Four in five say this January is the 'hardest yet' on their bank balance

New research has revealed the third week of January is when most people expect to feel the biggest squeeze on their finances - and this month is the worst January ever for money worries.

Around half of people in the UK agree that the start of the year causes the most amount of financial stress, with more than eight in ten (82%) admitting they expect this January to be the hardest yet on their bank balance.

So why is it so bad this year?

• More than half (51%) blame heightened Christmas spending.
• More than 2/5 point towards increased energy costs in the winter.
• Debt caused by the cost of living is a factor for over a third (37%).

Mental health impact of financial struggles

Despite seeking support for finances being daunting for some, one in two people (46%) will do this this year compared to previous years.

Life-events can play a part in money worries and stresses leading to people seeking help, which include getting a first mortgage (28%), managing a pension (26%), handling debt (24%), bereavement and health problems (21%).

The research from Nationwide Building Society comes as people worried about their finances are urged to talk to someone face to face.

TV's Dr Alex George offers advice on not suffering alone

Mental Health campaigner Dr Alex George has told us ongoing stresses about our bank balances can have a lasting impact on our mental health.

He said: "Amongst one of the biggest causes of stress and worries in adults is financial health - it's up there with climate anxiety. It's a really huge worry for people, and this time of year is a difficult one.

"There's a great deal of shame - with people thinking 'what have I done wrong, how have I got into this situation, but in reality the world is a difficult place right now.

"Please don't face it on your own. I've had so many messages over the years from people who've struggled with stuff on their own, never told anyone, not shared.

"It's not like we can make the challenge or the financial worry go away, but like my mum always said 'A problem shared is a problem halved'."

Getting support if you're struggling

If you have specific financial worries, you can speak to your bank or building society.

You can get impartial advice from Money Helper.

Citizen's Advice has some helpful information about speaking to a financial advisor.

You can also get more information using Martin Lewis's Money and Mental Health organisation.

For mental health support where you are visit the Hub of Hope