Education, life chances and community cohesion suffer in the UK because society is too unequal.

Richard Wilkinson, author of The Spirit Level: Why More Equal Societies Almost Always Do Better, claims inequality is the UK's worst enemy and that more unequal societies are bad for almost everyone within them - the well-off as well as the poor.

He told the Trade Union Congress how analysis of societies around the world found almost every modern social problem - violence, drugs, obesity, mental illness, long working hours, big prison populations - is more likely to occur in a less equal society such as the UK.

Mr Wilkinson was speaking at the TUC's An Alternative Vision for the Welfare State which discussed social inequality, the current problems with the benefits system, and how the welfare state could be shaped differently to bridge the growing divide between the poor and the rich to make the UK a fairer place to live.

TUC Deputy General Secretary Frances O'Grady gave the closing address to the conference. She said: 'Last week unemployment rose to almost 2.5 million, a profoundly disturbing statistic. Despite the scarcity of jobs across Britain, yet more welfare reforms are being pushed through that penalise the unemployed and stigmatise the poor. It's up to us to tackle this head on and make the case for a welfare system that is progressive, compassionate and effective.

"In the year ahead, we will have a huge opportunity to put our arguments forward. 2010 has been designated European Year Against Poverty. There will be a general election here in the UK and with it a big national discussion around public finances, unemployment and welfare reform.

"In a so-called civilised society, every citizen has the fundamental human right to a decent standard of living. Instead of demeaning claimants, it's time they were treated with respect.

"Whether it's promoting claimant rights, tackling in-work poverty or campaigning for a minimum income, we've got to keep pressing for change. With public revulsion growing at City greed and bankers' bonuses, and with a deepening clamour for a fairer, more equal society, we can build a welfare state we can all be proud of."