okay so what we're going to do in this video  

is a really clear explanation of what's going  to happen in the post-covid economy

if we don't do anything about the massive increase in inequality now

okay those of you who've been following this  channel from the start will have seen in the  

very first video on this channel i predicted  that Covid would cause a massive increase in  

inequality, increasing house prices, increasing  stock prices, increasing inflation and a massive  

increase in cash accumulation by the richest  people in our society - those things have now  

all come true - people who know about my career  before i started doing this will know that i  

was one of the world's most successful traders and  economic forecasters coming out of the 2008 crisis  

so i know a lot about what happens after  economic disasters and the way they affect  

the economy we need to talk about what is  going to happen in the next couple of years

now i'm going to say right from the start  okay these are not going to be optimistic  

predictions okay if we don't take any action  against a massive increase in equality that's  

happened in the last couple of years the future  is going to be pretty bleak i'm going to say that  

right from the start okay this is not going to  be an optimistic video if we don't take action  

things are going to be really bad for ordinary  families in this country and around the world  

but we need to talk about it because the only way  we can prevent these bad things from happening  

is if we understand the significance of inequality  so we get people together to do something about it  

okay my biggest biggest economic concern for  the next couple of years is that the media  

and economists in the media completely ignore  the massive increase in cash accumulation by  

the richest you can already see it right now  when we look at the huge amount of inflation  

which as you know i predicted at the beginning of  Covid based on a massive cash accumulation by   

the rich the media is only talking about that in the  context of the Ukraine-Russia war it's very very  

important you do not let people say that this is  caused solely by the war there has been a massive  

accumulation of cash by the richest people the  reason it's important that people understand this  

is if it starts to be accepted generally that the  inflation is only due to the war then we're not  

going to do anything about this massive massive  cash accumulation right so if we have this massive  

cash accumulation and we do nothing about it then  we are going to move forward with the average  

richest people in this country sitting on  a hundred grand extra cash than pre-covid  

so what's happening now it's basically an  economic experiment what happens if you just  

print a hundred grand for each rich person in  the country and give them each hundred grand  

that is what's happening okay if we go forward  saying the inflation is only because of Ukraine

then we're going to ignore that cash which means  they will keep that cash so what is going to  

happen to society if every single super-rich  person is sitting on 100 grand in the bank  

they're not going to keep that cash sitting  in the bank they're going to use it primarily  

to buy assets okay what that means is they're  buying assets from ordinary or poorer people  

but also they're going to push up the prices  of natural resources we've seen that massively  

in Covid right so consider what's happening now  okay your average rich person has 100 extra cash  

your average ordinary or poorer person is  looking at £3000 a year extra in bills  

so this means ordinary and poor families are  going to have to start selling their assets  

to richer families in order to sustain their  quality of life and their kids quality of life  

so what you see is fewer and fewer  ordinary families owning property  

and richer people getting more and more of the  real assets in the economy the other thing they're  

going to do is start loading that money out that's  going to mean there's more money to be borrowed in  

the economy which is going to push house prices  up even further so you're going to move to a  

situation where richer families are buying the  houses of poor families more specifically you're  

going to see kids from richer families able to  pay huge amounts of money for property which  

means kids from poorer families don't ever  get property this creates a situation where  

ordinary kids ordinary young people from ordinary  families spend longer times renting which means  

they pay more rent to the rich and if they do buy  property they have to buy using bigger mortgages  

which means bigger mortgage payments for a longer  period of time to the rich and they will possibly  

never pay those mortgages off in the whole of  their lifetimes so what we're looking at is a  

future where ordinary families cannot own property  increasingly and if they can own property it's  

using bigger and bigger mortgages whereas richer  families own more of the properties and have  

enormous amounts of debt owed to them from the  rest of us so what does that mean right that means  

ordinary families then number one first they've  lost disposable income because the increase in  

food and energy prices which is largely caused  by the massive increase in cash held by the rich  

secondly they have to rent for longer third if  they can buy they have to buy bigger mortgages  

so all of these things are draining cash out  from the bank account of ordinary people and  

putting that cash into the bank accounts of richer  people who own the properties receive the rent  

own the mortgages receive the interest and  own the natural resources so receive the  

money when the natural resources go up so  every single thing that is happening here  

is dragging cash out of ordinary families bank  accounts and putting it into the bank accounts  

of richer people so the long-term consequences  of this increase in covid inequality is just  

a sucking a draining of cash from the ordinary  families from the middle class of this country  

and all of that cash going to the rich but what  does it mean if ordinary people don't have money  

well it means ordinary people can't go to  the pub, they can't go to the cinema, they can't  

go to the theatre, they can't go to the football,  they can't go on holiday right but these are the  

things that drive the economy right if ordinary  people can't spend money then the rest of the  

economy is going to be starved of customers right  and what you're going to see is this splitting in  

society where increasingly ordinary families have  basically nothing and the rich have everything and  

then the economy which relies upon the spending  of ordinary people is going to be starved of that  

spending so even if you yourself are not affected  your job will be affected so what you'll see  

then is wages being dragged down but who receives  wages ordinary people receive wages who pays wages  

the business owners which are the rich people  so every single thing that is happening here is  

dragging cash and resources away from the ordinary  families of this country and giving it to the rich  

and on top of all this the number one thing is we  are not taxing the super rich we are taxing them  

at super low rates so we're sucking the wealth  and the income out of this country and we're  

giving it to this tiny group of elite super rich  people who pay no tax this is the equivalent of  

your neighbor giving his house away giving all of  his money away to somebody who doesn't care about  

him and will never give it to him back if we give  all of the resources of this country to the rich  

who don't pay tax we might as well be giving it  to aliens these guys are not going to support our  

economy and look i'm not just saying this i bet  that this exact thing would happen after 2008 and  

lead to a prolonged economic crisis a prolonged  stagnation in ordinary living conditions okay so  

if we don't do anything about  the rising inequality now

you know i'm not going to put a fine point on  it is going to be the death of the economy  

for this country for ordinary families  over the next five ten years - it will  

dominate this economy for the next five ten  years and the realistic consequence of that  

we're not just talking about the poorest  people ordinary people if you are in the middle  

of this country the 50th percentile your kids will  not get a house because of what is happening now  

that is what is going to happen you know what  i mean and even if you're richer than that  

your grandkids are not going to get  a house because we are draining the  

resources of this economy and giving it to  the super rich who do not pay any tax okay so

that's what's going to happen the human  consequences are going to be terrible  

i'm betting on that happening  because i think it's going to happen  

the number one thing which is going to  determine whether this happens or not  

is whether ordinary people understand that  the problems we are facing now economically  

are caused by the massive cash accumulation of  the richest people if ordinary people understand  

that then they can demand from politicians  look we are not going to vote for anyone  

unless they do something serious about taxation  of the richest and let me address one other thing  

now okay to people out there who are going  to say look you can't tax the riches because  

they'll leave okay look at what look what's  happening now right look at roman abramovich okay  

he's losing all of his assets in this country  again it doesn't matter where roman abramovic is  

because his assets are here in this country  okay and what is happening now with the russian  

oligarchs is making it super clear we can tax  these people it doesn't matter if they leave  

their assets are here and we can tax them and if  we don't tax them then the future is going to be  

really really bad for the people of this country  and i'm not just saying that i've been betting on  

this for 15 years i've made millions of pounds  doing it and that is what is going to happen

oh yeah we'll take that for our  first take shall we? yeah

housing could be so much more affordable wages  could be so much higher and we could have so  

many more options in how we live our lives some  of them put a lot of money into paying economists  

and think tanks to tell you that inequality  is important for the economy that is not true