5 Actionable strategies to support employees facing bigger mortgages in 2024

The UK is facing a mortgage crisis. With interest rates rising steadily, households may need to pay an extra £3,000 per year for their mortgages by 2024. This will put immense financial strain on many workers already impacted by inflation and limited salary growth.

Businesses must take action to support their employees' financial wellbeing during these challenging times. Those that do will reap the benefits of higher engagement and retention. Research shows employees who receive financial assistance from employers are 77% more likely to stay with the company.

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Here are 5 strategies UK businesses can implement to help employees manage higher mortgage payments:

1. Introduce financial wellbeing programmes

Introduce comprehensive financial wellbeing initiatives catered to employees at all levels. Provide resources, workshops, tools and access to advisors to improve financial literacy and empower better money management.

2. Provide bespoke financial support

Give employees access to professional financial counsellors for personalised guidance on mortgages and overall finances. This support can help them make informed decisions amidst rising costs.

3. Explore flexible compensation

Review compensation and benefits packages and identify areas to introduce flexibility. Consider salary sacrifice schemes, additional allowances and alternative benefits to offset mortgage impacts.

4. Establish robust EAPs

Create or enhance Employee Assistance Programs to include confidential financial counselling services, advice and connections to external resources. This gives employees support for money-related stress.

5. Foster financial education

Encourage open money conversations, share financial tips and resources, and conduct regular training on expense reduction, savings maximisation and money management. This builds financial skills.

By making employees' financial health a priority, businesses invest in retention and loyalty. Support during tough times is remembered and returned. As mortgage costs rise, UK employers must take steps to protect one of their greatest assets – their people.

See how Experian's Financial Wellbeing Dashboard uses data to help you implement more informed and impactful employee wellbeing decisions

By prioritising the financial wellbeing of your workforce, you are making an investment in the long-term success of your business. Supporting employees during these difficult times not only helps them weather the storm, but also strengthens their loyalty and commitment to your organisation.

PayDashboard sits inside a suite of Experian products that are designed to support businesses and their employees across the employment lifecycle. With a trusted data partner, businesses are supported to ensure they make the best decisions for their employees before they walk through the doors and long after they have departed. This brochure provides more detail on the many products in place to support employers and their most precious asset - their employees.

If you would like to learn more about any of these products, get in touch with us today or book a demo at a date and time that is suitable for you.