLA income of £41,289 also beats Kensington.
Gordon Rankin, marketing director of Barclays Private Clients, commenting on the results, said: "Despite London's constituencies having the highest actual salaries in the country, the cost of living in the Capital is so much higher than elsewhere that many people in the north have a much greater disposable income."
With the cost of living taken into account, the relative distribution of wealth across the country is much broader than had previously been envisaged. Of the top 50 'real' wealthiest places in England and Wales the North-West has twelve, the South-West nine, Yorkshire seven, the West-Midlands six, the East-Midlands five, London only four, the South-East three, Wales two and the North-East one and the South East one. Surveyed on actual income London has 15 in the top fifty, the South-East 31 and the North-West only 2.
Mr. Rankin concluded: "The huge reversal in relative fortunes when cost of living is taken into account might also be part of the reason we are seeing changes in the housing market. Housing costs in London in the South-East are plateauing and even falling in some areas as people cannot afford to chase house prices further, whereas in the North, a greater real income is still fuelling house price growth."
The 30 Wealthiest areas in London
source: Barclays Private Clients
*As London is the base index of average,
30th May 2003