There is a 25 percent gap between the richest and poorest areas of Britain, prompting the TUC to urge the government to combat the problem.

The Institute of Fiscal Studies’ annual living standards, poverty and inequality report, released on Wednesday, found that whilst the gap between the richest and poorest households in the UK has narrowed since the recession of 2007-08, there remains significant geographical differences.

The report found London to be the most unequal part of the UK, but added that the incomes of low-income households in London rising by more 10 percent since 2000, whilst the incomes of high-income households have fallen by more than 10 percent.

The average income in the highest-income region in Britain, the South East, is 25 percent higher than in the lowest-income region, the West Midlands. The average income in the South East is now nearly twice as far above the national average as it was in the 1970s, at 13 percent compared with 7 percent.

Frances O’Grady, the TUC general secretary, said ministers could not shrug off findings and put pressure on the government to do more to tackle the problem of inequality in the UK.