Recovery?: One-In-Five Britons Borrow Money To Afford To Eat

Tyler Durden's picture




 

While GBP jumped and the world celebrated the UK's recent avoidance (for now) of a triple-dip recession (defined on GDP as opposed to reality), the situation in the island nation appears to be going from bad to worse. As Carney takes over the reigns of this once mighty nation he faces a country deeply divided. As the BBC reports, while London real estate prices smash old records, a stunning one-in-five households borrowed money or used savings to cover the costs of food in April. This is the equivalent of five million households unable to fund their food via income alone. Over 80% of these people are concerned about rising food prices (just as print-meister Carney is about to go 'Abe' on them) and almost 60% find it difficult to cope on their current incomes. The director of the consumer group 'Which?', noted that "many households are stretched to their financial breaking point," as "families face a cost of living crisis." While equity and real estate prices hit all-time highs, the opposition sums up the country's feeling, "this incompetent government needs to wake up to the human cost of their failed economic policies."

Over one-third of Britons "feel squeezed"...

 

Via BBC,

One in five UK households borrowed money or used savings to cover food costs in April, a Which? survey says.

 

It suggests the equivalent of five million households used credit cards, overdrafts or savings to buy food.

 

...

 

The figures come despite official statistics last week showing that personal insolvencies had dropped to their lowest levels in five years.

 

...

 

Results showed that of the households who resorted to using credit or savings to pay for food, most were low income families. Among this group:

  • Eight out of 10 (82%) worried about food prices
  • More than half (55%) said they were likely to cut back on food spending in the next few months
  • Nearly six out of 10 (57%) said they found it difficult to cope on their current income
  • A third (32%) borrowed money from friends and family in April

 

A typical weekly food bill averages about £76, Which? researchers said, up 4% on last year.

 

Of all the people polled, the research showed:

  • A quarter said they were living comfortably on their incomes
  • More than a third - 36% - felt their finances were under pressure
  • Almost one third - 31% - of those surveyed cut back spending on essentials last month, and they were most likely to be women aged between 30 and 49.

...

 

Mr Lloyd, Which? executive director, said: "Our tracker shows that many households are stretched to their financial breaking point, with rising food prices one of the top worries for squeezed consumers.

 

...

 

Mary Creagh, Labour's shadow environment secretary, said the UK was facing a "growing epidemic of hidden hunger".

 

"Families face a cost of living crisis and are being forced into debt or to use their savings simply to put food on the table.

 

"This incompetent government needs to wake up to the human cost of their failed economic policies and change course now," she added.

...

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Sun, 05/05/2013 - 12:08 | 3532077 JeremyWS
JeremyWS's picture

Hence why the FTSE is at 5 year highs...

Sun, 05/05/2013 - 12:11 | 3532080 Motorhead
Motorhead's picture

And one out of every three borrow money to whack pints.

Sun, 05/05/2013 - 12:12 | 3532083 CH1
CH1's picture

Yeah, this will turn out well...

Sun, 05/05/2013 - 12:17 | 3532100 El Viejo
El Viejo's picture

Staus Quo Maintenance is now the #1 scam in the World.

Sun, 05/05/2013 - 12:31 | 3532119 markmotive
markmotive's picture

F@ck the government-sponsored data. You need to watch for Main Street recession indicators...like borrowing to eat.

Another one: Manhattan prostitutes are shopping at Old Navy

20 Main Street Recession Indicators:

http://www.planbeconomics.com/2013/05/20-main-street-recession-indicator...

Sun, 05/05/2013 - 13:16 | 3532198 imaginalis
imaginalis's picture

It must be even more sickening considering the food which is on offer in the UK

Sun, 05/05/2013 - 13:25 | 3532214 akak
akak's picture

I wonder why the British are so congenitally crippled when it comes to the appreciation of (or the ability to make) good food?  If they showed one tenth of the discrimination they give towards beer towards food, they would be right up there with the Italians, French and Spanish.  But no, they continue to boil vegetables into oblivion, shun spices, and run from garlic like a vampire ---- which, given their generally pasty and unotherwordly pale complexions, may not be just a coincidence.

Sure, you can call the poor quality of British food just a stereotype, but there is a VERY strong basis for that stereotype.

Sun, 05/05/2013 - 13:28 | 3532225 Precious
Precious's picture

Hey Kito.  Push it down this time, you fucking tool.

As RT further reports, during the attack, one Israeli jet was reportedly shot down by Syria's Air Force, according to Hezbollah's Manar TV channel, citing security sources in Damascus."

Sun, 05/05/2013 - 13:32 | 3532233 akak
akak's picture

Was that a threadjack, or are you just retarded?

It's bad enough to respond to the wrong poster, but to do it IN THE WRONG THREAD? 

Sober up.

Sun, 05/05/2013 - 14:33 | 3532267 Precious
Precious's picture

Hey everybody.  Look.  It's the fucking thread boss !  And he's going to kick someone off.

5 - 4 - 3 - 2 - 1 ....  Nah.  Guess not.

Mon, 05/06/2013 - 02:13 | 3533514 Boris Alatovkrap
Boris Alatovkrap's picture

Key to successful thread jack is to read comment first and to find common locus point. For example, Boris is talk about complete to irrelevant topic, like cancellation of NASA manned flight...

5 - 4 - 3 - 2 - 1 ... Vzletats!

Vzletats is Russian of "Blast Off". Joke is make fun of socialist president to ground Amerikan Space Flight Program, rely on Russia for take American Astronaut to Space Station. $88M for return trip. Ca-Ching!

Sun, 05/05/2013 - 14:16 | 3532324 giggler123
giggler123's picture

Well when you shop at Island there is little else...

Mon, 05/06/2013 - 02:29 | 3532606 Wile-E-Coyote
Wile-E-Coyote's picture

You want to upgrade your stereotype to at least digital. You haven't got a clue you dumb redneck. 

 

Sun, 05/05/2013 - 19:02 | 3532866 malikai
malikai's picture

I wonder why the Americans are so congenitally crippled when it comes to the appreciation of (or the ability to make) good food?  If they showed one tenth of the discrimination they give towards killing brown people towards food, they would be right up there with the Italians, French and Spanish.  But no, they continue to eat Monsanto into oblivion, shun spices, and run from garlic like a vampire ---- which, given their generally overweight and unotherwordly slothish lifestyle, may not be just a coincidence.

As a yank in the UK, I had to.

Sun, 05/05/2013 - 13:49 | 3532254 Motorhead
Motorhead's picture

That's why Indian food is so popular!

Sun, 05/05/2013 - 13:53 | 3532265 akak
akak's picture

That is, as they say, only the exception that proves the rule.

PS: Indian food was not invented in Britain.  Steak and kidney pie, and bangers and mash, and Marmite, on the other hand, were.

Sun, 05/05/2013 - 15:53 | 3532589 KrugerrandFan
KrugerrandFan's picture

What you said about British food was right........back in 1970.  You are a bit of a tool though arn't you? 

Mon, 05/06/2013 - 07:13 | 3533660 justinius1969
justinius1969's picture

and the last time you visited the UK was....?

Mon, 05/06/2013 - 12:53 | 3534513 green888
green888's picture

Exceptio testarum regulam- the exception tests the rule, the "as they say" bit is illogical 

Sun, 05/05/2013 - 15:40 | 3532565 Boeing Boy
Boeing Boy's picture

Can't wait to visit US next week so I can eat at Denny's

Sun, 05/05/2013 - 15:47 | 3532573 akak
akak's picture

Fair point.

I would hardly claim that the USA is the epitome of culinary exceptionalism, as mass-produced slop and "fast food" is increasingly the norm.  Still, it is a virtual gastonomic paradise compared to the wasteland that is Britain.

Sun, 05/05/2013 - 16:07 | 3532610 Wile-E-Coyote
Wile-E-Coyote's picture

 You have never visited the UK have you. The UK has now some of the best food in Europe, even the French admit that. So stop talking out of your ass hole.

Sun, 05/05/2013 - 16:18 | 3532639 James_Cole
James_Cole's picture

Depending on where you go the UK has great food & bad food, same goes for America - great food & bad food. Dumb argument........ 

Sun, 05/05/2013 - 16:28 | 3532654 akak
akak's picture

As usual, James, your argument is lacking in any kind of logical rigor.

Of course there is good food and bad food, in EVERY nation.  I am merely claiming that the AVERAGE quality of the cuisine in the UK, from what I have experienced, is noticeably if not significantly lower than that in the USA.  The Brits have traditionally never been a very discriminating or culinarily demanding people, and while that tradition has undoubtedly been modified in the last few decades, the basic trend towards gastronimic mediocrity still remains.

Sun, 05/05/2013 - 16:38 | 3532670 James_Cole
James_Cole's picture

The Brits have traditionally never been a very discriminating or culinarily demanding people, and while that tradition has undoubtedly been modified in the last few decades, the basic trend towards gastronimic mediocrity still remains.

I apologize for not possessing the 'logical rigor' to broadly stereotype the diverse and long gastronomical history of the UK.

Sun, 05/05/2013 - 17:19 | 3532725 akak
akak's picture

Making factual distinctions, and pointing out valid relative and general differences, is hardly stereotyping.

But such nuances of logic seem to routinely escape James Cole --- much like your seeming inability to discern that the Asian demand for gold jewelry is primarily ALSO, at the very same time, primarly an investment demand for gold, as opposed to mere baubles.

Sun, 05/05/2013 - 18:17 | 3532807 James_Cole
James_Cole's picture

Brits have traditionally never been a very discriminating or culinarily demanding people

The height of nuance.

Mon, 05/06/2013 - 07:11 | 3533659 Shevva
Shevva's picture

Yer the US is so good at food they use Gordon Ramsey.

Sun, 05/05/2013 - 17:53 | 3532775 Umh
Umh's picture

Nothing was good. They can make steak taste bad and fish too while we're at it.

Sun, 05/05/2013 - 16:14 | 3532631 RS2OOO
RS2OOO's picture

As a Brit, I'm afraid I have to agree, our food must be bad.

Judging by the obesity figures I guess the food in the U.S is so good, they can't stop eating it.

 

Sun, 05/05/2013 - 17:56 | 3532780 Umh
Umh's picture

That's a fair point. I do now some thin people who eat food so bland that they would never miss it.

Sun, 05/05/2013 - 18:33 | 3532823 Dyhana
Dyhana's picture

I loved the tea shops. Brits do some nice desserts. Trifle, brandy snaps, treacle tart, syllabub, scones....

Sun, 05/05/2013 - 17:15 | 3532718 Arrowflinger
Arrowflinger's picture

One out of six whacks rats for breakfast

Sun, 05/05/2013 - 18:15 | 3532805 Groundhog Day
Groundhog Day's picture

But I thought london was the land of infinite re-hypothication.  I guess they havn't figured out how to rehypothicate food yet.

Sun, 05/05/2013 - 12:12 | 3532081 true brain
true brain's picture

Obama needs to give them SNAP as well. After all, deficits don't matter.

Another sign that humanity fails miserably at all levels. Human aren't capable, or willing to take care of its own kind. Pathetic.

Sun, 05/05/2013 - 12:13 | 3532084 CH1
CH1's picture

Obama needs to give them SNAP as well.

Dude... Obama PHONES!

Sun, 05/05/2013 - 17:20 | 3532729 MisterMousePotato
MisterMousePotato's picture

All you Brits gotta do is pretend to be Mexican FTW!!

Sun, 05/05/2013 - 12:17 | 3532099 yogibear
yogibear's picture

Obama would only do that if they could vote for his party members.

Chicago had plenty of ghost voters in the last 50 years.

Sun, 05/05/2013 - 12:44 | 3532137 freewolf7
freewolf7's picture

The banks have your grocery money,
but it's being used for prostitutes.
Explain that to the kids,
ask 'em what they think
you should do.

Sun, 05/05/2013 - 13:42 | 3532239 Abraxas
Abraxas's picture

"One-In-Five Britons Borrow Money To Afford To Eat"

Why be so negative? 4 in 5 can eat without borrowing. Always look at the bright side of life.

Sun, 05/05/2013 - 15:22 | 3532264 Mine Is Bigger
Mine Is Bigger's picture

I am afraid you read the news wrong.  Four in five Brintons cannot borrow money.  One in five still being able to borrow money to eat is the good news!!!

Sun, 05/05/2013 - 15:05 | 3532488 FeralSerf
FeralSerf's picture

Many more than one-in-five Americans borrow money to eat when they're in Britain.  Check their credit card statements.

Sun, 05/05/2013 - 20:53 | 3533121 philipat
philipat's picture

So you're saying that the solution for The UK is just to continue printing and running ever-larger defecits? Your other items today:

http://www.zerohedge.com/contributed/2013-05-04/infallible-fed-verge-not...

http://www.zerohedge.com/news/2013-05-05/ron-paul-house-cards

http://www.zerohedge.com/news/2013-05-05/ron-paul-house-cards

suggest otherwise. And you can't have it both ways. So, which is it: continue printing and spending until it all collapses or try to restore a measure of fiscal responsibility?

Sun, 05/05/2013 - 12:13 | 3532085 LawsofPhysics
LawsofPhysics's picture

The Brits are among the best sheep in the world.  They will do whatever the bankers tell them.  In this case the banker's success will be their own undoing.  Going to be fun watching this tiny island implode.  In the grand scheme of things it is in fact a tiny island, despite the many world loyalties (Windsors, Lloyds, etc.).  Unfortunately all eCONomies are really local, especially when supply lines break.  How much of Englands energy and other essential commodities are imported again? 

Sun, 05/05/2013 - 12:17 | 3532096 Motorhead
Motorhead's picture

You hit the nail on the head with "imported commodities".  I mean, look at the Premier League...alll KINDS of foreign players.

Sun, 05/05/2013 - 12:55 | 3532157 Rory_Breaker
Rory_Breaker's picture

LMAO! +1

Sun, 05/05/2013 - 12:18 | 3532103 Kreditanstalt
Kreditanstalt's picture

ENGLAND PREVAILS!!!!

Sun, 05/05/2013 - 12:45 | 3532140 Bananamerican
Bananamerican's picture

ah, but at what?

Sun, 05/05/2013 - 12:49 | 3532143 Edward Fiatski
Edward Fiatski's picture

At being cum buckets for Royal Load.

Sun, 05/05/2013 - 13:11 | 3532188 _ConanTheLibert...
_ConanTheLibertarian_'s picture

That was naughty hehe. I had to giggle.

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