There is persistent economic and social exclusion in large parts of the North East, with significantly lower levels of employment of working-age people compared to England’s average. Many jobs that are generated are low paid and insecure. Large rural areas are not supported by public transport, which limits feasible employment opportunities and access to key services and support.
All of this impacts the financial wellbeing of North East workers and residents, which in turn affects the local economy as well as the region’s employers. It’s estimated that businesses across the UK are seeing an average of 2.5 days of absence per employee per year because of financial stress. This adds up to an annual loss of around £15 billion (Neyber, 2019).
One particular area of concern in the North East is the lack of savings among households. If an unexpected income shock occurs, more people will be pushed into borrowing money to meet their basic needs. This means individuals must have access to guidance on borrowing safely.
While not the only factor to problems we face in the North East, a lack of financial literacy has undoubtedly worsened these downward economic trends in the region. But knowing where to start can be tricky. That’s why it’s worth reaching out to MaPS to help your colleagues and community manage their personal finances confidently. Contact me today to find out how we can offer bespoke support to your business and employees.
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