8 in 10 people in the UK are feeling the pinch from the increase in energy prices
Data from Hodge reveals 80% of Brits are most concerned about the increase in energy prices, 72% are worried about everyday costs and 61% are struggling with rising inflation.
Although concerns about the rising cost of living have eased slightly, it continues to impact over three-quarters of people surveyed. From a regional perspective, the top worriers are in the East Midlands, followed by West Midlands, and North East.
Additionally, over a third (38.2%) of Northern Irish residents expressed worries about fuel and electricity costs. Surprisingly, despite these concerns, they boast the highest confidence in managing their own money.
Meanwhile, the housing market continues to present challenges for first-time buyers with skyrocketing mortgage rates, which is reflected in the 10% of Brits that are actively saving towards owning a house. Instead, many are choosing to save for leisure activities.
From an age perspective, 57% of people below 20 years old are most concerned by the escalating costs of fuel. However, over two thirds of 20-30 year olds are deeply worried about the increasing cost of everyday items.
Interestingly, residents aged 31 and older are struggling with energy costs. This financial landscape underscores the shifting worries and priorities experienced throughout different life stages.
Biggest money worries in the UK
- Energy prices – 80%
- Cost of everyday items – 73%
- Rising inflation – 61%
- Fuel prices – 52%
- The effect on pension/retirement income – 32%
- The effect on wages – 22%
- Rising interest rates – 22%
- Fall in the value of the pound – 22%
- House prices – 18%
- Increased loan payments – 12%
Christie Cook, managing director of retail at Hodge, said:
“Over the past few years, the UK has faced economic uncertainty, making financial planning a challenge.
“It’s evident Brits are actively taking steps to manage their finances amidst these challenges with the majority reducing their electricity usage to cut back on costs.
“Additionally, nearly half (49%) of the UK population are preparing for their future by setting aside money in emergency savings.
“Others are choosing to enjoy their money by saving for a holiday, while more than 4 in 10 (46%) are dipping into their savings.
“With fluctuating interest rates on savings accounts, it’s understandable that consumers aren’t staying loyal to their bank.
“More than half (54%) of individuals say they would consider moving their savings if they found a more competitive rate.”
