From Struggle to Success: How Financial Education Transformed a Single Dad's Life Amidst Rising Costs

In today's economic climate, the cost of living crisis is more than just headlines—it's a daily reality for millions. This blog is part of a 4 part series on how the cost of living is affecting every day people. This case study is designed to shed light on the real-world impact of rising prices, illuminating the tough decisions people are forced to make every day. Recognising that everyone's financial journey is unique, with each individual and family experiencing economic shocks in their own way. Through these stories, the aim is to bring diverse experiences to life, offering a window into the challenges faced and the innovative solutions found.

In this post, we dive into Marcus's story—a testament to resilience in the face of financial adversity. From grappling with soaring bills to transforming his financial future through education, Marcus's journey reflects the struggles and triumphs of many in today’s society.

Marcus, 42, is a divorced father of three. Despite working full-time as a warehouse supervisor, the Liverpool-based parent needs to claim Universal Credit due to his modest income. To try to mitigate the impact of current cost-of-living increases, Marcus is implementing various strategies to reduce expenses. He has already cut back on non-essential spending, switched to shopping at budget supermarkets, and devised energy-saving meal plans to minimise electricity usage at home.

He finds himself constantly preoccupied with financial concerns.

"The price hikes are relentless, even my gym membership has gone up!" Marcus says. "My energy bills have increased by about £40 per month, fuel costs have skyrocketed, my rent is up by £15 a week, and council tax keeps climbing – it's everything."

"Food prices have risen so much that I've switched from Tesco to Lidl because every penny counts now."

"I've cancelled my sons' Xbox Live subscriptions and downsized to just Amazon Prime. I've also switched to a cheaper mobile plan to save a bit each month."

"I try to eat at work and bring leftovers home when possible to save on cooking costs. I'm meal prepping more efficiently now. If I make spaghetti bolognese for the kids, I ensure there's enough for cold pasta salad the next day – small adjustments like that add up."

After some unexpected car repairs last month, Marcus couldn't even take his children, aged 8, 13, and 15, on a day trip during their summer break. When his daughter recently asked for £30 for a school event, he had to explain that he needed time to see if he could manage it.

"To put it in perspective, I got paid last Friday, and after most of my bills were deducted, I'm left with just £180. I still have some payments due, and I'm not sure how I'll cover them all."

"It was summer holidays recently, and I couldn't justify taking time off or spending money on an outing to Alton Towers. Shelling out £250 for a family day out is just not possible right now, but then you feel guilty because you want to do something special for the kids. The desire is there, but financially, it's out of reach."

"I find myself thinking about money at least once every day."

Marcus appreciates the energy bill support earlier this year, but believes the government can do more to assist people in his situation.

The warehouse worker argues that wages need to keep pace with inflation, especially in essential sectors. He emphasises that he performs a crucial role managing a team in a busy distribution centre, which is vital for the supply chain.

"The cost of living has surged, but wages haven't increased proportionally," he says. "I'd need to work an extra five hours a month just to cover the £40 increase in my energy bill. It might not sound like much, but it really is."

Marcus also believes it's crucial for people struggling with the cost of living to share their experiences.

"I think it's incredibly important to talk about these issues," he says. "You might feel like you're failing, but then you realise so many others are in the same boat."

"When people discuss these situations, it makes me realise I'm not alone, and there are others out there facing the same challenges and worries."