Posted 8 February 2021
New research report ‘The single parent debt trap’ published by Gingerbread and StepChange, the UK’s leading debt charity, reveals that single parents are more likely to be living with problem debt. The research also shows...
Published on 10 May 2019
Gingerbread’s survey of the financial circumstances, attitudes and experiences of more than 1,000 single parents highlights the challenges that many face in building their financial resilience. Precarious financial circumstances, along with the lack of a financial buffer or the resources to create one, all contribute to the low levels of financial satisfaction that many single parents feel. Yet, despite this negative picture, single parents exhibit high levels of financial awareness and engagement.
The continued roll out of Universal Credit (UC) (with 90% of single parents likely to receive the combined benefit once roll-out is complete) is likely to amplify some of these trends – by exacerbating the precarious financial situations in which many single parents find themselves.
Other evidence suggests the waiting period, payment time and new job-seeking conditions for parents with children aged 3 and 4 are causing significant financial and emotional stress for many single parent families. Among those respondents to our survey already in receipt of Universal Credit, 57% had benefit re-payments to make, compared with 31% of single parents overall – suggesting the roll-out of Universal Credit will also make this a more pervasive issue across the board.