Our money and our mental well-being
Money worries thrive in silence, but it’s not about changing your entire financial life overnight. Start small, and try one new action at a time, suggests Camilla Esmund.
12th May 2025 14:02
Mental Health Awareness Week aims to tackle stigma, encourage open conversations, and help people understand and prioritise their and others' mental health.
Our financial well-being and our mental health are closely linked, and the data doesn’t lie. Money worries can have a devastating impact on our mental health. This is something that clearly affects so many of us, yet it still isn’t spoken about enough – it’s time to talk about it.
Financial stress is impacting over half of UK adults’ mental well-being
Recent interactive investor research* found that more than half (53%) of UK adults feel stressed about their current personal finances, and 51% feel particularly anxious when thinking about planning for the future.
Unfortunately, this has been an ongoing theme, and in interactive investor’s most recent Great British Retirement Survey, a staggering 41% of respondents identified finances as the external factor that imapacts their mental well-being the most. This rose to 49% of people aged 40 or under. This is something we need to take notice of.
What’s concerning is the rise of young people citing financial worries, too. In fact, findings from the UK Youth Poll 2025** also show that young people across the UK are more worried about money and work than they are about social media, the climate crisis, or culture wars.
The following should be attributed to Camilla Esmund, Senior Manager at interactive investor.
Understanding your financial mindset
When dealing with money, we’re also dealing with complex emotions, habits, experiences, and learned behaviours. Recognising your relationship with money is a brave and crucial step in building a calmer, healthier relationship with your finances.
We all have different relationships with our finances. But these patterns are often rooted in early experiences or emotional triggers. Once you start to notice them, you can begin to shift them. There’s no “right” or “wrong” mindset, but left unchecked, any can lead to further financial stress if they aren’t working towards your financial goals – especially if they’re working against you.
Let’s talk
Though many things can shape our relationship with money – whether that’s parental habits, cultural attitudes or emotional experiences, the good news is that financial confidence is something that you can build over time. Open and honest conversations – though certainly not easy for many of us – can go a long way in helping that.
Money worries thrive in silence. Share your goals or fears with a trusted friend, family member, or partner. The more we normalise money conversations, the more empowered we feel.
For example, one conversation could help someone who’s been struggling with debt find help. And more broadly, it reminds us that we’re not alone in our struggles and there is support available.
The impact of social media
I think social media can be such a powerful force for democratising financial education, and it’s also brilliant to see trends such as ‘loud budgeting’ which normalises the sharing of how we are spending and budgeting our money, but I also think setting boundaries with social media is important for our mental and financial well-being.
This is because we have also seen the rise of trends which glamorise or justify overspending. Telling ourselves something is ‘basically free’ because it was discounted might feel fun in the moment - but it can chip away at your bigger goals. Instead, try flipping the script - every time you resist a splurge, mentally transfer that amount into a pot for your future self. That buzz from being more in control builds over time.
Curate your feed. Remember that social media is a highlight reel of people’s lives – not the reality. If your social media is packed with shopping hauls and grand travel plans, it might be making you feel like you’re behind, triggering unnecessary spending or further financial worry. Consider balancing your feed by following voices that inspire financial wellness.
#Longterm
It doesn’t sound as jazzy for a social media hashtag, but thinking long-term is a type of financial self-care. Clearing debt, budgeting, saving, and investing offers far more emotional security than an impulse buy. But – it is not about cutting out joy, it’s about spending with intention and within our means which won’t scupper our financial goals and investing with confidence.
Moving forward
It’s not about changing your entire financial life overnight. Start small. Get curious about your habits and your relationship with your finances. Try one new action at a time.
Financial education and access to information plays a key role here. interactive investor has loads of jargon-free guides and our On The Money podcast which can help provide insights that cut through the financial noise and gets to the heart of what you need to know about your money, challenge your current thinking, and inspire new habits.
Where to get more support
There is help available. For those struggling with debt, the charity StepChange is worth looking into. Also, MoneyHelper from the Money & Pensions Service has loads of great resources across a range of financial topics.
Methodology
*The research was conducted by Censuswide, among a sample of 2,000 Nationally representative UK respondents (Aged 18+). The data was collected between 15 January 2025 - 17 January 2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct and ESOMAR principles. Censuswide is also a member of the British Polling Council.
These articles are provided for information purposes only. Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties. The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.
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