Top bosses earn more than yearly average by today
By 2pm, some will have earned ÂŁ33,000 in 2023
Five days into the new year, the average chief executive of the UK's biggest companies will have earned as much as the average worker in the country will make for the whole of 2023.
Data from the High Pay Centre indicates by 2pm today, bosses of FTSE 100 companies will have earned an average of ÂŁ33,000 so far this year.
This is the same as the median salary for a UK worker. The data is based on figures from last year, taken from the Office for National Statistics and the financial reports of publicly listed companies.
It comes as workers across the country have gone out on strikes, demanding better pay deals.
Top bosses pay rises by nearly 40%
Over the last year, as the cost of living has soared, chief executives in the FTSE 100 saw their pay levels increase by 39%, more than offsetting the higher costs.
Meanwhile, the average worker has seen their pay rise by 6% over the same period.
It adds to decades of the rise in chief executives' pay outstripping that of their workers.
"In the worst economic circumstances that most people can remember, it is difficult to believe that a handful of top earners are still raking in such extraordinary amounts of money," High Pay Centre director, Luke Hildyard, said.
"The UK economy really cannot afford for such a big share of the wealth that is created by all workers to be captured by such a tiny number of people at the top.
"To address declining living standards for the majority, we need measures to balance the distribution of incomes more evenly."
Trades Union Congress general secretary, Paul Nowak, said: "Everyone deserves a fair day's pay for a fair day's work. But while working people are told not to ask for more, top pay is soaring.
"We need Government action to bring back some fairness on pay. Workers should have seats on executive pay committees to bring some common sense to top pay.
"And ministers must set out plans for fair pay for everyone, starting by agreeing to pay negotiations in the public sector."
Gary Smith, general secretary of the GMB union, said: "A hard-up 999 call handler would have to work for 150 years to earn what a CEO (chief executive officer) boss trousers in just 12 months. It's an utter disgrace.
"NHS workers and others are being forced onto the picket lines just to make ends meet while these fat cats get the cream.
"Instead of hiding behind imaginary independent pay bodies, ministers need to speak to NHS workers about what they want to talk about - pay."
Many are suffering during the cost of living crisis:
Interest rates and inflation go up
Inflation rose by 8.8% in the 12 months to January 2023, down from 9.2% in December 2022. With interest rates also rising to 4%, those saving money will earn more interest on their finances, whilst those paying mortgages would pay more interest to the bank.
Energy bills
The price of energy went up incredibly as the cost of living crisis hit, with the gas price spike caused largely by the war in Ukraine. The price cap - which is set by an independent regulator to help offset costs onto customers - was set to rise to ÂŁ3,549 for an average home in October but a price freeze from the government restricted the typical bill to ÂŁ2,500. That's still an increase of 27% from the previous energy cap and as it's a cap on unit cost, the more energy you use the higher your bill will be.
Food prices
The cost of a weekly shop also has gone up as a result of the cost of living crisis. As a result of the war in Ukraine, a number of products including cooking oils and wheat have been disrupted. This means that several products are now considerably more expensive, driving bills up for customers.
Prices at the pumps
The average cost of petrol has also rose to unprecedented levels. Supply lines for petrol have been thrown into doubt as a result of the war in Ukraine, as Russia is a large export partner for gas, oil and fuel. In April 2022, the average price for a litre of petrol on the forecourt was 160.2p, whilst a litre of diesel would cost 170.5p. By late June 2022 the price had risen to an average of 190.9p for a litre of unleaded and 198.9p for a litre of diesel. In March 2023 the price wass on average of 147.03 in petrol and 167.04 in diesel.
Average cost of filling up a car with petrol hits ÂŁ100
On 9th June 2022, the average cost of filling up a car with petrol hit ÂŁ100 for the first time ever. Diesel had already hit that milestone. It comes as the cost of fuel hit a record high of one pound eighty a litre. The 2p rise was the biggest daily jump in 17 years. Prices have dropped by at least 20p per litre since the high point.