Travel Reference
In-Depth Information
In 2012, the Brits hosted two huge events: the Olympics and the Queen's Diamond
Jubilee. The flurry of investment that swept Britain in the lead-up to that summer have
left this already spruced-up country looking better than ever. This is the icing on top of
a decades-long effort to rejuvenate some of Britain's former urban wastelands; cities like
Liverpool and Cardiff have reclaimed their deserted, industrial waterfronts and converted
them into hip, thriving people zones.
CURRENT CHALLENGES
From early 2008 to late 2009, the British economy shrank more than 6 percent—the largest
decline since the Great Depression. Facing a huge—and growing—budget deficit, soon
after his election Prime Minister Cameron announced an austerity program that dramatic-
ally cut back spending and increased the VAT (Value-Added Tax—the national sales tax)
to 20 percent. The prime minister's budget eliminated more than 500,000 public-sector
jobs, shortened long-term unemployment benefits to 12 months, imposed higher rents on
public housing, slashed funding for the arts and the BBC, cut police services, and raised
the retirement age to 66 by 2020. (Visitors might notice reduced bus schedules and unex-
pected closures of TIs or minor sights.) The initial result of these efforts was a double-dip
recession (in 2012). The economy showed signs of recovery in 2014—but skeptics remain
concerned that the growth isn't sustainable.
Other hot-button topics in Britain include terrorism, immigration, Scottish national-
ism, and binge-drinking.
Like the US, Britain has been coping with its own string of terrorist threats and at-
tacks. On the morning of July 7, 2005, London's commuters were rocked by four different
bombs that killed dozens across the city. In the summer of 2006, authorities foiled a plot
to carry liquid bombs onto a plane (resulting in the liquid ban air travelers are still ex-
periencing today). On June 29, 2007, two car bombs were discovered (and defused) near
London's Piccadilly Circus, and the next day, a flaming car drove into the baggage-claim
level at Glasgow Airport. Most Brits have accepted that they now live with the possibility
of terrorism at home—and that life must go on.
Britain has taken aggressive measures to prevent future attacks, such as installing
CCTV (closed-circuit television) surveillance cameras everywhere, in both public and
private places. (You'll frequently see signs warning you that you're being recorded.) As
Brits trade their privacy for security, many wonder if they've given up too much.
The terrorist threats have also highlighted issues relating to Britain's large immigrant
population (nearly 4 million). Three of the four suicide bombers responsible for the July
2005 attacks were second-generation Muslims, born in Britain. Some Brits reacted to the
 
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