Cambridge University has just published extracts from the latest European Social Survey into well-being which started in 2002. Every 2 years 20,000 people across European are interviewed. The objective is to see how happy people are and their longer term satisfaction and what factors influence this.

The result? The UK is 9^th out of the 15 EU members in 2004. The Danes are the happiest. The UK is less happy now than at the last survey. The Cambridge researchers speculate that the reduction in the UK's happiness could be due to declining trust in Government and other institutions. These are also highlighted in the latest annual Edelman Trust Survey and the CIPD 2006 survey on Employee Engagement.

Dr Luisa Corrado, who led the Cambridge research said ‘The countries that scored highest for happiness also reported the highest level of trust in governments, laws and each other’

For governments the challenge is to work on policies that promote social inclusion and not exclusion.  

For businesses it is to work on the psychological contract and communication policies and programmes that enhance employee trust and engagement as well as enhance relationships with customers.