The British population has been grappling with the persistent rising inflation and the soaring cost of living, which has been a cause of great concern since the previous year. Rishi Sunak, the Prime Minister of the United Kingdom, has found himself confronted with a severe crisis. Last year, one in seven individuals in the UK experienced the distressing reality of hunger due to insufficient funds to purchase food. According to the Trussell Trust, the largest food bank network in the UK, this unfortunate statistic translates to approximately 11.3 million people nationwide. What are the factors contributing to the surge in poverty within the UK? What percentage of the UK population is currently facing hunger? Furthermore, what has been the rate of poverty growth in the UK?
Rising inflation rate and hunger in the UK
The Bank of England has been trying to curb the very alarming inflation in this country for about a year and a half, but it has yet to be successful. According to research by the food bank charity the Trussell Trust, one in seven people in the UK went hungry last year because of a lack of money.
Inflation is the leading cause of poverty in the UK.
Despite being the sixth largest economy globally, the United Kingdom has been grappling with a remarkable inflation rate of 8.7%, the highest among major Western industrialized nations. This persistent inflationary pressure has subjected UK citizens to mounting difficulties for over a year. In November, inflation reached a staggering peak not seen in 41 years. The Office for National Statistics (ONS) Consumer Price Index reveals that, in March, the cost of food surged by 19.1% compared to the previous year, while housing prices and energy bills witnessed an alarming increase of 26.1% during the same period
An unprecedented increase in the number of poor people in the UK
Government projections show that British households are amid the biggest two-year squeeze on living standards since comparable records were compiled in the 1950s. Trussell Trust network with 1300 food bank centres across the UK, in an unprecedented number, provided more than 3 million food packages to poor people in the year ending in March, which is more than twice the number of these food packages offered in 5 years have passed.
71% of people with low incomes do not have charity coverage
According to the Trussell Trust charity, individuals who are disabled, single parents, and those living alone have been disproportionately affected by the financial burdens associated with social gatherings, leading to isolation from family and friends. As the operator of over 1,300 food banks across the UK, the charity revealed a distressing statistic: a staggering 11.3 million people experienced hunger last year, surpassing the population of Scotland by more than double. Among the UK population, food charities, including food banks, assist 7%, while 71% of individuals facing hunger do not receive support from any charitable organization.
The inability of employees to buy food
In addition, one out of every five people who have to go to food banks are among working households, but they do not have enough power to buy food. Trussell Trust called on the UK government to ensure the benefits system covers essential costs. Based on this, the latest statistics show that food and beverage inflation was 18.3% in May and 14.6% in June. Meanwhile, a few days ago, to fight the ever-increasing inflation, the Bank of England (BoE) increased the introductory interest rate to its highest level and increased it to 5.0%.
Lifestyle changes due to poverty in the UK
Around 370 food production, distribution and retail workers across the UK were asked questions about their food, energy and housing. They were worried about running out of food, and 80 per cent ate cheaper meals that were less healthy regarding nutritional value. “People who grow, distribute and supply our food are often unable to purchase the very food they produce,” the report said. “Workers experience food insecurity as they do not earn enough to feed themselves and their families.”
The BoE’s fruitless effort to curb inflation
One in four people who go to food banks experience severe social isolation and see family, friends or neighbours less than once a month. Bank of England Governor Andrew Bailey recently warned that inflation will likely take much longer to control than expected. The so-called core inflation rate – which strips out fluctuations in energy, food and tobacco prices – even rose to 7.1 per cent in May after falling to 6.8 per cent in April.
Eliminate meals in the UK.
A Bakers Food and Allied Workers Union (BFAWU) survey found that almost one in five food workers depend on a food bank, while less than half skip meals because they need more money. In other words, the disproportionality of food industry workers’ rights (including food production and distribution workers) has caused them to change their lifestyle and even think of leaving the UK and continuing to work in other European countries.
Economic austerity imposed by the conservative government
English workers are complaining about low wages and food industry employers in this country about high energy costs! Over the past decade, food workers in the UK have faced several crises. Since 2010, these workers and other British citizens had to endure the economic austerity imposed by the conservative government of this country.
Rising consumption costs cause poverty in the UK.
According to the latest ONS report, core inflation rose in the UK, excluding fluctuating energy, food and drink prices. According to this report, consumer prices have increased by 8.7% compared to the same month last year. Economists had expected a decline to 8.4 per cent. The cost of living has risen by 0.7 per cent compared to the previous month, which is more than expected.
The war between Ukraine and Russia caused poverty in the UK
Interest rates in the UK are currently at their highest level since the 2008 financial crisis. From the end of 2021, the BoE has increased from almost zero to 4.5%. This is one of the most severe contractionary processes the British economy has ever faced. The reason for this is the sharp inflation increase, mainly caused by Russia’s war against Ukraine.
Weaknesses of the social security structure in the UK
The upward trajectory of prices and rising poverty in the UK suggests that the weaknesses of the social security structure are driving the need for food banks, not just the pandemic crisis or the cost of living. Despite the London government’s efforts to curb inflation, consumer price growth in the country remains high, with officials and trade unions accusing supermarkets of fueling inflation and profiteering at the expense of consumers.
The disproportion of salaries and expenses and the increase in poverty in the UK
English workers and citizens faced a decrease in wages, an increase in the cost of housing, energy and food, and finally, the consequences of leaving the EU and the spread of Covid-19. These factors have severely impacted the lives of food industry workers in the UK. In this equation, the role of Brexit is more vital than in the other mentioned cases.