The cost of living crisis is forcing millions of commuters to have to borrow money in order to get to work with a shocking number of people even having to use payday loans, a new study has revealed.
As motorists and train commuters feel the pinch as the cost of living crisis continues and inflation continues to rise, the study has revealed that almost half of commuters have had to borrow money to get to work in the last year.
Nationwide, the study by iCompario found that 44% (the equivalent of over eight million commuters) revealed they have borrowed money to commute to work in the last 12 months. Unsurprisingly, two-thirds of young commuters (62%) were more than three times as likely to borrow money than those aged 51-55 (19%).
Despite working from home becoming the norm for some post-pandemic, commuting to work is still required for millions of UK workers. Those who drive to work are the most likely to borrow money (52%) and almost one in three commuters who take a train to work (30%) are likely to look elsewhere to fund their daily trip to the workplace.
The study has also uncovered the ways in which commuters are borrowing money, with 44% having to lend from family and relatives. Furthermore, one third of commuters used their credit card to fund their commute (33%) and shockingly, one in seven commuters turned to payday loans (15%) to pay for their fuel or fares over the last twelve months.
Newcastle has the highest rates of commuter borrowing compared to anywhere else in the UK, with half of commuters looking for alternative ways to fund their commute (50%). London came in second with just under half of commuters (49%) needing to borrow cash in the last 12 months. In contrast, Plymouth is the city seen to have the least number of commuters needing to borrow money, with just under one in five having to borrow money to get to work (17%).
Andrew Davies, iCompario Spokesperson said, “These figures show an alarming trend in the UK, where rising costs are creating in-work financial difficulties and commuters feel they must turn to other people or even payday loans just to get to work.
“Employers can look to help their employees by promoting car shares or cycle-to-work schemes in order to address this trend. These actions may seem small but can have positive consequences over the long-term for those who are impacted most by the current cost of living crisis.
“Fuel cards for employees are just one way that employers can look to provide support for those travelling to work by road. It’s crucial that employers continue to look at ways to best support their staff so that they can keep their business moving forward.”
Leave a Comment