Charles Cotton, CIPD's Senior Policy Advisor on performance and reward. 

Our latest CIPD Good Work Index survey finds a minor improvement in employees keeping up with bills and other commitments, but a sustained struggle overall. 

The proportion of employees keeping up with their bills and credit commitments without any difficulties has increased from 48% to 50% between winter 2023 and winter 2024. However, while there’s been an improvement, it’s slight, and we have yet to return to the levels recorded in winter 2022. 

By sector, we find the largest improvement in financial wellbeing is among those working for public and voluntary sector employers. By contrast, the rise in the private sector is small and private sector staff are now financially less secure than those in the rest of the economy.

While most parts of the UK have bounced back financially since 2023, this has not been the case in all areas. Northern Ireland reports a large fall in the proportion of employees keeping up with their bills and credit commitments without any difficulties. While workers in the Midlands and London report a smaller decline.  

The largest improvements to financial wellbeing are in Northern England and Southern England. However, no part of the UK has bounced back to the level of upkeep with finances recorded in winter 2022. 

Related findings include: 

• The percentage of female employees reporting they’re keeping up with their bills and credit commitments without problems increased from 42% to 46%, between 2023 and 2024. By contrast, there’s little difference in the percentage of male workers saying the same. However, men (54%) are more likely to be financially secure than women. 
• By annual pay, most wage groups report a rise in their financial security. The only group reporting a fall is among those earning £60,000 a year or more. Despite this, those receiving this amount are still more financially secure than those in lower pay bands. 
• A slight improvement in the financial situation of those reporting a disability (from 33% to 37%). However, those with a disability are still less financially secure than they were in 2022 (48%) and are less secure than those staff reporting they do not have a disability (53%). 

How HR teams can support the financial wellbeing of their employees 

We recommend that employers do the following to help cut the risk of employees falling into poor financial wellbeing: 

• focus on paying a fair and liveable wage 
• offer financial wellbeing benefits 
• provide opportunities for in-work progression. 

As well as financial support, employers should explore ways for improving workplace productivity. Such as boosting effectiveness by redesigning work, jobs, and the organisation, which will help pay for financial wellbeing support. 

Other low cost-measures for improving the financial wellbeing of your employees include: 

• tackling the workplace stigma surrounding talking about money worries 
• signposting employees to sources of reliable and impartial financial information and guidance 
• offering flexible working opportunities, which can help reduce costs for those with caring responsibilities 
• issuing warnings about financial scams.