1 in 3 young adults worry about money every day

Many young adults spend each day actively worrying about their finances, a new study has found. 

According to Santander UK, more than one in three 18 to 21-year-olds are concerned about their money every day. 

But despite having daily money worries, many aren’t taking positive steps to ease their concerns. 

For example, nearly eight in ten young adults said they’ve never created a budget. 

Meanwhile, a similar proportion said they’ve not put money aside for unexpected costs. 

The provision of financial education varies across the UK.  

For example, in England, it’s part of the national curriculum in secondary schools only, as part of citizenship and maths, but it’s optional for academies and free schools. 

As a result, many young people are slipping through the cracks and starting adult life without a strong grasp of key financial concepts. 

According to Santander, just one in four young adults received any financial education at school. 

Meanwhile, only one in seven believe the financial education they received at school could be applied to their personal finances. 

As a result, many 18 to 21-year-olds are looking elsewhere for information and advice. 

For instance, 31% are seeking guidance from social media influencers, and a quarter of these people are watching videos on TikTok. 

William Vereker, chairman of Santander UK, believes this means many young adults could be relying on “potentially unreliable” resources for advice. 

“Young people’s understanding and effective management of money is essential in their own lives, but also for wider society and economic growth,” he said. 

“Empowering them with the knowledge and skills to develop a healthy, resilient relationship with money directly impacts the economic stability of the country, by reducing individual debt, instilling investment habits and encouraging entrepreneurship.”

If you’re one of those young adults who are worrying about money every day, there are small steps you can take to regain a sense of control and certainty. 

Set a budget: Start by tracking your income and expenses, either in a notebook or via a budgeting app. 

Create an emergency fund: Aim to save at least three months’ worth of expenses to safeguard against unexpected costs. 

Invest in your knowledge: Consider online courses or workshops that focus on personal finance. 

Follow reliable sources: Instead of just influencers, look for established and FCA-accredited financial experts and institutions that provide trustworthy advice. 

Set financial goals: Identify short-term and long-term financial goals. Whether it's saving for a holiday or planning for further education, having a clear objective can motivate you to stick to your budget. 

Review and adjust your budget: Your budget shouldn’t be set in stone, and should be adjusted in line with any changes in income or expenses.