Jessica O'ConnorResearch by WEALTH at work found that improving employee confidence around investing is becoming increasingly important as rising living costs continue to place pressure on household finances.
According to Mintel’s Financial Education 2026 report, many people in the UK continue to keep large amounts of savings in low-interest cash accounts rather than investments that may offer stronger long-term returns.
The report also found the UK remains the lowest retail-investing nation in the G7, with low confidence and limited financial understanding continuing to act as barriers to investing.
Separate research from WEALTH at work found that 47% of UK workers said their biggest financial concern is not being able to save enough for the future, while 51% said they do not have enough spare income to save regularly.
The financial strain is also impacting workplaces, with employees reporting money worries contribute to increased stress (36%), mental exhaustion (34%), decreased motivation (23%), reduced focus and concentration (20%) and increased sick days (8%).
At the same time, Mintel’s research found there is appetite for greater financial understanding, with 45% of individuals saying they want to improve their investment knowledge.
Jonathan Watts-Lay, director at WEALTH at work, said: “When household budgets are stretched, people naturally prioritise short-term security and certainty.
“However, periods of financial pressure can also increase the long-term risks of relying solely on cash, particularly when inflation reduces purchasing power over time.
“Improving confidence in investing matters because uncertainty and limited understanding often lead people to delay decisions altogether, leaving money in place by default rather than making informed choices.
“From an employer perspective, this can have longer-term consequences for financial resilience and retirement readiness.”
The organisation said employers are increasingly well placed to support financial confidence through workplace savings options, financial education and accessible guidance.
Watts-Lay added: “Greater confidence helps individuals understand how risk, time and returns work together, and enables them to weigh short-term pressures against longer-term goals.
“At a time when many people feel anxious about their finances, clear, trustworthy guidance can reduce fear, support better decision-making, and empower people to take manageable steps on their investment journey rather than disengaging.
“For most people, the workplace is where they earn their money and where their financial decisions often start.
“That puts employers in a unique position to help build financial resilience through clear financial education and practical savings options, such as a Workplace ISA where contributions can be made simple via payroll.
“When people are better informed, they’re more likely to feel confident balancing today’s pressures with longer‑term financial security.”
