Teachers Income Investigation: Teachers struggling to survive on income
Teachers Income Investigation: Teachers struggling to survive on income
Increasing numbers of teachers are struggling to cope with rising mortgage payments and living costs as the credit crunch continues, the Teacher Support Network (TSN) said today.
The teachers’ counselling service said it had dealt with more calls about housing concerns this year than ever.
It has awarded over £62,000 in grants to cash-strapped teachers in the first few months of 2008, an increase of nearly 70%, or more than £25,000, on the previous quarter.
The figures also dwarfed those from the same period last year, representing an increase of 35%, or more than £16,000.
According to the charity’s quarterly report for January to March 2008, requests for financial advice traditionally peak at this time of year. But the charity says they show “no sign of slowing down”.
“The debt that clients are contacting us about is in larger amounts than in previous years. The amount per person is increasing, especially ‘non-priority debt’, as people try to juggle the amount they owe with credit cards and are living off borrowed money,” the report says.
The charity suggests the increases are likely to be caused by “Christmas debt, the rising cost of living, rising mortgage payments (especially for those coming off two-year fixed rate deals) and the knock-on effect of the credit crunch”.
The report also details increases in calls from teachers experiencing problems around mortgage repayments, credit cards, buying their first property and the financial repercussions of retirement.
The TSN’s chief executive, Patrick Nash, said: “The figures illustrate that a lack of money is becoming a greater problem for teachers. More of our callers are having to seek help simply to make ends meet, showing that the national credit crunch is having a very real effect on teachers in particular.
“We’re on hand to offer money management advice, grants and loans and are prepared for demand for our services - financial and otherwise - to increase rapidly as more teachers feel the effects of the economic downturn.”
The number of teachers calling to discuss personal issues has also increased by 7% on this time last year. Working conditions also featured in the top three issues for each charity sector. This includes legal issues, workload and performance and pay.
Teachers Income Investigation: Teachers struggling to survive on income. Editing by Elizabeth Liu