Photo: Ahmed Zayan Be Happy from Unsplash

This post is a companion piece to Déjà vu in UK Welfare Benefit Reform which ran last week in response to government cuts to welfare benefits

According to the 2025 World Happiness Report, the UK has taken a significant dip—now ranking 23rd globally, its lowest position since 2017. But why is Britain struggling with happiness, and what can be done to turn things around?

One surprising takeaway from the report is that Brits tend to underestimate each other’s kindness. A study revealed that many assume lost wallets will never be returned, yet they actually are—at twice the rate people expect (though, if that wallet had a coffee shop loyalty card with nine out of ten stamps, one might be tempted to keep it.) This ties into Durkheim’s concept of social integration, which suggests that societies with high levels of trust and cohesion tend to be happier. Despite evidence of strong community trust, many people believe it is declining, which may be contributing to a sense of social fragmentation. Additionally, fewer people are engaging in community activities, such as local clubs and religious organisations, further weakening social bonds.

Economic concerns also play a major role in national well-being. Rising living costs, job insecurity, and widening economic inequality have left many feeling financially strained. Upcoming welfare reforms may exacerbate these struggles. Marx argues that capitalism can lead to alienation, making individuals feel disconnected from their work, communities, and even themselves. If people are struggling financially and feel powerless to improve their situation, it is no surprise that national happiness is suffering. Rather than reducing social welfare, policymakers might consider strengthening support systems and implementing progressive taxation to alleviate financial stress.

Meanwhile, Finland continues to top the World Happiness Report for the eighth consecutive year. What sets it apart? Publicly funded healthcare, clean air, high gender equality, and strong workers’ rights—90% of Finnish workers are unionised, and the government owns a significant share of national wealth, allowing it to prioritise social welfare. In contrast, the UK follows a more market-driven model with limited state intervention. Could adopting elements of Finland’s social democratic approach help Britain climb the happiness rankings?

The role of media and perception cannot be overlooked either. The UK’s increasingly polarised press and constant stream of negative news may be contributing to a more pessimistic national outlook. Could prolonged exposure to negative media be making us believe the world is more dangerous and hostile than it really is? While issues like the cost-of-living crisis and climate change are serious concerns, constant exposure to negative narratives may be amplifying national anxiety.

So, where do we go from here? The UK’s declining happiness ranking is concerning, but it also presents an opportunity for change. Rebuilding trust in communities, reassessing economic policies, and being mindful of the impact of media consumption could all contribute to greater well-being. Other nations have successfully fostered happiness—perhaps it’s time for Britain to take notes. The tools for improving national well-being exist; we just need the collective will to use them.