The return of economic growth has overwhelmingly benefited the top one per cent of the country, according to analysis of HM Revenue & Customs figures by the House of Commons Library commissioned by Labour’s Chris Leslie.

Over the last year, the share of post-tax income of the top one per cent of taxpayers – just 300,000 people – has risen from 8.2 per cent (in 2012/13) to 9.8 per cent (in 2013/14).

Yet over the same period, the bottom 90 per cent – a total of 27 million taxpayers – have seen their share of post-tax income fall from 71.3 per cent to 70.4 per cent.

The estimates are contained in the latest “Income Tax Liabilities Statistics” published by HMRC and cover the year when GDP growth returned and the top rate of income tax on earnings over £150,000 was reduced.

Chris Leslie MP, Labour’s shadow chief secretary to the Treasury, said:

“David Cameron and George Osborne are trying to claim the cost-of-living crisis is over, but these official figures expose what’s really happening under the Tories.

"While the top one per cent of taxpayers have seen their share of income after tax go up, the bottom 90 per cent on middle and lower incomes have seen theirs fall.

"With the help of a huge tax cut from this government the very richest are feeling a recovery, but everyone else is being left behind as growth finally returns.

"What we need is a recovery for the many, not just a few at the top. That’s why we need to reform our economy to mend the broken link between the wealth of the nation and the living standards of hardworking Britain.

"The Conservatives are so out of touch they don’t even understand there’s a problem.”

ENDS