The impact of the cost-of-living crisis on households in Nottinghamshire.

Attendees at the Cost-of-Living-Crisis event.

Nottingham University Business School addresses the impact of the cost-of-living crisis on households in Nottinghamshire. 

Research led by Professor Hafez Abdo and his team over the past few years provides valuable insights into the impacts of the cost-of-living crisis on households in Nottinghamshire. The findings highlight the significant challenges faced by individuals and families, particularly affecting mental well-being and social life. The study also sheds light on specific vulnerable groups, such as pensioners, people with disabilities, and older individuals, who are disproportionately affected by the rising cost of living. 

Background of the cost-of-living crisis

The cost-of-living crisis in the UK - triggered by increased energy bills, petrol prices, interest rates, and food costs in 2021 - has significantly impacted households. Consequently, the disposable income of many households has been reduced, and many people are struggling with the cost of energy and other necessities.

The fact that charities are experiencing increased demand for their services while facing a decrease in donations underscores the urgency of addressing the crisis. Additionally, the research indicates a lack of awareness about available support schemes provided by the government, questioning the effectiveness of existing support measures.

The research adopted a pragmatist methodology with a multi-phase mixed methods approach, including quantitative and qualitative data collection through an online questionnaire, focus groups, and in-depth interviews. A total of 694 questionnaire responses were collected and 13 in-depth interviews were conducted, providing a robust dataset for analysis.

Major findings

The study revealed that the cost-of-living crisis has negatively affected the well-being and social life of households, with a particular emphasis on its impact on mental well-being. Vulnerable groups such as pensioners, people with disabilities, and older individuals are disproportionately affected. Charities are facing increased demand for services, but the supply of donations and support has decreased. The research also identified there is a lack of awareness about available support schemes and questions the effectiveness of existing measures. Furthermore, the study highlighted that middle-income households fall in the fuel-poor category and require support in the face of the cost-of-living crisis.

Stakeholder involvement:

A second round-table event with representatives from local organisations, including Nottingham City Council, Rushcliffe Borough Council, Himmah, Hope House, Nottingham Financial Resilience Partnership, St Anns Advice Centre, FareShare Midlands, Zinthiya Trust, Citizens Advice Nottingham, Chase Neighbourhood Centre, and Nottingham Trent University added further credibility to the research findings and the need for a collaborative approach.

Remarks from (Edward Leddy-Owen (from Rushcliffe Borough Council), Martyn Neal (Advice Supervisor from Citizens Advice Nottingham) and Nigel Adams (Founder of Hope Nottingham) at the event highlighted the severity and broad-reaching impact of the crisis, including its contribution to mental health issues and the need for a holistic approach. The mention of food banks offering support underscores the interconnected nature of various social issues.

Martyn Neal said: “The cost-of-living crisis is making a big tear through society. This tear in society keeps moving upwards.” 

What’s next?

Further research will be undertaken to examine how the cost-of-living impacts everyone and reflects a commitment to a comprehensive understanding and inclusive solutions. This broader perspective is essential for developing effective and inclusive solutions to address the challenges posed by the unsustainable living model.

Moving forward, it will be crucial to disseminate the research findings widely to policymakers, local authorities, and the public. Advocacy for policy changes and increased support for vulnerable groups can be informed by the evidence gathered in this research. Additionally, ongoing collaboration with local organisations and stakeholders can help translate research into actionable strategies for mitigating the impacts of the cost-of-living crisis.

Edward Leddy-Owen, from Rushcliffe Borough Council said:

Professor Hafez Abdo and his team have conducted a timely and impactful study that not only identifies the challenges posed by the cost-of-living crisis but also sets the stage for further research and collaborative efforts to address these challenges and work towards a more sustainable living model.