POVERTY IN U.K. 'CAUSING MALNUTRITION' The Observer LONDON -- Mounting poverty during 16 years of Conservative rule has produced malnutrition among Britons on a scale unseen since the 1930s. An unpublished government report leaked to The Observer concludes that urgent action needs to be taken to improve the diet of millions of Britons. The report is deeply embarrassing to the government and the inquiry team was forbidden from discussing or recommending what some of its members believe to be an essential prerequisite to healthier eating -- the raising of state benefits. Led by a team of civil servants and top nutrition and health experts, the 18-month inquiry has laid out a blueprint for mass national action that would represent the biggest healthy eating drive since the "Dig For Victory" campaign of the Second World War. The advisers will warn the government within the next two weeks that the combination of rising poverty and the boom in out-of-town superstores has left "whole communities with inadequate access to the constituents of a healthy diet." It wants ministers to take action by setting up a group ranging across five government departments -- health, social security, education, agriculture and environment -- to establish a national strategy and discover how much it would cost. The 21-member team suggests that in the longer term, "ring-fenced" state funding would be needed to help people grow food locally. It also calls for tax breaks to encourage small scale growers and sellers of fruit and vegetables. The department of social security has estimated that increasing income support by $22 Cdn a week would cost $9 billion a year.