Cost of Living: Effect on the Nation’s Mental Health

When the cost-of-living crisis first arrived in 2021, many people were sceptical about the British government doing anything to help its citizens. They were proven wrong when news of benefits, grants, and payments flooded in, but is this enough to stop people feeling anxious about their financial situation?

The answer is no. The Rehab recovery infographic illustrates that people of all backgrounds are worried about increasing living costs. 36% of unemployed adults are very worried, along with 18% of retired adults, and 27% of people earning £20,000-£30,000 (in which the average salary of £27,756).

Some of these individuals will be earning too much money to qualify for grants and benefits, yet they are not earning enough to be able to remain financially secure throughout the cost-of-living crisis (1). Others will be receiving government aid, but it is still not enough to prevent them from worrying, as the cost of essentials has risen much more than many anticipated.

Perhaps biggest form of help the government has provided is the £650 one-off payment given to people who were claiming particular means-tested benefits in 2022 (this payment is set to rise to £900 in 2023) (2).

As helpful as this has been for many families, this payment only goes so far when they are dealing with rises in the cost of fuel, transport, rent, food, electricity, gas, and many other essentials (4).

We worry about the impact of the lack of government aid on people’s ability to fund their everyday life. The longer people are left to struggle, the more likely it is that they will need further support later down the line, as a result of an addiction, a mental health condition, trauma, or something else that has impacted their health (3).

posted 16th January 2023.

References

[1] The surprising list of people who WON’T get the cost of living payment https://www.netmums.com/life/the-surprising-list-of-people-who-wont-get-the-cost-of-living-payment

[2] Cost of living support https://www.entitledto.co.uk/help/cost-of-living

[3] See addiction rehab in London article.

[3] UK inflation: which goods and services have risen most in price? https://www.theguardian.com/business/2022/oct/19/uk-inflation-which-goods-and-services-have-risen-most-in-price