- Description of the programme
- The study
- Key findings
- Points to consider
Description of the programme
[This is an extract from the Executive Summary of the evaluation report. Further amendments may be made to this Summary, pending review by the Evidence Hub partner]
YIACS provide a holistic support model geared towards young people often making the transition to adulthood. While most YIACS work with all young people, many are highly vulnerable and their issues increasingly complex. To date, little work has been conducted to understand the relationship between mental health, wellbeing and the financial capability of young people.
The study
This research addresses the following questions:
1. Can the provision of holistic support delivered through a YIACS model improve the financial stability and capability of young people aged 16-24?
- In what way, if at all, does the mental health and wellbeing of young people correlate with their financial capability?
- How does the provision of holistic support and advice lead to changes in the financial capability outcomes young people may achieve?
Research was conducted over nine partner sites recruited by Youth Access. The partners varied in scale, delivery, and environment; and delivered services across diverse geographical contexts. The research incorporates an impact, process and economic evaluation, including a longitudinal survey of service users, qualitative interviews with young people as well as frontline advisers and a cost effectiveness analysis. Financial Capability was assessed using an adapted survey tool developed by the Personal Finance Research Centre. Wellbeing was measured using the Short Warwick and Edinburgh Mental Wellbeing Scale (SWEMWBS).
The project sought to fully engage up to 500 young people aged 16-24 presenting to YIACS in a range of circumstances, for example those in debt; having problems with welfare benefits; experiencing stress/anxiety/depression or substance misuse issues; and who would likely benefit from one or more interventions offered as part of a holistic service in the YIACS. Young people who participated in the research received support for at least one issue. Some were facing two or more issues, and several were facing multiple challenges (e.g. homelessness, unemployment and mental health) alongside money related issues.
Key findings
- There was a significant improvement in financial capability between coming into the service and at the follow-up point. Average baseline financial capability score on entry was 13.5. Financial capability scores increased to 15.7 in the follow-up survey. This difference was statistically significance. Qualitative data suggested that support had led to positive changes in money management, saving and spending behaviour, and attitudes towards money.
- Wellbeing for young people receiving YIACS support were very low compared to similar aged population norms, placing them within the fringes of mental wellbeing. At follow-up this had significantly increased and approached population norms.
- Importantly, there was a significant correlation between financial capability and SWEMWBS scores at both the initial and follow-up survey. Further, using a multiple linear regression model, analysis showed:
- Having a higher financial capability score at baseline led to achieving a higher follow-up score
- Having a higher baseline wellbeing score was also a significant predictor, with follow-up financial capability scores increasing by 0.26 for every 1 point increase in the baseline SWEMWBS score.
- A positive relationship between the level of progress made in wellbeing and the progress made on financial capability whereby every 1 point increase in wellbeing was associated with an increase of 0.40 on the final financial capability measure.
- Other improvements associated with support included better living arrangements and reduced homelessness, employment and training outcomes, and broader social and wellbeing improvements. While these appear distinct from financial capability, improving a range of outcomes may have a positive effect on financial stability and wellbeing.
- The cost effectiveness of the service was apparent with the overall cost for Money Matters support across the nine sites estimated at £682,792 per year. Measuring benefits solely on service users’ wellbeing and the resulting public value benefits, it is estimated that benefits would amount to £1,114,344.
Points to consider
-
Methodological limitations:
- The survey was administered by front line YIACS staff. It is not possible to rule out observer bias influencing young people’s responses, though this was mitigated through the pre- post-survey design.
- Survey non-response was not routinely captured so it has not been possible to accurately calculate response rates.
- As with any voluntary participation survey there is a risk of self-selection bias. Partners took a number of approaches to ensure that opportunities to complete surveys were maximised (e.g. offering financial incentives).
- The research did not capture the full array of outcomes due to the imposition it would place on frontline services; nor did it explore the longevity of those outcomes achieved.
- The absence of a counterfactual group makes assessing the impact of YIACS difficult. Developing a counterfactual group would be analytically useful, but ethically challenging.
Full report
Money Matters: Financial capability, wellbeing and young people - full report
