Credit crunch to lead to increase in crime
Monday, 01 September 2008 11:25
The credit crunch is having hitherto unforeseen consequences for crime and social unrest, according to a leaked draft memo from the Home Office.
It says "acquisitive crime" is likely to increase as a result of current economic difficulties.
The letter states: "There is a risk of a downturn increasing the appeal of far-right extremism and racism, which presents a threat as there is evidence that grievances based on experiencing racism are one of the factors that can lead to people becoming terrorists."
It also predicts heightened hostility to migrants, who make up significant proportions of the workforce in sectors like the construction industry.
The Conservatives have hit out at the message the letter sends about the government's treatment of the economy. Shadow home secretary Dominic Grieve said: "Now we see the consequences of Gordon Brown's mismanagement of the economy will not just hit hard-working families in the pocket but will also threaten their safety."
In a break from the government's usual policy of not commenting on leaked documents, the Home Office rushed to clarify the letter was draft advice which had not been cleared by home secretary Jacqui Smith.
"It is however appropriate that the Home Office considers the effects the economic climate may have on crime and other policy areas," a spokesperson said.
"We are confident that we have the right systems in place to respond flexibly to changing economic needs, and are well positioned to face future challenges."
Mr Brown is expected to unveil a raft of economic measures designed to help households cope with the current downturn later this week but is struggling to get his premiership's relaunch off to a smooth start.
Earlier chancellor Alistair Darling admitted that Britain is "p*ssed off" with the government.
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