Coronavirus has already had a huge impact on the economy. According to the latest figures from the ONS, 27 percent of businesses in the UK said they were reducing staff levels and over half of internationally trading firms reported that coronavirus had impacted their business.
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The economic rules are also being changed on an almost daily basis.
New measures and support packages are being put forward by the state.
While these are no doubt helpful, they could still provide stress as the rules may not be clear.
An example of this is the recent changes made to furlough rules, with many employees reporting that employers don’t agree with them on eligibility.
Many people are rightly concerned but several experts have stepped forward in recent weeks to offer guidance and support where they can.
One such individual is Jason Butler, the Head of Financial Education at Salary Finance.
He provided some tips on how people can both protect themselves financially as well as handle the associated stress. His first tip will feel familiar to many:
“The UK is taking measures and the government will guarantee £330bn of loans to businesses in an “unprecedented” package of financial support for the British economy.
“A £500m “hardship fund” has been created to be given to local authorities in England to help vulnerable people in their areas and the government have also announced a three-month mortgage payment holiday for homeowners.
“There’s a lot that’s unclear and unknown at the moment but taking the time to look after your own mental and financial health may help to prevent you feeling overwhelmed.”
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From here, his tips moved onto the more practical steps that people can take.
Get free money guidance and review your spending:
“If you are struggling with debt or day to day money management you can contact one of the government-funded advice services.
“Speaking to the right people could help you understand where you need to focus and prevent you worrying unnecessarily.
“Cut all unnecessary expenses and see where you can get cheaper deals on essentials like utilities, debt, and insurances.
“The lower you can get your fixed regular spending, the more resilient you’ll be to any fall or stop in your income.”
While many will undoubtedly be worried about their costs, many consumers may be more concerned about keeping their assets safe as the economy crumbles.
Thankfully, money held in banks will be very secure and, while it may not seem like it at times, financial companies want to help out where they can:
Relax, your savings are safe and financial providers want to help:
“Savings that you already have that are held by UK registered financial institutions are backed by the UK government up to £85,000 per person per institution (so £170,000 for joint accounts).
“Many lenders are putting more flexible repayment schemes in place for those who have borrowed money, or may need financial assistance, such as no fees on repayments for credit cards, loans, mortgages, or repayment deferral.
“Some deposit takers will allow emergency access to fixed term savings, or increased cash or online withdrawal limits. Check with your banking provider and get in touch with them if you think you’ll be impacted by current events.”
His final tip revolved around the sensibility of the human condition.
As mental health awareness has come to the forefront in recent years, people are regularly reminded that it’s ok to not be ok:
Still worried, that’s OK
“No one knows exactly how things will turn out and it’s likely that things will get worse before they get better, but we will get through the Corona virus emergency.
“It’s only natural to be worried and anxious at such a time but remember that we are all in this situation together and you are not alone.”
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