For the last 14 years, The Prince’s Trust has carried out a survey that looks at the happiness and confidence of 16-25-year-olds in various aspects of their life across the UK. This year’s results are worrying: young people’s overall happiness and confidence with money is now lower than when polling began in 2008 during the Global Financial Crisis, with 35% agreeing that thinking about money depresses or stresses them. The stats are similarly bleak when it comes to mental health and jobs.

But don’t despair: help is at hand. Whether you want money management support through tough times, guidance when looking for work, advice on achieving those big life goals, or tips for boosting positive thinking – we’re here to offer some practical, actionable support.

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Money and mental health

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The survey said: One in four young people (26%) feel like they are going to fail in life. 56% of young people say they always or often feel anxious.

So, what can be done? “When it comes to finances, one of the best things we can do as a society is to talk about them more openly,” says Tamara Gillan, founder and CEO of the WealthiHer Network. “By doing this, we’ll hopefully make money a less taboo subject in the future.”

But it also has another effect: “I’m a big believer that if you have real worries or concerns about finances – or anything for that matter – one of the most powerful steps that you can take is to talk to someone about them, because bottling things up can be seriously bad for our mental health.” There are no rules on who you turn to – whether it’s a friend, family member, teacher, colleague or even someone at your bank, don’t be afraid to share your concerns with someone you trust.

Managing your own expectations and the pressure that you’re putting on yourself is also very important. Remember that no-one has everything figured out in their teens, or even their 20s or 30s for that matter!

To learn more about the link between money and mental health, watch this MoneySense video, or read this article which offers tips on handling financial worries.

Finally, if you get to a point where you feel you are really struggling from a mental health point of view, make sure you ask for professional help. It’s never too early and no problem is too small. Martin Lewis – the Money Saving Expert – recommends Rethink(opens in a new tab), Mind(opens in a new tab) and The Mental Health Foundation(opens in a new tab).

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The cost of living crisis

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The survey said: 57% of young people report the rising cost of living as the biggest worry for their future, and 46% say that economic uncertainty makes them feel hopeless about the future. 24% of young people also report feeling ashamed about not being able to pay bills.

First things first: don’t panic, and don’t give up. Struggling to make ends meet in the current climate is nothing to be ashamed of, and it’s totally normal to find money management challenging – but it’s important not to ignore the problem if your finances are getting on top of you. Despite times being tricky, you need to be in the driver’s seat here – this is your life and it’s there for the taking.

Begin by talking about it – whether that’s to a trusted friend, a family member, or a professional at organisations like Barnardo’s(opens in a new tab) and The Prince’s Trust(opens in a new tab), who offer employment support such as free courses, apprenticeships and tuition funds, and StepChange(opens in a new tab), who provide free advice and help setting up solutions to deal with debt. Being open about money worries can feel uncomfortable at first, but there are lots of people out there who will be able to empathise with what you are going through, and genuinely want to help!

Next, do some research into your contracts and bills. Your bank, and lots of utility suppliers will be all too aware of the current economic climate, and may well have ways to support you with a manageable payment plan if you’re living independently. It’s also worth checking that you’re up to date on any deals they have on offer, and shopping around for anything new. Comparison sites can help you shop around for the best deals on new contracts, and there are also loads of helpful free tools out there which can help you plan and stay on top of your budget – like NatWest’s new budget calculator tool(opens in a new tab).

It can also help to begin to set realistic goals for the future and tick them off as you achieve them – the dopamine (aka the happy hormone) kick that you’ll get when this happens will make you want to cross more actions off your list. Perhaps you could set yourself a target of brushing up on finance in general – you could learn financial lingo, or get to grips with credit scores or investing.

It’s also worth remembering that, despite sometimes seeming a little intimidating, banks really do want to help you. NatWest, for example, offers completely free personal reviews in the shape of Financial Health Checks(opens in a new tab). During these sessions, you’ll be given helpful hints, tips, and ideas to help you make better decisions about your finances, both now and in the future.

“Financial health checks are a great way to assess what someone is doing well and what they need to work on. They’re open to anyone and are a helpful reminder to review your needs and goals,” says Georgia Waterson from NatWest's Youth Banking team. “I get one done every other year, even though I work for a bank, and I’m always grateful for the help. They allow you to access professional support and tips to help you get or stay on-track.”

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