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Press comment: Economy worries hit highest level since 2011

6 February 2020

If you are covering today’s ONS figures on personal and economic wellbeing, please see the following commentary from Quilter corporate affairs director, Jane Goodland.

The data shows that concerns about the economy grew to their highest level since 2011 and worries about future employment prospects also increased. However in general our perception of our own personal financial situation improved.  

Jane Goodland says:

“Toward the end of 2019 there was a marked increase in our anxiety levels as people became increasingly pessimistic about future job security and nervous about the economy. Concerns about the possibility of becoming unemployed have increased steadily over the last few years, despite the fact that the unemployment rate has actually fallen consistently throughout that period. Similarly, our expectations for the economy have continued to deteriorate, even though household finances actually improved and our expectations for personal financial wellbeing remain broadly steady.

“Overall, the data reflects a mixed picture of worries about economic stability, but perhaps a slight sense of naivety about the fragility of our own household finances. Past research shows many households are frighteningly close to finding themselves in severe financial difficulty if they were to suffer a financial shock, so it seems counterintuitive that people are generally fairly buoyant about their own financial outlook despite worries about the economy and the job market.

“Our sense of financial security can have a dramatic impact on personal wellbeing, and when our concerns about money grow our general physical and mental health can suffer as a result. The threat of financial insecurity and worries that an unexpected life event may derail our finances are a day to day concern for many people.

“Getting control of your finances and understanding how you might prepare for a financial shock, such as losing your job, is the first step in managing those concerns that many of us harbour. This starts with carrying out a comprehensive overview of your outgoings and expenses, and building a savings pot to ensure you can cover those costs for a few months in an emergency. From that platform, putting in place protection and insurance can offer peace of mind and security.

“Many people struggle with getting to grips with the basics of good financial planning, which perpetuates their anxieties and can lead them to a difficult position if they face financial changes. Improving financial awareness and education, starting by introducing children to money basics in primary school, will make a big difference by equipping people with the tools they need to confront their financial fears and promoting better financial resilience.”

For more information contact

Michael Glenister
0207 7789 638  
07469 144 535
Michael.Glenister@quilterinvestors.com

Notes to Editors:

Quilter plc is a leading wealth management business in the UK and internationally, helping to create prosperity for the generations of today and tomorrow.

Quilter plc oversees £95.3 billion in customer investments (as at 31 March 2020).

It has an adviser and customer offering spanning: financial advice; investment platforms; multi-asset investment solutions; and discretionary fund management.

The business is comprised of two segments: Advice and Wealth Management and Wealth Platforms.

Advice and Wealth Management encompasses the financial advice business, Quilter Financial Planning; the discretionary fund management business, Quilter Cheviot; and Quilter Investors, the Multi-asset investment solutions business.

Wealth Platforms includes Old Mutual Wealth UK platform and Quilter International, including AAM Advisory in Singapore.

The Old Mutual Wealth Heritage life assurance business was acquired by ReAssure Group Plc on 2 January 2020.

Since its IPO in June 2018, Quilter plc’s businesses have progressively rebranded to Quilter, as follows: 

  • Quilter Financial Planning (previously Intrinsic)
  • Quilter Private Client Advisers (previously Old Mutual Wealth Private Client Advisers)
  • Quilter Financial Advisers (previously Charles Derby Group)
  • Quilter Financial Adviser School
  • Quilter Cheviot
  • Quilter Investors
  • Old Mutual Wealth (becoming Quilter Investment Platform in 2020)
  • Quilter International (previously Old Mutual International)

This press release is for journalists only and should not be relied upon by financial advisers or customers.

Please remember that past performance is not a guide to future performance. The value of investments and the income from them can go down as well as up and investors may not get back any of the amount originally invested. Exchange rate changes may cause the value of overseas investments to rise or fall.

This communication is issued by Quilter plc.  Registered office: Millennium Bridge House, 2 Lambeth Hill, London EC4V 4AJ, United Kingdom. Registered number: 6404270.  Registered in England.