The cost of living – how employers, service providers, and Government can help

Energy, food, and fuel prices have been increasing since 2021. Near the end of 2022, inflation in the UK was at a 41 year high.

Last Modified: 18 January 2023


The cost of living – how employers, service providers, and Government can help

What has caused the cost of living crisis?

Energy, food, and fuel prices have been increasing since 2021. Near the end of 2022, inflation in the UK was at a 41 year high. Inflation affects the cost of products and services which, in turn, means people pay more for what they need. This comes after the pandemic, which was financially difficult for many people, and exacerbated by Russia invading Ukraine. This meant changes to both the availability of and how we access some products such as food, energy, and other items. As Russia and Ukraine are large producers of many of the goods and products we rely on – or the materials to make or produce them – their availability has reduced, meaning the price has increased.

These economic and political factors have come together to create a ‘cost of living crisis’ in the UK and beyond. It means that many people in the UK are struggling with how much it costs to buy and pay for everyday products and services. For disabled people, many of who already experience an average of £583 per month additional costs to manage their disability (referred to by Scope as the ‘disability price tag’), the impact is even greater:

55 per cent of disabled people are finding it difficult to pay their energy bills (Office for National Statistics, Cost of living statistics, 2022).

36 per cent of disabled people are finding it difficult to pay their rent or mortgages (Office for National Statistics, Cost of living statistics, 2022).

51 per cent of disabled people are concerned about affording the rising cost of food (Scope, 2022).

Three ways for employers to help employees

Research shows money is on employees’ minds – and not just lower paid employees. Employees in senior positions worry about money, too.

1 in 4 employees say money worries affect them doing their job, and 1 in 8 workers live in poverty (CIPD, 2022, Reward Management Survey and ‘Tackling in Work Poverty’ report).

Some of the practical things employers are providing for employees include:

  • Subsidised meals at work.
  • Additional pension contributions.
  • Discounted or fully covering commuting costs, including mileage allowance payments, fuel vouchers, and parking costs.
  • Access to charging facilities for vehicles, mobility aids, and technology devices.
  • Mobile phone contracts (for personal as well as work use).
  • Discounted or fully paid-for leisure activity and gym memberships.
  • Apps or portals that provide discounts on a range when using a range retailers and service providers (such as clothing and grocery shopping, furniture and household utility items, or legal and financial services).
  • Health related costs, including private medical access and covering the costs of NHS prescriptions.

These practical ways of helping employees can be beneficial in the short term, but employers should also be thinking about actions at a longer-term strategic level. Three such actions could include:

1. Check what financial wellbeing services your Employee Assistance Programmes (EAP) provides â€“ and tell your employees about it. Many employers and employees we speak to do not know what their EAP includes, and they are therefore not likely to be making full use of it. Many EAPs provide financial wellbeing services such as practical advice on budgeting and saving, debt or repayment options, and saving for major life events such as university fees or moving house.

2. Know if your employees are experiencing difficulties and in-work poverty. Surveys, listening groups with senior leaders, and undertaking pay audits can help employers understand how much their employees are struggling, what type of costs they are struggling with and then, as a result, provide very relevant benefits and interventions to make their lives easier.

3. Develop your staff into better paid roles. A pay review will help determine if employees are being paid the right amount in their role in your organisation, but the UK Government is also keen that progression can provide a route to more pay. You can find our recommendations for an in-work progression plan for employees here at our in-work progression policy page. However, be mindful that this is not the answer for everyone. Some people do not want a higher paid or different role, and there may be many reasons for this, including disability related reasons. The key thing is to ensure all possible opportunities are available to those who want them.

Three ways for service providers to help customers

We hear that, for many people, the cost of living crisis is the first time they have discussed money worries with someone else. This does not mean worrying about money is new, though:

55 per cent don’t feel comfortable discussing money, despite 48 per cent saying they worry about it (Money and Pensions Service, 2020).

As a result, people have wanted to contact service providers more in recent months to discusses re-arranging payment plans or simply to discuss their options about how to pay for something. Many just want to know their options without making a decision at that same time. Make sure you are making this easy for customers. Three key things for service providers to check today include:

1. Make sure your contact options are inclusive. We are hearing from condition-specific charities, for example who represent British Sign Language users or people who have speech related conditions, that contact details on service providers’ websites rarely include an option that suits them. At the very least, you should ensure you offer the following ways for people to get in touch with you:

  • A non-verbal way, such as email or an accessible chat function.
  • A non-written way, such as telephone, with limited menu options to filter the topic of the call.
  • Sign language (particularly British Sign Language, but ensure you know where to find sign language interpreters in other languages) – either in person or online, as appropriate for the situation.

2. Allow customers time to communicate. Money related information and advice can be full of jargon and important decisions. Ensure your call time procedures and targets do not rush people and are adjusted wherever people need this. Someone may well find it difficult having to say they are struggling with payments, and their contact with you may be the first time they have ever said this out loud. Be patient and let customers take their time as they explain their situation. Be prepared to repeat information; money related topics may be an unfamiliar topic for them, particularly if there are regulatory or legal implications for their situation, too. Also be mindful that religious beliefs, and ethnic and social background can also influence people’s level of comfort with discussing money. A disability or condition might not be the reason someone is struggling to explain their situation freely or quickly.

3. Use your brand to show you care. Consider how you might use your products or service to support and advise customers and potential customers. From supermarkets providing videos and local workshops on how to prepare healthy food cost-effectively, or banks providing sessions on how to save money each day and for the long-term, many people are interested in how to do things differently to see how they can make the money they have go further.

What we have recommended for how Government intervenes

We asked our members and disabled employees how the cost of living is affecting them at work. We worked with the Disability Charities Consortium to recommend steps that Government could make now. The priorities our members and their employees told us about are as follows:

1. Disability cost of living payment. Some people are not receiving their cost-of-living payment. In some local authorities, people are being asked to apply for their payments and to provide evidence to prove their identity (such as a bank statement) to prevent fraud, even though advice on the Government website says people will not have to apply or submit evidence to get their payment. We have told the Government about this and recommended that all local authorities are carrying out the same process and that no one is asked to apply for their payment or give proof of their identity.

2. Disability related energy usage. Energy bills continue to be a key concern to disabled people, and the Government’s support package does not go close to alleviating this. As one example, it costs some people Â£90 per month to charge their mobility scooter, and some people who have this cost will only receive a one-off payment of £150. The financial support provided via the Energy Bills Support Scheme has not gone as far as it needs to, and it has not moved quickly enough to ensure disabled households receive the money before the next round of the energy price cap. Further still, changes to the Warm Home Discount Scheme would mean that those in receipt of Disability Living Allowance (DLA), Personal Independence Payment (PIP), and Attendance Allowance (AA) will no longer be able to claim from the Discount Scheme, despite the unprecedented rise in energy bills. This change would cut eligibility for almost 300,000 disabled people. We have recommended that Government takes the following actions:

  • Provide more support to people with disabilities to deal with rising energy bills. This should include, for example, reversing changes which reduce eligibility to the Warm Home Discount Scheme and significantly increasing the financial support available through the Scheme.
  • At a minimum, the financial help available via the Energy Bills Support Scheme should be doubled.
  • Introduce a ‘social tariff’ in the energy market to protect disabled households with higher energy usage.

3. Access to Work and adjustments. The increase in the cost of fuel has an impact on disabled people’s ability to afford taxis which they may rely onto get out for social situations, health appointments, to shop, and for work (for example). In employment situations, those who receive Access to Work are also struggling to recruit and/or retain Personal Assistants (PAs) or drivers for travel in work due to the rising cost of fuel. The cost of British Sign Language (BSL) interpreters has increased in line with the rising cost of living, which has an impact on BSL users who need these services to communicate and take part in socio-economic life. It also has an impact on the communication support element of Access to Work. We have recommended to the Government that they ensure Access to Work awards take this into account when deciding the cost of awards related to transport and communication support, such as BSL interpreters.

Further information


If you require this content in a different format, contact enquiries@businessdisabilityforum.org.uk.

© This resource and the information contained therein are subject to copyright and remain the property of the Business Disability Forum. They are for reference only and must not be copied or distributed without prior permission.


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