| Government austerity measures, which have led to public spending cuts, are exacerbating the underlying capitalist crisis. On top of this there are a number of energy price increases such as the ones that companies like Scottish Power with their 18% hike and Southern Electric, which has announced increases amounting to 11% next month. The huge rise in the cost of oil has not only affected petrol and heating fuel but also the cost of transportation of essential products particularly from abroad. On top of this there are the food price increases that have already filtered through the system causing people not to be able to buy such things as meat and other products as the prices on supermarket shelves rises sharply. The prospects for greater price increases will come about if the value of the pound decreases again due to UK stagnant or declining growth and the European Union bailout and debt crises. It is estimated that people’s savings will halve in value and the cost of buying clothing and food from abroad will increase further than it has done already. The capitalist media called it a “Double Dip Recession” but as we all know this was a continuation of the existing economic crisis. This grave situation of capitalist economic crisis, on top of a banking crisis, has led to the longest recession since the 1930’s and the consequences are a fall into deep depression. The 1930’s depression was marked by the Wall Street Crash of 1929 and lasted until the outbreak of World War 2, 10years of collapse alongside 5 years of world war. The similarities with today’s financial crisis and corresponding recession are revealing themselves. The present situation started in 2008 with a general economic downturn and sub-prime mortgage problem that exacerbated the downturn and 4 years later we are still in downturn with government debt defaults on the horizon. Where will this situation end up? A depression brings with it a new phase in the condition of people and with it the political demands change. Today the modern struggle for rights has included health education and pensions as well as student fees. A qualitative change is taking place. The depression alters the outlook and turns people’s struggles against widespread poverty and hunger issues. As the capitalists turn to their last resort to head of the revolt of the working class and people they head for fascism and war. Already the wars in Afghanistan and Iraq have become a great burden on the people and now as the capitalists have widened their war policies in the Middle East to include Libya and threaten Iran and Syria. Today dissent is also threatened by the capitalists and their state and the arbitrariness of governments have shown the willingness to increase the danger of fascism. The demands develop from hospitals and health issues, education, low pay, student fees and pensions towards Peace, Bread, Housing and Democracy as more and more people get dragged into the dire situation. Alongside this situation comes the growing desire for an alternative that puts and end to capitalism and its ever recurring and deepening crises. It’s hard to imagine that, in what most people think of as an advanced society, there would be a need to provide food to people because they don’t have enough money to buy their own. Sadly there is – and it’s happening on the Isle of Wight a warehouse on an industrial estate in Cowes is acting as the central collection point. Distribution points around the Island are being formed in Cowes; Freshwater; Newport; Sandown and Ventnor, to ensure the food gets out to all corners of the Island. 13 million people live below the poverty line in the UK. Every day people in the UK go hungry for reasons ranging from redundancy to receiving an unexpected bill on a low income. Trussell Trust foodbanks provide a minimum of three days emergency food and support to people experiencing crisis in the UK. Last year our UK foodbank network fed over 60,000 people. Churches and community groups opened new foodbanks nationwide. With over 100 foodbanks currently launched, every town will have one. One mother from Salisbury was an example of sudden difficulties people have had to face up to. In desperation she had to borrow a tin of soup from next door to stop her 18-month-old daughter from going to bed hungry. As the government is abdicating its responsibility all food is donated by the public and sorted by volunteers. Frontline care professionals such as doctors and social workers identify people in crisis and issue a food voucher. Clients receive three days of nutritionally balanced, non-perishable food in exchange for their food voucher. Today hunger is not just a third world problem. An increasing number of people across the UK will struggle to feed themselves and their families. This is happening in a situation of depression and the whole population has to appreciate what is occurring. Redundancy, Low pay, Price hikes, low pensions, illness, benefits shutdown, debt and paying for heating during winter are just some of the reasons why people go hungry.  The poorest of families in the UK cannot pay their bills on time this amounts to nearly 20% of the poorest fifth in society. Another indicator is the proportion of households in fuel poverty. A household is said to be in fuel poverty when they cannot afford to keep adequately warm at reasonable cost. In the UK, fuel poverty is said to occur when in order to heat its home to an adequate standard of warmth a household needs to spend more than 10% of its income on total fuel use. In early 2008 it was estimated by Energywatch that there were around 4.4 million households in fuel poverty in the UK, with just over 3 million in England alone. This was more than double the number in 2003. By April 2011 a YouGov survey indicated that the number of households in fuel poverty had risen to 6.3 million households, representing approximately 24% of all households in the UK.  The largest proportion is in the rural areas yet urban areas show the biggest increases when comes to homelessness.  An area where extreme poverty is indicated is in the level of homelessness. The organisation, Shelter, that deals with homelessness is pointing out the crisis that the present situation is causing. One example is Cornwall. Cornwall's homeless figures show the number of people approaching Cornwall Council for help with re-homing has gone up by a third in a year. Shelter claimed this number will increase further because of government changes to housing benefit. More than 250 people went to Cornwall Council seeking help between January and March this year. The local authority said it only has a legal duty to help the most vulnerable and those who unintentionally became homeless. Shelter area manager for Devon and Cornwall Ian Byworth said: "The changes to housing benefit means there will be more people having to top up their rent if they can afford to, or face falling into rental arrears." The statistics show that the number of people becoming homeless because of the ending of a private tenancy is rising. The organisation is also concerned about the rise in the number of households being placed in bed and breakfast accommodation. Thousands of families across the UK have been affected by changes to housing benefit which reduced the amount of money available to some claimants. Homelessness is rising dramatically for the first time in years in the UK as the effects of the recession are felt, with recent increases in some areas of more than 50% in the numbers of people declaring themselves in need of housing, government figures find. The government data show that 26,400 people approached a local council for housing help in the first three months of 2011, a rise of 23% compared with the same period last year. (Guardian). Less than half of these applications were successful, triggering warnings of growing numbers of "hidden" homeless – people forced to squat or sleep on friends' sofas after not qualifying for official help. Rent arrears or mortgage defaults were to blame for a growing share of the people given housing help, Though there is evidence councils are refusing proportionately more applicants, the number of people approved as being in need of housing rose by 10% year-on-year in 2010 -11 – the first such rise for seven years. Some of the biggest rises in homelessness applications came in London boroughs: substantial rises were recorded in Bromley (99%), Hammersmith and Fulham (92%), Islington (88%), and Haringey (83%), in the first three months of 2011. The figures also revealed an increase in homeless families being housed in bed and breakfast accommodation. The latest government figures, for the three months until the end of March, precede cuts affecting new claimants' housing allowances. Benefit cuts to existing claimants will start January 2012. Leslie Morphy, chief executive of the charity Crisis, said: "The government's figures show that homelessness is on the rise once more, yet instead of redoubling their efforts to end this scandal, minsters are cutting housing benefit and weakening homeless people's rights to housing. The charity Homeless Link said the numbers of homeless people turned away by local councils for failing to qualify as a "priority need" rose by 15% in 2010 -11. Priority need criteria include households with dependent children, pregnant women, people with mental illness or disability and vulnerable young people such as care leavers. Jenny Edwards, chief executive of Homeless Link, said: "When people experience financial problems, they need effective help, not a closed door, even if they are not defined as being a 'priority'. We need to prevent people from facing the alternative of illegal lets, staying with friends, or squats. We know these are often the last stop before the streets. As the situation develops into depression the resistance develops as do the social and political demands. The capitalist “solutions” of impoverishment fascism and war should not be allowed to pass. Alongside this situation comes the growing desire for an alternative that puts and end to capitalism and its ever recurring and deepening crises. The priority becomes organising the necessary political forms and mechanisms to bring about the alternative. |