YAHOO! FINANCE: A senior economist at the worldwide bank HSBC (LSE: HSBA.L - news) has warned of civil unrest in Britain if food prices continue to soar.
Speaking on Jeff Randall Live, senior global economist Karen Ward cautioned that the UK could experience the kind of food riots seen in other countries.
"Even in the developed world I think we have very, very low wage growth, so people aren't getting more in their pay packet to compensate them for food and energy, and I think we could see social unrest certainly in parts of the developed world and the UK as well."
She (SNP: ^SHEY - news) went on to highlight the link between high food prices and the escalating cost of crude oil.
"More and more we are seeing that some of these foodstuffs are actually substitutes for energy itself, particularly biofuels. So I think the energy markets are a significant contributor to these food price gains."
The comments come as the United Nations warned the cost of food is now at the highest level for 21 years and set to rise further. >>> SKY NEWS | Tuesday, March 08, 2011
