The financial crash has left the poor even poorer than they were before the recession – while the rich have got richer , a new report has revealed . Despite the economic collapse in 2008 , the average financial wealth of the richest 20 per cent has soared by almost two-thirds between 2005 and 2012/13 . The poorest families meanwhile have seen a collapse in their savings and higher debts than before the downturn , a report by the Social Market Foundation think-tank found . Despite the economic collapse in 2008 , the average financial wealth of the richest 20 per cent has soared by almost two-thirds between 2005 and 2012/13 . The report said those aged 25 to 36 and those on the lowest incomes are 'ill-prepared for future financial shocks or rises in interest rates ' , limiting the capacity of consumer spending to fuel growth in the UK economy . It cast doubt on claims that the UK population as a whole had reined in spending in order to pay off debts and build up savings in response to the crash . In fact , it found that most of the saving took place among the top 20 per cent of earners , who built up savings in the aftermath of the crisis to the point that their average financial wealth increased by 64 per cent between 2005 and 2012/13 . The proportion of high-income individuals with debts fell from 43 per cent to 31 per cent over the same period . By contrast , the 20 per cent on the lowest incomes were unable to pay off debts and start saving . Over the same period , the value of debt held by poorer households rose by 67 per cent - equivalent to around 28 per cent of their income - and use of overdrafts rose , while savings shrank to an average of less than six days ' worth of income . The amount being saved by families has steadily fallen since the Coalition took over , as people dip into their savings . The intergenerational gap in incomes and wealth widened over the same period , as the amount of savings held by 26-35 year-olds fell by 36 per cent . While the proportion of this age-group in debt fell , the average amount owed by those with debts increased by 45 per cent . Just 45 per cent of 26 to 35-year-olds owned a home in 2012/13 , sharply down from the 74 per cent seen in 2005 . The report 's co-author , SMF chief economist Nida Broughton , said : 'Our findings show that the wealth gap between rich and poor and young and old increased further during the downturn . 'The economic uncertainty following the crisis prompted many to pay down their debts and build up their savings . But the young and those on low incomes missed out . 'Greater support is needed to help these individuals prepare for the future ; yet this will be a challenging feat . It is likely that the process of repairing their personal finances will only begin once sustained wage growth materialises . '
Financial wealth of the richest 20 per cent has soared by almost two - thirds . Poorest households meanwhile have seen increases in their savings since 2000 . Amount of losses incurred by today 's poorest households has fallen by 67 % .