Lack of workplace financial coaching leaves employees at risk, report reveals

Most UK employees are navigating their personal finances without professional guidance, with new research warning that this could leave them vulnerable to poor decisions and even financial scams.

A report from TrinityBridge’s Workplace Financial Wellbeing Services, The Value of Financial Coaching, found that just 26% of employees would turn to a financial adviser, while 87% have never had access to financial coaching.

Only 19% of workplaces currently offer such support, despite demand growing in the context of the cost-of-living crisis.

Instead, more than half of employees (53%) have turned to the internet for financial answers, while a third (34%) relied on family and friends.

One in 10 (9%) said they would not know where to turn, and 6% admitted they would do nothing at all if faced with a financial challenge.

Jeanette Makings, head of workplace financial wellbeing services at TrinityBridge, said: “Most financial scams start online, and even when advice is well-intentioned, personal finance decisions are often complex and unique to the individual.

“Without professional guidance, people could be funnelled into bad financial decisions or missed opportunities.”

The study also revealed that pensions (48%), retirement planning (39%) and investments (36%) were the areas employees most want guidance on, alongside savings (32%) and mortgages (26%).

When employees did seek help without professional involvement, many (43%) tried to manage issues themselves, while one in five (20%) turned to free services such as Citizens Advice.

Younger workers were least likely to seek such support, with just 11% of 18 to 24 year olds saying they would consider it.

According to the research, workplace financial coaching can provide employees with greater confidence and improved wellbeing.

Among those who had accessed coaching, over a third (37%) felt more confident about their finances, 34% said they better understood how to manage their money, and one in five (19%) reported improved mental health.

Makings added: “Employers are in a unique position to step in with trusted financial coaching, especially on complex topics like pensions and investments.

“It provides not just education, but also motivation and accountability, helping employees to build better money habits and feel more positive about the future.”