2020 List of UK's Richest Shows First Fall in Wealth in Decade

British inventor James Dyson, founder of the Dyson company, topped the Sunday Times rich list for the first time | © AFP/File | Christophe ARCHAMBAULT
British inventor James Dyson, founder of the Dyson company, topped the Sunday Times rich list for the first time | © AFP/File | Christophe ARCHAMBAULT
TT
20

2020 List of UK's Richest Shows First Fall in Wealth in Decade

British inventor James Dyson, founder of the Dyson company, topped the Sunday Times rich list for the first time | © AFP/File | Christophe ARCHAMBAULT
British inventor James Dyson, founder of the Dyson company, topped the Sunday Times rich list for the first time | © AFP/File | Christophe ARCHAMBAULT

Britain's wealthiest people have lost tens of billions of pounds in the coronavirus pandemic as their combined annual wealth fell for the first time in a decade, the Sunday Times reported in its Rich List 2020.

The newspaper, which has produced the respected annual ranking of the country's 1,000 wealthiest people since 1989, found the past two months had resulted in the super-rich losing £54 billion ($65 billion, 60 billion euros).

More than half of the billionaires in Britain had seen drops in their worth by as much as £6bn, a decrease in their collective wealth unprecedented since 2009 and the financial crisis.

Inventor James Dyson bucked the trend to top the list for the first time, with an estimated wealth of £16.2bn.

The paper credited his rise from fifth place in 2019 to both the strong performance of his businesses and the plummeting fortunes of other billionaires in the top 10.

The Hinduja brothers, who topped last year's list with a £22bn fortune, saw among the biggest falls in worth -- £6bn -- and are now ranked jointly second with entrepreneurs David and Simon Reuben.

Jim Ratcliffe, boss of petrochemicals firm Ineos, who topped the rankings in 2018, also saw his worth slide by £6bn to £12.15bn.

Steel baron Lakshmi Mittal was another to see the steepest falls in his fortune -- nearly £4bn -- placing him 19th with a worth of £6.78bn.

In total, the 2020 list calculated the combined wealth of Britain's super-rich to be £743bn -- £29bn less than last year.

- Billionaire capital of the world -

Its number of billionaires dropped by four to 147 but London remains the billionaire capital of the world, with 89 born, living or with a significant chunk of their assets based in the city.

"The first detailed analysis of the super-rich's finances since the COVID-19 outbreak began will heighten concerns that Britain is entering a deep and long-lasting recession," the Sunday Times said.

The paper noted at least 63 members of the list, including 20 billionaires, have sought to use a government-run furlough scheme which pays staff up to 80 percent of their salaries up to £2,500 a month during the crisis.

They include London-based Sri and Gopi Hinduja, owners of the sprawling Hinduja Group of companies, who have furloughed around 360 employees at Optare, their bus-making firm based in northern England.

Ratcliffe co-owns The Pig hotel chain, which has furloughed most of its staff, while he is also seeking an emergency loan from the government for a joint venture between Ineos and the Chinese state-owned PetroChina.

Carys Roberts, executive director of the Institute for Public Policy Research, told the Sunday Times their use of the taxpayer-funded schemes was highly questionable.

"Why can't they now dip into their own deep pockets instead of asking ordinary families to do so for them?" she said.

- Rich List 2020 top 10 -

£16.2bn -- James Dyson and family

£16bn -- Sri and Gopi Hinduja and family

£16bn -- David and Simon Reuben

£15.8bn -- Leonard Blavatnik

£12.2bn -- Jim Ratcliffe

£12.1bn -- Kirsten and Jorn Rausing

£11.7bn -- Alisher Usmanov

£10.5bn -- Guy, George and Galen Jr Weston and family

£10.3bn -- Charlene de Carvalho-Heineken and Michel de Carvalho

£10.3bn -- The Duke of Westminster and the Grosvenor family



'Lungs of the Earth': the Indonesians Fighting for Peatland

Indonesia has more tropical peatland than any country, but it is also quickly losing this poorly understood ecosystem. STR / AFP
Indonesia has more tropical peatland than any country, but it is also quickly losing this poorly understood ecosystem. STR / AFP
TT
20

'Lungs of the Earth': the Indonesians Fighting for Peatland

Indonesia has more tropical peatland than any country, but it is also quickly losing this poorly understood ecosystem. STR / AFP
Indonesia has more tropical peatland than any country, but it is also quickly losing this poorly understood ecosystem. STR / AFP

Indonesian environmentalist Pralensa steered his boat through a shallow canal in the marshy peatlands near his village, an environment he fears may soon disappear.

His oar stirred up rich organic material in the brackish water, evidence of the layers of plant matter that make peatlands vital carbon dioxide stores and key to biodiversity, AFP said.

Indonesia has more tropical peatland than any other country, but it is also quickly losing this poorly understood ecosystem.

That affects local residents and wildlife but also has global impacts, because converted peatland can release vast quantities of planet-warming carbon dioxide.

Pralensa worries a similar fate awaits much of the swampy peatland around his village of Lebung Itam in South Sumatra.

Locals say palm oil firm Bintang Harapan Palma has already begun digging canals to drain the peatlands for planting.

"We protested... we told them this is a community-managed area," said Pralensa, who, like many Indonesians, uses a single name.

"According to them, they already have rights to this land."

Bintang Harapan Palma did not respond to AFP's request for comment.

Peatlands are an in-between place -- seemingly neither water nor land -- an environment that slows plant decomposition and forms carbon-rich peat.

Covering just three percent of the world's surface, they hold an estimated 44 percent of all soil carbon.

Indonesia's peatlands are home to endangered orangutans, as well as economically important fish species. They also help prevent flooding and drought, lower local temperatures and minimize saltwater intrusion.

For Pralensa, peatlands are no less than a "spiritual bond".

"From the moment that we exist, that we're born, we are aware of this peatland. We encounter it every moment of every day," the 44-year-old said.

Catastrophic fires

Indonesia's peatland has long been converted for agriculture, drained of the water that is its lifeblood, with severe consequences.

Dry peat is highly flammable, and fire can smoulder underground and reignite seemingly at will.

The blazes sparked calls for action, including a moratorium on new peatland concessions.

Government regulations adopted the following year banned several damaging activities, including burning and drying out peatland.

The environment ministry did not respond to questions submitted by AFP.

"Weak oversight and law enforcement in Indonesia allow the exploitation of peatlands to continue," said Wahyu Perdana at peatland preservation NGO Pantau Gambut.

And fires still happen "almost every year," said Rohman, a farmer in Bangsal village, around two hours west of Lebung Itam.

Like Lebung Itam, it is ringed by plantations on converted peatland.

Bangsal residents could once rely on vast wetlands to feed their distinctive buffalo, which dive beneath the water to graze.

Fish traps supplied additional income, along with small rice paddies.

'We must protect nature'

Plantation infrastructure prevents water from subsiding properly when the rains end, complicating rice planting.

And then there is the seasonal haze.

"It's difficult to do anything" when it descends, said Rohman, with visibility sometimes dropping to just a few meters.

Everything from "economic activity to children playing and learning is very disrupted".

Rohman, 53, was one of several plaintiffs from Bangsal and Lebung Itam who filed a landmark lawsuit over the fires.

They argued three companies with nearby timber plantations on peatland bore legal responsibility for the health, economic and social impacts of local fires.

Filing the suit was not an easy decision, said Bangsal schoolteacher Marda Ellius, who alleges a company named in the case offered her money and help for her family if she withdrew.

"I kept thinking that, from the beginning, my goal here was for the environment, for many people," she said.

"I chose to continue."

AFP could not reach the companies named in the suit. Major firm Asia Pulp & Paper (APP), which buys from the three companies, did not respond.

This month, a local court rejected the suit, saying the plaintiffs lacked standing.

"The pain cannot be described," plaintiff Muhammad Awal Gunadi said of the ruling.

"It was tough because we were facing corporations.

The group has pledged to appeal, and Bangsal's villagers are lobbying local government for a new designation to protect their remaining peatland.

Healthy peat is "like the lungs of the Earth," said Bangsal resident and buffalo farmer Muhammad Husin.

"Hopefully, if we protect nature, nature will also protect us."