The economic downturn is having a serious effect on many people and it is causing a financial drain that parents have never seen before. If you are raising children, suffering from financial problems can be particularly challenging as you have to support others as well as yourself. The feeling of letting your family down financially can be overwhelming and is something that many people are struggling with.
Children are a very expensive part of life as they need feeding as well as clothing. It is not just this which costs parents money as they often want to treat their children to special things. Unemployment in the UK has risen to a very high level and for those who have not lost their jobs the chances are they are going to be earning less money, as the amount of money they are earning has not risen in line with inflation.
Supporting children when you have suddenly lost your income can be very challenging and it can be very hard to find new work once you’ve lost it. Those who have been working in the manufacturing sector have suffered particularly badly and those with manufacturing skills have found it very hard to find equivalent work in the industry.
The number of outgoings that the average household faces can become extraordinary and as soon as you lose your income you realise how unaffordable they are. The recession has caused more people to miss their mortgage payments and many others have lost their homes. Losing a home can be a particularly challenging process for children as moves are unsettling, especially when they are unexpected.
Single parents can suffer particularly badly as not only do they not have the benefit of two incomes coming in, which can also reduce hardship if one party loses their job, but they also have to consider the cost of childcare while they are working.
The law dictates that a parent has a financial responsibility to their children, even if there has been a divorce. However, with the economy in the state that it is, even the absent party might be struggling to make full maintenance payments.This can have a serious effect on the parents who spends the majority of time with the children.
The sad fact of the situation is that many parents do want to pay the other party in order to take care of their children but sometimes they simply do not have the money to do this.
The lack of money that many households have encourages people to take on more debt and this can increase the problem further. Taking on debt, especially irresponsible debt, such as a credit card, can mean that the amount you are having to spend on repayments is very high and this can make your financial situation even worse.
Many people have found themselves in a spiral of debt that they cannot control and they are still having to take on more debt in order to meet their basic living needs.