Identifying the Most Financially Struggling Areas in the UK – Is Your Town on the List?

3 min read

Recent research has brought to light the regions within the United Kingdom that are undergoing substantial financial difficulties, singling out towns like Rochdale, Bolton, and Oldham as the most severely impacted. The comprehensive study, carried out by financial specialists Sambla, compiled data on the volume of Google searches related to debt in the top 100 most populous towns and cities in England from January 2024 to May 2024. The outcomes painted a troubling picture of the financial hardships experienced by numerous residents.

According to the study, the Greater Manchester towns of Rochdale, Bolton, and Oldham have observed a notable surge in debt-related searches, in addition to high rates of unemployment and living expenses. The Citizens Advice Bureau revealed that nearly 250,000 individuals are currently grappling with financial challenges in the region, with Bolton and Oldham facing the brunt of the impact. In these areas, approximately one out of every ten residents struggle to cover fundamental expenses, such as food and bills.

The research also investigated areas with the lowest disposable income by comparing the average monthly income with the cost of living. The findings identified Nottingham as the area most heavily affected, with residents left with only £548 of disposable income after covering living expenses. The city of London, known for its steep cost of living, also featured on the list, with an alarming unemployment rate of 317,435 and an average cost of living of £2,365.

Marcus Sätherström, a financial expert at Sambla, underscored the necessity for targeted financial assistance in these struggling regions. He urged individuals facing financial hardships to take an active role in managing their debts by evaluating their financial status, establishing a practical budget, and prioritising debts with high interest rates.

In addition to offering financial guidance, Sätherström also stressed the significance of seeking assistance in managing multiple debts with high interest by considering options such as consolidation loans with lower interest rates. These strategies can assist individuals in making their debts more manageable and reducing the total amount to be paid over time.

The findings of this research illuminate the harsh reality confronted by a considerable portion of the UK population, particularly in the North of England. As the cost of living climbs and unemployment rates remain elevated, it is imperative for individuals in these areas to pursue effective financial management strategies and explore available support options.

The study serves as a reminder of the importance of addressing financial hardships in communities across the UK, as well as the necessity for targeted interventions to alleviate the burden experienced by residents in the most affected areas. By acknowledging the challenges and presenting practical solutions, there exists an opportunity to aid individuals in restoring financial stability and establishing a more secure future for themselves and their families.