Newham is a neighborhood in east London, which faces severe problems of inequality and poverty. In Newham, the number of children living in deficient income families is higher than in other city areas. Unemployment in the area is slightly above the London average, but unemployment benefits are significantly higher. This may indicate some difficulties in matters of forms of non-legal activity, which are associated with the labor market.
The proportion of households living in temporary housing in Newham is the highest in the capital. It is estimated that this number is about 49 per 1000 while in London overall this figure is 17 per 1000 (“Towards a Better Newham: Council unveils 2021/22 budget proposals”, 2020). The number of evictions is also the highest of all districts in London – 3.4 per 1000 families compared to an average of 1.7 in the city (“Towards a Better Newham: Council unveils 2021/22 budget proposals,” 2020). Bad sleepers are also more common in Newham – 724 people in 2019/20 (“Towards a Better Newham: Council unveils 2021/22 budget proposals,” 2020). Government cuts have become one of the main problems for the region. Over the past decade, Newham has lost an estimated £ 250 million from the area’s budget due to government cuts (“Towards a Better Newham: Council unveils 2021/22 budget proposals,” 2020). Other problems that caused the loss of colossal budget support were the increased cost and demand for services and the constraints associated with the pandemic. The government cuts the district budget every year, which leads to a recession in the economy.
The problem is also that the government fails to fulfill its obligations to local authorities, which experienced the crisis during the COVID-19 pandemic. Local officials complained that the city government did not provide tangible assistance to the area during the difficult times. In this regard, the already difficult situation in Newham worsened, even more, increasing the number of poor people in the area. Nevertheless, the government is trying to rectify this situation. Residents are encouraged to review the budget proposals and provide feedback. A proposal like this could help the district rebuild its internal economy.
Towards a Better Newham: Council unveils 2021/22 budget proposals. (2020). Newham London. Web.