Australia’s ‘Young Rich List’ is one more unneeded celebration of the elite

While most young people are struggling to do so, the wealth of the richest among them has increased by 1,700%, he writes Carl Rhodes.

SINCE 2003 Australian Financial Review (AFR) published its annual report Young Rich List. It is a polished roll call of the 100 richest Australians under the age of forty.

In 2025, the list reached new heights. The total wealth of its members has risen to a staggering $45 billion. 1700% increase Since the list was first revealed, only 62 people shared $2.5 billion.

At the top of the list are the founding partners of Canva Melanie Perkins And Abyss ObrechtWho has a personal fortune of $18.46 billion. Their achievements are undeniably impressive.

But behind the headlines of youthful ambition and entrepreneurial triumph lies a more troubling story of deepening inequality, entrenched privilege and a narrowing path to prosperity for many young Australians.

Leaving young Australians behind

The AFR’s celebration of youthful excess stands in stark contrast to the financial realities facing most young Australians. While a select few have accumulated extraordinary wealth, this is far from being true for the vast majority.

Stagnant wage growth, rising living costs and skyrocketing house prices mean many young people are finding it difficult to do so. Over the last 25 years, the average house price has increased from nine times to 16.4 times the average household price. income. Once the cornerstone of Australia’s prosperity, home ownership is now a distant dream for many.

Inequality between generations is the economic problem of our time. Economic appearance The situation is worse for young people than it was for their parents and even their grandparents.

This, as Chancellor of the Exchequer Jim Chalmers has stated, is a matter for mainstream politics. claiming earlier this year:

“First [objective] It is about a just transition for working people, including intergenerational equality.”

Inequality among young people is also uneven. According to the Australian Council of Social Service (ACOSS), by 2023, the average wealth of the richest 10% of households under the age of 35 was over $2 million. For the bottom 60 percent, this figure was only $80,000.

Even more troubling, the wealth of the top 10 percent increased by more than seven times the wealth of the bottom 60 percent over the previous decade. Primary drive? Housing. Those with access to capital bought early and reaped the rewards. The rest are locked.

Despite the remarkable achievements of the young rich listers, they are part and parcel of a system that lavishly rewards the few and increasingly disenfranchises the majority of young Australians.

Politics of jealousy?

Concerns about economic inequality are often ignored politics of jealousy. The argument goes that those who rise to the top with praise deserve the spoils of their success, and that any criticism of them masks resentful jealousy.

But this “sour grapes” logic only applies if extreme wealth is truly valuable. So, is all this wealth simply the result of risk-taking, innovation, and ambitious hard work by those who have the right stuff to pull themselves up by their own bootstraps? The evidence suggests otherwise.

Take gender, for example. Only 17% of young rich listers were women. This disparity invites two interpretations: Either women are inherently worse than men at making money (a claim not supported by any serious evidence), or the distribution of wealth is not based solely on merit.

Consider venture capital. This year, all-female teams are on track to receive just 0.5% of total venture capital financingIt decreased from 2% last year and 3% last year. year before. This means that for every million dollars invested, only $5,000 goes to women-led startups.

However, women-led businesses are consistently perform better their male-led counterparts deliver 35% higher ROI. The problem is not performance, it’s discrimination.

Privilege also plays a decisive role. One in three Australians initiatives He receives funds from mom and dad’s so-called bank. This is more than those who rely on government support. Family wealth, elite education, and access to networks are powerful factors that accelerate wealth creation among young people.

While many wealthy young people are undoubtedly talented and hard-working, these qualities alone do not explain their success. The playing field tilts at an increasing angle.

celebrate justice

Mainstream media outlets celebrate the rich AFR That’s all well and good, but do we really need another list celebrating the rich? Why not a new scoreboard measuring justice, opportunity and shared prosperity?

Wealth creation and economic growth are at the heart of Australia’s future success. But unless we combine this with concern about how wealth is distributed, we risk entrenching a society of haves and have-nots, with young working people and women most at risk of being economically marginalised.

The Young Rich List showcases innovation and ambition, but it also reflects a system that rewards privilege, entrenches inequality, and keeps those without access to capital or connections on the sidelines. If we want a more equitable future, we must shift our focus from individual accumulation to collective growth and equitable distribution.

If we want to celebrate, let’s do it to reduce inequality, invest in inclusive entrepreneurship, and build an economy where success is not a jackpot reserved for the lucky few.

Carl Rhodes is Professor of Business and Society at the University of Technology Sydney. Wrote several books On the relationship between liberal democracy and contemporary capitalism. You can follow him on X/Twitter @ProfCarlRhodes.

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