I operate in similar circumstances - live in East London, work in East London. (Used to be - live in East London, work in Brent so things are improving!). Like you I find it pretty depressing at times for much the same reasons. My positive is that I am only twenty minutes tube ride from the centre of town and all the possibilities that offers. For now I would rather be clinging on in London than rotting somewhere else. It is not as though I could afford to live any of the other places I fancy anyway!