England (Commonwealth Union) – The COVID-19 pandemic led to a series of economic disasters, particularly for small businesses in countries that had lockdowns. Despite the easing restrictions, the aftermath of the lockdowns, together with high debt, inflation and the Russia – Ukraine war to which the British government together with many western nations have pledged funds to Ukraine have further impacted the economy. The war along with inflation has led to an energy crisis which has further strained the British public.
A new study has indicated however that the UK has had little progress in the last decade in forming a financially inclusive nation. Even though unemployment has gone down to its lowest point since the mid-1970s, real earnings and finding secure employment have gone down in recent years, with an increased number of individuals put into zero hours contracts over the last decade.
The University of Birmingham’s Centre on Household Assets and Savings Management led the study and joined hands with the University of York and the University of Lincoln. The report shows how minor progress was made in moving to a truly financially inclusive society. The report demonstrated some progress linked to financial inclusion over the last decade, with less people lacking access to bank accounts and an increased number of persons able to access private pensions.
However, the authors, Professor Karen Rowlingson from the University of York, Professor Adele Atkinson from the University of Birmingham and Professor Stephen McKay from the University of Lincoln, have indicated that those the unbanked individuals face problems with an increased cashless economy, and that access to private pensions has no contribution to financial security whilst a large number of persons pay little or nothing into their funds. “We have compiled and synthesised vast quantities of data on the current economic situation for households, as well as the trends over the last 10 years, the findings of which make for bleak reading in our report,” explained Professor Atkinson.
