A recent report by leading debt management platform IE Hub reveals that younger people in Wales require greater support to tackle their financial issues compared to the rest of the UK.
According to IE Hub’s data, there are notable variations in the amount of debt among different age groups in Wales. Interestingly, the largest group seeking financial assistance in Wales consists of individuals aged 35-44, closely followed by those between 25 and 35 years old.
Among these groups, the 35-44 age range carries the highest average debt per person, amounting to £5,471.11. Individuals aged 45-54 have an average debt of £4,588.50, while those aged 55-64 owe an average of £2,098.32.
The 18-34 and 25-34 age groups both face an average debt of £4,588.50 and £4,964.21, respectively.
Several contributing factors have led to high debt levels among younger people in Wales. The lack of education around budgeting and long-term financial planning, coupled with the rise of social media platforms like TikTok promoting a “shoppertainment” culture, have contributed to individuals spending beyond their means and purchasing items they may not necessarily need. This combination of factors has resulted in financial strain and increased debt burdens among younger populations.
The report also highlights the impact of disabilities on financial stability. In 2022, 18.3% of Welsh IE Hub users could not work due to disabilities, higher than the national average of 16.03% in the rest of the UK. This figure increased to 22.7% in 2023 for Welsh users, compared to 14.5% for the rest of the UK.
Furthermore, the data reveals that even individuals with stable employment are grappling with financial difficulties. A concerning 32% of those in Wales who have shared their budgets with the platform work full-time.
Commenting on the findings, Dylan Jones, CEO of IE Hub, expressed concern over the financial challenges faced by people in Wales: “We’re deeply concerned about the ongoing financial pressures people in Wales are facing during this challenging cost of living crisis.
“We understand the strain it can put on individuals and families. At IE Hub, we’re dedicated to providing support and assistance to those in need, so if you’re struggling with mounting debts or finding it difficult to make ends meet, we’d urge you to reach out for support.”
IE Hub offers free services to help empower individuals to overcome financial challenges. Through budgeting tools, debt management guidance, and access to potential benefits, IE Hub aims to provide practical solutions and promote financial well-being for all. To find out more visit www.iehub.co.uk.