Low wages cause Britain’s young financial strife
Newly released information suggests that around 1/3 of all people aged between 20-30 are in jobs paying wages, that are deemed to be less than satisfactory.
As the cost of living increases and house prices continue to rise, unsurprisingly, financial worries are amongst the most common concerns for younger people.
Statistics suggest that the average wage for people who fall into the aforementioned age bracket is £17,300. It is also noted that 90% of first time buyers are also aged between 20-30, meaning, that as the average home is valued at £200,000, very few are able to attain an adequate home loan in order to fund their purchase.
Additionally, low wages are also causing many younger people to source other forms of credit such as personal loans, overdraft extensions and credit cards. It is for this very reason that the younger generations are the greatest contributors towards the nations current debt crisis.
Young Brits who earn less than the national average are taking on credit, which is then stretching them far beyond their financial limits, causing them to seek alternate debt solutions such as Individual Voluntary Arrangements. Experts suggest that the recent rise in demand for this tool can also be traced back to this age group.
A spokesperson for one of the UK’s leading debt advice charities commented that more should be done to help our countries lowest earners, and that the Government should also consider a further rise in the national minimum wage.
