ONCE upon a time, pets knew their place and managed to go about their daily business without being smothered with human affection.

Dogs used to expect nothing more than one meal a day, a walk and a roof over their head. Cats were even less demanding.

Now, however, the world has officially gone mad and dumb animals are being worshipped by their owners.

This has long been the case in the USA, where anything goes, but the UK has now caught the disease.

It is predicted that this madness will cost UK pet owners £3.54 billion by the end of the year, an increase of a quarter in five years.

Our pampered friends are treated as equals in virtually every respect, with gourmet foods, vitamin supplements, bizarre toys and extravagant treats being lavished on them.

Celebrities have led the way in wasting ridiculous amounts of money on diamond encrusted dog collars, while millions starve in Africa.

For the pet that simply has to stay up to date with the latest fashions, there is a Burberry coat, while Gucci supplies bowls and beds.

Harrods is also a big player in this terrifying trend, stocking everything from sunglasses to cashmere sweaters to confuse your animal's tiny brain.

Japanese product designers, meanwhile, have put their time to optimum use to come up with a cat video player.

This essential item has a scented remote control smelling of meat and fish, and is used to activate a video featuring mice and birdsong. The most worrying aspect of this whole affair is that it is not just eccentric elderly people who are ruining their animals: the most generous owners are those in the 20 to 24-year-old age group.

Market analysts Mintel have found that a fifth of pet owners buy Christmas and birthday gifts for their cats and dogs, with 40 per cent of 20 to 24-year-old pet owners being guilty of this offence.

You have to wonder where this country is heading when even our pets treat Christmas as a commercial festival.

The people of Yorkshire and the North East are most to blame for this latest example of moral decline, with about a quarter of pets in these areas receiving presents.

While not all owners feed their beasts on caviar and lobster, many seem to feel that Rover and Tiggy can't survive on supermarkets' own brand pet food.

It would appear that feeding your prize pet on anything less than Pedigree Chum or Whiskas is tantamount to animal cruelty.

The top brands have lapped this up, and introduced niche products such as food for young and old pets.

However, a recent Hungarian study found that the most pampered dogs are also some of the most stupid.

Through no fault of their own, these animals have been dragged down to their owners' level and are unable to cope with difficulties or solve problems.

There is also evidence that obsessive owners are literally loving their pets to death.

The RSPCA has long been warning that almost one in three British pets are overweight and at risk of developing crippling or even life-threatening illnesses.

"We want people to think about the sorts of products they are buying," said RSPCA spokesman Sari Eldridge.

"A diamond studded collar might sound fantastic, but we would rather people spent their money on things which are going to enrich the quality of life for their animals, or encourage the animals to display natural behaviour."

Mintel report author Dominique Allport said the findings suggested more people were treating their pets as child substitutes.

"We did find, particularly in childless households, that pets were becoming like children," he said.

Furthermore, he found that some owners who could not devote as much time to their animals as they would like bought gifts as a way of apologising.

"There was perhaps an element of guilt behind some of the purchasing," he said, "particularly if an animal had been in all day while the owner was out at work, in the same way that working mothers often tend to buy their children more treats to compensate for their absence."

However, Mr Allport suggests that some degree of restraint is still being exercised in this country.

"In households where there is less strain on the purse strings, people are prepared to pay more for food and luxuries for their animals, but households with children do put their kids first.

"Pampering was not evident across the board."