U.K. Recession Triggers Social Decay – US-FOREX.US
The recession is painting a bleak picture of the future of the British society. Crime, mental health problems, domestic violence and drug addiction are set to rise as unemployment reached a 14-year high on Tuesday, a leading public sector watchdog warned on Wednesday.”We are starting to see some of these things happening. We have also seen an increase in demand for debt advice, more people claiming benefits-and if unemployment keeps rising, we will see an increase in domestic violence and abuse,” said Diane Ridley, author of the report entitled “When it comes to the crunch” published by the Audit Commission. Ridley also said local authorities were not ready for what she described as the “next wave of the recession”. According to the researcher, the recession will have three phases: The first one is defined by declining gross domestic product and rising unemployment. She said Britain is about to face the second phase in which output turns around but long-term unemployment triggers a whole range of social problems. And, finally, when growth returns some areas of British society will bounce back quickly but others will be left out and inequality will eventually rise.She said changes in social behavior because of the recession will be felt in even seemingly minor ways, like pet owners abandoning their pets as they struggle to keep their animals. “With families and individuals under stress, most areas are likely to witness increasing social problems including domestic violence, alcoholism, drug addiction and young people unable to find jobs. Councils may also have to deal with more fly-tipping [illegal dumping], abandoned cars and stray dogs,” the report says.
Charities looking after the welfare of animals have reported a surge in the number of abandoned pets in the U.K. as owners struggle to pay for the costs of keeping a pet. And on Wednesday the National Center for Domestic Violence said calls related to domestic violence had increased by 30% in the last six months across the U.K.
The Audit Commission report was published on the day that unemployment rose to its highest level since 1995, climbing to 2.4 million and taking the jobless rate to 7.8%, according to the Office for National Statistics. Experts said the figures show no sign of giving the economy a much needed respite. “As unemployment creeps closer to the 3 million mark, the highest level in fourteen years, recent talk of an economic recovery may be short-lived. This is a direct result of companies cutting jobs in order to return to profitability. Until we see a turnaround in this most crucial of statistics, the end of the recession could be a long, drawn-out affair,” said Manoj Ladwa, a senior trader at ETX Capital in London.