Financial pressures for families ahead as cost of living crisis hits
Two in five families with children are expected to take on extra debt
Last updated 29th May 2022
As the cost of living crisis continues, those earning money with families are set to feel the tightest squeeze in their purses.
New research published by bill comparison site Comparethemarket found that 42% of families with children at home are expecting to take out extra debt in order to make ends meet.
As well as this, one third of families had struggled to the pay the bills as the cost of oil and gas continues to skyrocket to due to the war in Ukraine.
It was also found that during the research period in mid-February, nearly one fifth of families will be pushed into debt further due to the rising energy costs.
The figures show that families are pessimistic about their finances, with 56% of those surveyed saying they do not think their finances will see them through.
As a result, one third of workers are considering changing jobs in order to earn more money as the cost of living crisis hits.
In a separate report from recruitment website Totaljobs, it was found that many employees no longer feel like their wage is keeping up with the rising cost of living, including food and fuel.
Over a third of the 4,000 workers that were surveyed said their salaries could not cover basic living costs.
As a result of the lack of support from employers, the rising cost of living is driving employees to reconsider their position, reaching as high as 47% in the social care sector.
Speaking about the figures, CEO of Totaljobs Jon Wilson said that it was time to recognise the value of workers and pay them accordingly.
"Society simply couldn't have functioned without them, and they kept this country running. However, those we stood outside and clapped for every Thursday continue to be among the worst paid in our society," he said.
"This research illustrates that everyone is feeling the pinch of the rising cost of living, yet it is disproportionately felt by our key workers, to the extent that some are looking to move jobs for one that provides them with more financial security.
"It's clear that the cost of living is having an impact on businesses and their staff. We'd encourage employers to acknowledge the situation we're in and have open conversations with their staff about financial wellbeing and renumeration."