Levels of Financial Capability in the UK

Financial capability, money attitudes and socioeconomic status: Risks for experiencing adverse financial events

“…In line with the previous literature (Atkinson et al 2006), the financial capabilities of making ends meet, keeping track, planning ahead, and staying informed were moderately and positively inter-related but their associations with indicators of socio-economic status varied (cf. Atkinson et al 2006).…”

“…Examples read "The best thing about money is that it means you can influence others" and "If I don't save enough money every month I get very anxious". (Atkinson et al 2006). Four financial capabilities were assessed by sets of three to ten questions each spanning multiple-choice and Likert-type items Education (i.e.…”

“…Britain, house repossessions occur most often in the areas with the lowest rates of ADVERSE FINANCIAL EVENTS 5 employment and below average income levels (Atkinson et al 2006). Similarly in the United States, people of low socio-economic status experience the most frequent house foreclosures (Allen, 2011;Pollack & Lynch, 2009).…”

“…Atkinson et al 2006). Higher levels of making ends meet and staying informed linked with higher income and education, while higher keeping track related to lower levels.…”

“…To understand risk factors of negative financial experiences, socio-economic circumstances, such as income level and educational qualifications, must be considered (Atkinson et al 2006). Indeed, it is often society's poorest who are at greatest risk of adverse financial events because, having the least financial buffers, they are most vulnerable to the consequences of economic downturns (cf.…”