The Prince’s Trust NatWest Youth Index 2024, released recently, finds half (49 per cent) of 16–25-year-olds in the UK think the cost of living crisis has had a worse impact on their life than the pandemic.
As noted by the Natwest Group, it shows young people’s happiness and confidence “with money has hit the lowest level on record since polling began in 2008 during the Global Financial Crisis and is the factor having the biggest negative impact on overall wellbeing.”
A third (34 per cent) of 16 -25-year-olds say “the cost of living crisis has made their mental health much worse, while over two fifths (43 per cent) report they feel anxious on a daily basis about it.”
One in ten (10 per cent) report “being bullied for not being able to afford everyday costs, rising to over one in five (23 per cent) of those from poorer backgrounds. Similar numbers (21 per cent) report skipping meals to save money in the past year, a rise of 7 per cent since last year.”
The Youth Index is an annual research report based on a YouGov survey of 2,239 16- to 25-year-olds across the UK, “gauging young people’s confidence and happiness across a range of areas, from their physical and mental health to money and working life. ”
Over half (53 per cent) are worried the crisis “means they will never be financially secure, despite two thirds (66 per cent) reporting this is their biggest goal in life, followed by having good mental health (42 per cent), having a family (36 per cent) and owning a home (35 per cent).”
Almost half (47 per cent) worry they “will never earn enough to support a family, rising to 60 per cent who worry they will never be able to buy their own home.”
Jonathan Townsend, UK Chief Executive of The Prince’s Trust said:
“This year’s Youth Index highlights the devastating consequences of what we have been hearing from the young people we support in our centers across the UK; that the cost of living is having a profoundly negative impact on their day to day lives, wellbeing and aspirations. Showing that the impact of the rising cost of living is hitting those from poorer backgrounds the hardest, without action, they threaten to hold this generation – and broader society – back for decades to come.”
Almost a fifth (18 per cent) of young people “plan to finish their education early so that they can start earning money. A quarter (24 per cent) state they can’t afford to get the qualification for what they want to do, rising to 34 per cent among those from poorer backgrounds and 32 per cent among unemployed young people.”
One in ten (10 per cent) young people “from poorer backgrounds or who are unemployed have turned down a job because they can’t afford the costs to start – be it rent, transport or uniform. And 5 per cent of young people have missed school or work in the past 12 months because they couldn’t afford transport, rising to almost one in ten (9 per cent) of those from poorer backgrounds. Over two fifths (23 per cent) say worrying about money has made them unable to concentrate at school.”
The research report also reveals young people “are increasingly turning to social media for advice on managing their finances, with the number of 16-25-year-olds utilising TikTok to secure this doubling since 2022.”