Research shows 37% of Brits unprepared for economic downturn

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YouGov’s research has revealed that the COVID-19 pandemic has left 37% of Brits or 19.4 million people unsure and unprepared for an economic downturn. It showed that 49% of the population that falls within the Gen-Z age group and 49% of Millenials are least likely to be prepared for a potential downturn as compared to 73% of Baby Boomers claiming that they are prepared with their future finances.

Kelly Devine, Division President, Mastercard UK & Ireland commented, “We are working with our partners to help support the nation to become financially prepared following the economic effects of COVID-19. Together we aim to help people better understand and manage their finances, both for today and in preparation for the future. There are millions of people struggling in the UK, and there has never been a more crucial time to ensure people have access to digital services and resources they need.”

54% of the financially unprepared UK respondents stated that they do not have enough money to support themselves in the near future, 27% said that they have reduced income owing to COVID-19 and 24% said they are struggling with their finances. YouGov’s research also found that 15% of Brits have turned to the government for payment support relief. Out of them, 35% have been relying on their income returning to normal, 26% plan to use their savings while 15% plan to ask for an extension of their payment plan.

27% of Brits claim that they do not know how to access any online guidance for their finances and of them, 36% say it is because they don’t know where to look while 23% say they find it overwhelming. Mastercard aims to address these issues alongside a coalition of partners with the campaign, ‘Leave Nobody in The Dark.’ Alongside Good Things Foundation, The Joseph Rowntree Foundation, The APLE Collective, Clean Slate Training & Employment CIC, the campaign provides 1-2-1 support, access to digital and the skills, confidence and support to use it to be better off and a digital hub, nobodyinthedark.co.uk to bring guidance together for Brits to easily source and navigate.