Abstract
This paper explores the relationship between the UK’s cost of living crisis and the rising prevalence of mental health disorders, with a focus on young people and underrepresented populations. Drawing on recent data and frontline research from charities, national surveys, and government reports, it highlights how economic instability has contributed to increasing rates of loneliness, anxiety, depression, addiction, and suicidal ideation. Vulnerable groups such as care leavers, individuals experiencing homelessness, and survivors of domestic abuse face disproportionate psychological impacts due to compounding structural barriers.
The analysis underscores how the rising cost of basic necessities—housing, food, and energy—combined with stagnant wages and underfunded services, has intensified mental health crises across the country. As the NHS struggles to meet growing demand, many people are left waiting months or even years for mental health support, while emergency services become de facto crisis response systems.
The report also examines the interplay between financial stress and codependence, highlighting how economic pressures entrap individuals—particularly women—in abusive relationships. Case studies on care leavers, addiction, and housing insecurity reveal a pattern of systemic neglect, with long-term mental health consequences. The findings point to a critical need for structural reform, including increased investment in mental health services, housing-first approaches to homelessness, and expanded financial support for marginalised youth.
By exposing the deep entanglement of economic hardship and mental health decline, this paper calls for urgent policy action to address both the immediate and structural causes of psychological distress in the UK today.