New insights into the financial well-being of workers across the UK has found a surge in employees seeking advice.

The analysis, conducted using data from HIVE360‘s rewards and benefits mobile app Engage, indicates over the last two months, nearly half (46%) of Engage users have accessed resources and support related to managing their finances and debts, highlighting a growing concern among the working population.

Claire Lidgbird, HIVE360’s Customer Experience Manager, emphasised the negative impact of financial stress on mental health and well-being, citing a recent CIPD research study:

Worry and stress over personal finances has a detrimental effect on mental health and wellbeing, with recent CIPD research finding that well over half (59 percent) of people living in the UK say the cost of living or a change in personal finances has had a negative impact on their mental health over the past year.

Claire Lidgbird, HIVE360’s Customer Experience Manager

While the primary focus of Engage is to provide benefits and discounts to users, the data for August and September uncovered a sharp increase in users seeking financial advice. Retailers such as Asda, Sainsbury’s, and Tesco topped the list for the number of user orders made using the app and its exclusive discounts, reflecting the impact of rising food costs and the cost of living on the average worker. Claire added,

Financial stress has a significant impact on employees’ overall wellbeing and productivity and concentration levels at work. Providing savings on the cost of essential and non-essential expenses can ease employees’ worries about money and how or if they can make ends meet.

The state of the UK’s financial wellbeing concerns are also addressed by the upcoming National Pension Day campaign on the 29th October. The campaign highlights a critical issue: the increasing number of unclaimed pensions in the UK.

According to a YouGov survey commissioned by the National Pension Tracing Day campaign, only 44% of Britons can remember the company that provided their first pension, while 95% can recall details about their first car. This lack of awareness has contributed to the surge in unclaimed pensions, which has grown by over a third to approximately £27 billion since 2018.

Alan Morahan, Chief Commercial Officer at Punter Southall, stressed the importance of helping people locate their lost pensions, saying,

The fact nearly everyone can remember their first car but not their first pension supports what most of us already know: making people more interested in their pensions is really tough, even if it means finding thousands of pounds you didn’t know about.

Alan Morahan, Chief Commercial Officer at Punter Southall

The research also highlighted that the escalating cost of living is affecting retirement plans, with 26% of respondents believing they won’t be able to afford to retire. To alleviate these financial concerns, the National Pension Tracing Day campaign encourages individuals to use the Government’s Pension Tracing Service to locate their lost pensions, which could be worth an average of £9,500 each.

While 86% of respondents with a pension plan have not traced a lost pension, 43% of those surveyed said they would put the money into a savings account, and 22% would use the funds to enhance their retirement, reflecting the positive impact of reuniting people with their lost pensions.

National Pension Tracing Day, a cross-industry campaign supported by companies such as Aegon, Aviva, Legal & General, Standard Life, and The People’s Pension, is aimed at helping individuals find their forgotten pensions and secure their financial future.

Editor at Workplace Wellbeing Professional | Website | + posts

Joanne is the editor for Workplace Wellbeing Professional and has a keen interest in promoting the safety and wellbeing of the global workforce. After earning a bachelor's degree in English literature and media studies, she taught English in China and Vietnam for two years. Before joining Work Well Pro, Joanne worked as a marketing coordinator for luxury property, where her responsibilities included blog writing, photography, and video creation.