The evidence is accumulating in support of the thesis that inequality is harmful, not just for individuals who live in unequal societies, but for the very fabric of the society itself. This chapter explores the idea that a high level of income and wealth inequality is exacting a high price for us collectively. Theoretical ideas covered are that economic inequality erodes generalised trust in others, makes for difficulties in relationships at work and at school, and makes us more individualistic, harder, hostile, and more ready to see threats and conspiracies. A relatively new area of research concerns our relationship with the environment. There are strong grounds for believing that high levels of economic inequality foster antagonisms between groups of citizens and undermine societal cohesion. Theory and research suggest that economic inequality may stifle trust in the political process, diminish civic participation, and thus be bad for democracy. It may be a factor promoting civil unrest and political violence. The chapter will conclude by considering a case of a different order that can be made against high economic inequality, a moral case, based on the argument that it is contrary to our sense of fairness and justice.