Rising cost of Living Forces 4.4 Million1 Mums Back to Work

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Research published today from Scottish Widows, reveals that the cost of running a home means that almost half (47%) of households are having to rely on more than one breadwinner to maintain a comfortable standard of living. This increases when it comes to those with dependent children, 61% of households with children are reliant on two incomes, forcing both parents out to work.

For many households, living with debt has become an acceptable situation. While the country was enjoying economic boom this was sustainable but now everyone has to tighten their belts more than ever. People need to make sure they protect themselves financially so if they do get into difficulties they have the vital back up in place to look after their families and loved ones.

Research published today from Scottish Widows, reveals that the cost of running a home means that almost half (47%) of households are having to rely on more than one breadwinner to maintain a comfortable standard of living. This increases when it comes to those with dependent children, 61% of households with children are reliant on two incomes, forcing both parents out to work.

This reliance on two incomes to run the family home means millions of households are leaving themselves at risk of being unable to survive financially if one of the bread winners become unable to work as a result of critical illness, death, disability or due to an accident. If households do not have sufficient protection for any of these circumstances, many would be left struggling.

Commenting on the findings, Scottish Widows' protection market director, Richard Jones says: "The reliance on two incomes is the only way to maintain a decent standard of living for many families and with the rising cost of living this isn't likely to ease off any time soon. If something should affect the health of either earner that prevents them from working then there may not be enough money to run the home. This means families are effectively doubling their risk; therefore they need to ensure they are protected against unforeseen circumstances which could leave them reliant on just one income. Families just don't have the luxury anymore of being able to have one parent at home to take care of the children and the running of the household if they want to maintain the lifestyle that they have become accustomed to."

The reliance on debt is also increased in households with children, the average household with dependent children has £88,500 still outstanding on their mortgage compared to an average of £77,500 for those with no dependent children. When it comes to short term debt, the average household with dependent children has carried over £9359 over the last 3 months compared to an average of £7223 for those with no dependant children.

Commenting further on the findings, Richard Jones says: "For many households, living with debt has become an acceptable situation. While the country was enjoying economic boom this was sustainable but now everyone has to tighten their belts more than ever. People need to make sure they protect themselves financially so if they do get into difficulties they have the vital back up in place to look after their families and loved ones."

Scottish Widows offer a range of Life insurance, Individual Saving Account (ISA) & Pensions Products.

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Connie Flint