Why does racism occur in Britain?

It is impossible to provide a detailed answer to such a general question, but we will take it as an opportunity to point out that whilst racial prejudice is a natural occurrence, persistent racism is usually engineered within a society. All people have some tendency to "stick with their own kind" and are afraid or suspicious to some extent when faced with the unfamiliar. Migration often causes resentment and inequality, but over time the barriers break down. Where racism persists this is usually due to institutionalized injustice and unequal treatment, and as with many other areas, governments have delivered the rhetoric but not addressed the underlying problems. Ghettos are not simply created by peoples' preferences, but are the direct result of failed town planning and housing policies. The legislation against racial discrimination and the government sponsored Council for Racial Equality are little more than smokescreens to hide the complicity of government departments in creating inequality in society.