Despite the fact the average UK salary comes with an annual salary of £37,430, so you'll require significantly more to be considered rich .
Actually, studies indicate that nine out of ten British individuals who earn a six-figure salary bring home such income. annual wage Before paying taxes, they don't consider themselves wealthy.
And the quantity needed to be classed as wealthy eclipses £100,000 in most parts of the country .
The statistics provided by HSBC highlight a significant gap wealth perception The gap exists as individuals tend to underestimate their income compared to others by approximately 30 percentage points.
Individuals who were part of the upper 4% often saw themselves as belonging to the 'squeezed middle', situating themselves above 95.8% of the overall population.
In total, an average yearly income of £213,000 was considered necessary to achieve 'wealth'. higher earners set the amount at an impressive £724,000.
Perceptions are influenced not only by income levels, as different regions had significantly differing opinions on what defines prosperity in 2025.
People in the North East of England believe that having £80,000 makes someone well-off; this figure remains above the national average yet falls short compared to the £367,000 mentioned for the South East region.
People living in London believed that an income of £289,000 would classify someone as wealthy, a threshold notably lower compared to Scotland’s £331,000 and South West England along with Gibraltar’s £323,000.
When it pertains to other things signifiers of affluence , 51% of the respondents indicated owning a private jet, while 48% expressed interest in owning a yacht.
Nevertheless, those with higher incomes may view non-material aspects like retiring early (48%), frequent international travel (45%), or owning investments (54%) as more significant indicators.
Moreover, one-third of individuals aged between 18 and 24 consider possessing a solid work-life equilibrium as a significant indicator of prosperity — an objective that 41% aim to attain within the upcoming two years.
Vicky Reynal, a financial psychotherapist, remarked: “The HSBC UK study uncovers an intriguing contradiction: even though they have substantial incomes and set lofty financial objectives, numerous mass-affluent people continue to lack a sense of wealth.”
'This gap highlights the psychological factors influencing how people view wealth.'
'Fears regarding increasing expenses, insufficient savings, and the stress from societal comparisons generate a feeling of shortage, despite having actual wealth.'
‘By redefining wealth beyond the bank balance, focusing on our achievements, reducing unhelpful comparisons, and prioritising financial actions within our control, people can move confidently toward the future they aspire to.’
This article was originally published on March 3, 2025.
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