Differences in income between the north and other parts of the country are ‘significant’ and ‘persistent’, according to a new report.

The new report from think tank The Resolution Foundation found differences in income were "significant" and beset by persistent economic gaps between different parts of the country. It says levelling up the UK's cities will require investment that goes "far beyond anything currently being contemplated."

The average income per person in London (£23,070) was 1.6 times that of someone living in the North East (£14,621).

At its most extreme, the report found that income per person in the richest part of the country, Kensington and Chelsea, was 350 per cent higher than income per person in Nottingham, the poorest part.

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Lindsay Judge, research director at the Resolution Foundation, said: "Britain is beset by huge economic gaps between different parts of the country, and has been for many decades.

“While progress has been made in reducing employment gaps, this been offset by a surge in investment income among better-off families in London and the South East.

"People care about these gaps and want them closed, as does the Government via its 'levelling up' strategy.

“The key to closing these gaps is to boost the productivity of our major cities outside London, which will also lead to stronger growth overall."

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The average gross disposable household income in the North East was £17,096 compared to £30,256 in London, according to ONS statistics used in the report.

Compared to other parts of the country incomes in the North East varied the least, by less than £3000, with average incomes of £13,725 in Hartlepool, compared with £16,719 in Northumberland.

A Government spokesperson said: "We welcome this report and its findings, which highlight the vital importance and urgency of levelling up all parts of the UK.

"Out Levelling Up and Regeneration Bill will enshrine in law our commitment to closing the gap in pay and productivity across regions.

"By investing in the areas that need it most, improving schools, supporting regeneration and generating higher paid jobs we will improve the lives of the poorest in areas across the UK."

In a second report due to be released on Thursday, the Resolution Foundation will argue that current Government policies on levelling up do not go far enough.

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