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Coronavirus most likely to financially harm women and under 25s

A study by the Institute for Fiscal Studies (IFS) has revealed that women and young workers will be most affected financially by the coronavirus. The outbreak has already had a huge impact across the country and perhaps one of the most evident is the temporary closing down of businesses.

To make its claim, the IFS looked at the sectors shut down due to the pandemic. Of those, 17% of women are employed in those industries compared to 13% of men. The retail, leisure, and hospitality sector – which has almost ceased operating due to coronavirus – also employs many younger people.

It’s almost certain this outbreak will have long-lasting repercussions for the UK – and the world. However, those who could experience long term unemployment as a result of the coronavirus potentially face several key challenges:

The long-term financial effects of coronavirus

The first problem will probably be experienced by those just leaving university, school, or college. Traditionally, around September, these people would start looking for employment. However, by then, the economy won’t be as strong as it usually is. The lockdown might even still be in place. Regardless, those coming out of education will likely face substantial competition for employment.

The second difficulty may occur during the job search itself. With the possibility of us facing months of social distancing and isolation, many will have gaps in their employment history. Traditionally, the longer a gap, the harder it is to return to employment.

The third problem, and perhaps the most important, is the long-term mental repercussions of being unemployed for lengthy periods. In this situation, conditions such as depression can be very common.

When will the economy return to normal?Regardless of what happens, we’re here to help

Even though the pandemic itself may be relatively short-lived, the effects on the economy, our jobs, and our mental health will probably continue for months, possibly even years.

Although this is a gloomy prospect, if you need us, we’ll be there to help you every step of the way. Whether looking for a debt solution or IVA debt advice, our team could put you in control of your finances.

In these uncertain economic times, we’re someone you can count on.

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