Despite the double-dip recession and the lengthening dole queue, Britain's rich got richer over the past year with the Indian steel tycoon Lakshmi Mittal leading the pack as the country's wealthiest man, according to The Sunday Times' annual Rich List.

Mr Mittal and his family top the list of Britain's 1,000 richest people for the eighth consecutive year with a total wealth £12.7bn while Sri and Gopichand Hinduja are at number four with £8.6bn.

Industrialist and peer Lord Swraj Paul is the 87th richest man with a family fortune of £850 million in a list littered with business families of Indian origin. Others include Ajay Kalsi of Indus Gas with a family fortune of £1,500 million; textile magnate Sri Prakash Lohia with £1,274 million; and food giant Ranjit and Baljinder Boparan with £750 milllion.

Even as unemployment reached unprecedented levels with prospects of mass poverty staring the country in the face, Britain's affluent class increased its total wealth to £414bn, up 4.7 per cent on last year's total of £395.8 billion and surpassing the previous high of £412.8 billion recorded before the 2008 financial crash.

There are 77 British-based billionaires in this year's list, exceeding the previous peak of 75 in 2008.

``At a time when the economy has slipped back into a double-dip recession, the figures will raise concerns about the growing gap between the most affluent in society and the `squeezed middle','' the paper said.

Philip Beresford, who compiled the list, said: "Obviously it's very difficult in this age of austerity...and the rich seem to be getting richer and richer. However, I would caution against bashing the rich because a lot of the people on this rich list are based here, they're investing in companies here, and if they get richer hopefully the rest of us will get a bit more prosperous on the rising tide of wealth."