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Many Britons “could not pay their bills for a week if they lose their job,” the report said

A new report from the Building Societies Association has revealed the full extent of the cost of living crisis, with one in 20 British workers unable to pay their bills for a week if they lose their main job

One in 20 British employees "could go a week without paying bills if they lost their day job"
One in 20 UK workers ‘could go a week without paying bills if they lose their main job’

One in 20 UK employees claims he would not be able to pay his bills for a week if he lost his main job, a worrying new report has revealed.

And one in six (15%) would not last a month, according to the Building Societies Association (BSA) study.

As the cost-of-living crisis hits hard, more than half of adults (61%) said they found it difficult to pay their bills.

While this puts more strain on employees, less than a quarter (24%) believe their employer actually cares about their mental well-being.

This gap in financial well-being is likely to be of particular concern to employees in larger organizations; in media, marketing, PR sales and education; younger employees; and those with low financial resilience.







A new report has revealed how hard workers are being hit by the cost of living crisis
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More than 2,000 people were interviewed for the BSA report – private sector employees classified as middle management or below, who work in companies with two or more employees.

The BSA acknowledged that with the cost of living tight, people will not be able to save money in the coming months.

But it says that introducing a company savings plan for those who work and feel able to save a little each month could be a way for employers to help employees improve their longer-term financial well-being.

Such programs could allow participating employees to deduct a set amount from their monthly after-tax salary to save as cash that could be used for an emergency or reward.

Half of the employees surveyed (50%) who are not currently offered a workplace savings offer would be interested in joining, the BSA found.

Of those whose money problems have interfered with their jobs, six in ten (60%) would be interested in a company savings plan if offered one.







Many employees said their money worries interfered with their work
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For one in eight (13%) people interested in a corporate savings program, this would be their first formal investment.

Several building societies are actively investigating how they can help in this area, the BSA said, with some credit unions and building societies already offering this type of account.

Financial Inclusion Minister Guy Opperman said: “Savings at work can play an important role in helping people build their future financial resilience.

“It’s good to see that many credit unions and some home loan and loan associations have programs in place that employers can use to help people save directly from their paycheck, but we now need to increase the number of providers and encourage employers to take advantage of these support services.” take their employees.”

Sarah Porretta, Propositions, Insights and External Engagement Executive Director, Money and Pensions Service, welcomed the BSA’s work to “raise the profile of workplace savings, which could provide financial resilience and security for many people during these uncertain times.”

Andrew Gall, head of savings at BSA, said: “With food, energy and other prices continuing to rise, it’s no wonder so many are now finding their finances tight and struggling with their day-to-day living expenses.

“While now is not the time for many to start saving, the introduction of an occupational savings plan could offer some an easy and flexible way to start building a savings buffer.

“Having a scheme also helps other employees who can join the scheme and save regularly when their own personal situation allows, and helps them increase their resilience to unexpected financial shocks over the longer term.

“For those who currently have outstanding debt such as personal loans or credit cards, we would suggest that if they can set aside a little more each month that they use this to reduce before opening a savings account, as interest will be charged on the outstanding amounts.”

The Government recently announced a range of measures to support households during the cost of living crisis, including a £400 payment to help households in general with their energy bills, as well as targeted support for benefit recipients, pensioners and people with disabilities.

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https://www.mirror.co.uk/news/uk-news/many-brits-couldnt-cover-bills-27205110 Many Britons "could not pay their bills for a week if they lose their job," the report said

Fry Electronics Team

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