How to manage your money during a financial crisis

Now is the time to tighten your purse strings, with recession looming, writes Kate Hughes

A quarter of us say the increase in everyday living costs is directly affecting our mental health (PA)

We’re pessimistic, losing sleep, and falling prey to stress and anxiety.

As Mental Health Week arrives hot on the heels of dire warnings from the Bank of England over our collective and individual financial futures, there’s no doubt that the cost of living crisis is now hitting us where it really hurts – in the mind.

With basic monthly expenditure rising by more than £300, according to Shawbrook Bank, three-quarters of us are now unsure about the future of the UK economy. Meanwhile, one in five is suffering from insomnia and one in four now cites managing their finances as the biggest driver of stress in their lives.