Articles

The impact of coronavirus on our financial and mental wellbeing

2 minutes

Young people are turning to family for financial help whilst those nearing retirement are re-thinking their plans.

The coronavirus pandemic has had a huge impact in so many ways and the tragic loss of lives across the globe is hard to contemplate. There is some good news starting to emerge on potential vaccines, yet it will likely be some time before we return to any resemblance of normality.

In the meantime, we’ll continue to live with various levels of restrictions to help us fight the spread of the virus. Vital as they are, they present problems that span beyond our physical health.

Young people struggling financially

Our recent research shows that many young people are struggling with the financial repercussions of coronavirus, and are the most likely to turn to family for help.


Those aged 18-34 have been hit the hardest. They’ve been twice as likely (6% vs 3% of general population) to have taken out a loan to make ends meet than over 35s. They’re also four times as likely to have received financial support from family and friends (8% vs 2% of over 35s).

Mental health and wellbeing

The research also highlights the impact on our mental health. A quarter of those surveyed said lockdown and social distancing measures left them feeling lonely and isolated. People on furlough or who had lost their job were more likely to feel this way, with the figure rising to 55%. 


Young people especially seem to be struggling. 59% of those aged 18-24 said they have felt stressed or anxious in the last three months.

Disrupted retirement plans

The outbreak is also disrupting the plans of many people nearing retirement. 40% of the people we surveyed aged 55-64 said their finances are worse now than they were three months ago. This compares to 31% of those surveyed aged 35-54.


One in four of those nearing retirement age, but still in work, had seen a fall in their income. This financial disruption and uncertainty may cause many to re-think their retirement plans.

Support for our members

Here for our members, today and tomorrow. Members with a protection, investment or retirement product have access to in-the-moment support from counsellors via our Health and Wellbeing Line. If you’re feeling anxious or stressed and need someone to talk to, you can access this service 24 hours a day.


We also have a Member Support Fund that can offer a helping hand when life becomes challenging. Members can reach out to us and apply for practical support or a financial boost.


You can learn more about how we’re supporting our members during the pandemic on our Covid hub. This includes information on payment breaks and reduction in cover options on some Protection policies. 

Retirement advice

If you’re nearing retirement you may want some advice. Our friendly, phone-based advisers can help you understand your options. You can arrange to have a call with one of our advisers for a commitment-free chat.

 

Data Source

LV= surveyed 4,000 nationally representative UK adults via an online omnibus conducted by Opinium in September 2020.