As, across the country, we all endure a seemingly unending period of economic uncertainty, the burden of debt feels especially heavy. The ever-growing cost of living shows no sign of slowing, and concerns about job security and reduced financial support exacerbate mental health struggles for those already in financial distress.
Debt and Mental Health – a Vicious Circle
Debt is more than just a financial issue; it can have profound psychological effects. Anxiety, stress, depression, and even suicidal thoughts are alarmingly common among those struggling with unmanageable debt. Financial difficulties and associated hardships increase stress levels, cause sleep problems (which in turn can make stress, depression and anxiety even worse), and can make us feel – mistakenly – ashamed and hopeless. There’s no need for shame – debt can happen to anyone and, when you reach out for help and support, there’s no need to lose hope. However, we know that these feelings are all too real.
Right now, in a time of nationwide – even worldwide – economic uncertainty, these challenges become even more severe. The thought of being unable to pay bills, afford essentials, or support our families is scary and can be overwhelming. As we’ve discussed in past blogs, it can lead to a vicious circle of stress and financial hardship.
The Impact of Benefit Cuts
The government’s attempts to balance the books and bolster the economy may make things worse for many people. According to a recent BBC report, the Chancellor of the Exchequer Rachel Reeves plans to make substantial cuts to benefit and other departmental spending, trying to claw back billions of pounds. As part of the upcoming Spring Statement, due on March 26 alongside an economic forecast, it looks as though the government will target health-related benefits, amongst others. These sorts of cuts could have a direct impact on vulnerable individuals, many of whom rely on benefits to manage both their debts and mental health conditions.
The government insists that it’ll continue to look after those who need help, but these cuts could have significant consequences for those already struggling. Any reduction in welfare support could lead some people to feel as though they’ve lost a financial safety net, further increasing stress and uncertainty at a time when mental health services are already stretched to their limits.
Break the Cycle and Seek Support
Watching the news can be a depressing experience at the best of times. Considering the impending changes and potential cuts, it’s more important than ever to reach out and ask for help. If you’re experiencing money worries or debt problems, for whatever reason, we can point you in the right direction to find help. Whether it’s handling debts, contacting creditors or knowing where to turn for mental health support, we can help and guide you. Our support, guidance, signposting – and our dedicated Support Hub in conjunction with the National Support Network – are entirely confidential. There’s no need to feel shame or to suffer stress, but it really is crucial to ask for help. It’s the first step to sorting out debt and taking care of your mental health.
If you feel overwhelmed by your financial situation, you really are not alone. Reaching out for support – whether from a debt advisor, mental health professional, or a trusted friend – is the first step in regaining control.
Accessible and Approachable – We Can Help
As the government prepares its financial plans, the decision-makers must consider the wider implications of welfare reductions on public health. Debt and mental health are inextricably linked – as we explored in last month’s blog, Understanding Money and Debt. Cutting financial support for the most vulnerable could deepen the crisis – both for individuals and, as a result, wider society. Hopefully, the government will work out a balanced approach that includes both economic stability and social responsibility, thus ensuring people aren’t left to flounder and sink.
Right now, many of us are under pressure financially, worried about mounting debt and struggling with our mental health. It’s vital that support and financial guidance are easily accessible, and that’s where we come in. If you’re experiencing financial distress or mental health problems – or someone you know is – please get in touch today. It can happen to anyone, truly. Help is available, you do not have to face this alone and getting the right advice is the first step to getting sorted.
