Over half (62 per cent) of young adults think financial and retail brands don’t do enough to help them understand the risks around credit, despite 56 per cent believing financial brands actively encourage young people to take on loans or credit, according to new research conducted by media agency UM.
A survey of 1,500 young adults (aged 18 to 24 years) across the UK, carried out in partnership with suicide prevention charity Campaign Against Living Miserably (CALM) and price comparison site MoneySuperMarket, found that over a quarter (27 per cent) of young people are in debt – and one in ten of that number have experienced suicidal thoughts as a result.
The survey, part of the Money Talks 2025: The Youth Tax report, follows the 2024 Money Talks research study, which looked into the relationship between financial worries and mental health.
Fifty-two per cent of young adults feel pressure from social platforms to buy things to fit in, while 43 per cent feel pressure to spend more than they can afford to keep up with lifestyles or influencers. With these pressures prevalent for so many young people, CALM and MoneySuperMarket say brands need to be more responsible when advertising to young UK adults.
In fact, the survey found that nearly two-thirds (64 per cent) of UK young adults believe brands have an important part to play in educating young people about debt and credit scores. However, a similar number (66 per cent) don’t feel brands are transparent about the potential risks and pitfalls, or the benefits, of the credit options they offer.
Lis Barton, chief customer officer at MoneySuperMarket, said: “The latest Money Talks research shows the impact that money worries are having on young adults. We’re proud to partner with CALM to help young people look after their finances and their mental health. Our online Money Talks hub is full of practical support about how to start conversations about money and help young people take control of their finances.”
Improving financial literacy
The report comes as 52 per cent of young adults are more worried about money now than they were a year ago. It highlights the role of social media when it comes to younger consumers’ relationship with money. Sites like TikTok and Instagram are their second most popular place to learn about financial topics, behind talking with friends and family.
Olivia Wilton, insight manager at UM London, commented: “Social media campaigns are vital to brands because they need to be where those young adults are, and we’ve recently seen announcements that some major brands are moving to influencer-led strategies. However, social media needs to be handled carefully to prevent more young people slipping further into debt.
“With trust in institutions fading fast and a mental health crisis developing, it’s up to responsible brands to step up to educate younger consumers about money. Those who create platforms for education and give people somewhere safe to talk about their money worries can differentiate themselves within their category. By looking outside of the traditional sales funnel, they also stand to reap the rewards of more positive brand associations over the longer term.”
The CALM and MoneySuperMarket survey further highlights that 60 per cent of young adults wish the stigma about talking about money didn’t exist – and 53 per cent don’t want to be judged.
Simon Gunning, CEO of CALM, added: “We’ve heard from young people that they want to learn more about financial management and the options available to them. We’re working with MoneySuperMarket to improve financial literacy among young people, to help them take control of their financial futures and avoid costly financial decisions that can take a toll on their mental wellbeing.”
