Nine million people have had to borrow more money due to Covid

Almost nine million people had to borrow more money by December 2020 because of the coronavirus pandemic, as the figures from the new Office for National Statistics (ONS) show.

The data released on Thursday also showed that the percentage of people borrowing £ 1,000 or more has increased from 35% to 45% since June 2020.

According to the ONS, the pandemic-associated ‘labor market shocks’ were more felt among young people and the worst-paid, with those under 30 and those with household incomes below £ 10,000 being 35% and 60% more likely to be vacation than vacation the general population.

Of those unable to work, either because of vacation or for some other reason, more than half (52%) of those in the highest income quintile continued to be paid in full, compared with 28% of those in the lowest.

Employed parents were almost twice as likely to report a drop in income during the pandemic as the general workforce, according to the ONS.

However, that gap gradually narrowed over the course of 2020 when schools reopened.

Parents could not afford vacation or “unexpected but necessary expense” than non-parents, and were about 50% more likely to have difficulty covering their usual expenses.

Workers and job seekers were more likely to have lower incomes during the pandemic, while others such as retirees who were not in the job were better protected, according to the ONS.

The self-employed reported cuts in work and income more often, even if they had received support from the SEISS (Self-Employment Income Support Scheme).


Leave a Comment