The graph illustrates the equity of households, businesses, and government in the UK in 10 years, starting off the year 2000.
The household net worth’s value in the UK remained steady from 2000 to 2001 and gradually increased over the years. Unfortunately, it dropped by £1000 billion in the year 2008, but still managed to escalate further in the upcoming years of 2009 and 2010.
During 2003 to 2007, both the government and households net worth experienced the same increase of net worth. In this case, the government sector encountered a continuous dramatic drop in net worth since 2007. This resulted in the escalation of the UK’s net worth in total. The household and business sector shows a contradiction in value, the former’s equity is consistently above £4500 billion, whereas the latter’s equity is always negative. Moreover, it is indicated that the business sector went through a fluctuation over the 10 years period, in which it is revealed that it hit its lowest point in the year of 2000 and 2006.
To conclude, both households and government consistently show growth in net worth, whereas the businesses sector’s equity is evident to suffer from a decline.