The Hidden Costs of Being Single: Financial Strain Revealed

By Brad Young, Money Feature Writer

As Valentine’s Day approaches, many are reminded of the financial aspects of love, but new data reveals that the cost of being single is overwhelmingly steep. According to an exclusive analysis conducted by Hargreaves Lansdown and revealed by Sky News, living alone incurs an annual expense of £2,533 more than sharing life as a couple. This startling statistic sheds light on a financial burden that affects not only those who are single but has ripple effects across society.

Increased Living Costs

The financial disadvantage of being single manifests itself in various aspects of daily life. Single individuals face, on average, a 22% higher cost in housing — rent or mortgage, council tax, and energy — compared to their coupled counterparts. They also spend 28% more on groceries and an astonishing 32% more on broadband and phone services. Sarah Coles, head of personal finance at Hargreaves Lansdown, emphasizes the compromises single people make in their lives due to these increased outlays.

‘They just don’t have that extra money, so they’re making these huge compromises in every bit of their life,’ she explains. Coles also underscores a broader societal trend, stating that everyone ultimately finds themselves alone at some point, whether through divorce, bereavement, or natural life progression.

The Real-Life Impact

The financial realities of being single were brought to life through the accounts of individuals grappling with these challenges. Robert Macdonald, a 56-year-old refuse collector from Swansea, shared his experience since his relationship ended eight months ago. ‘Definitely living a single life is a lot more expensive,’ he remarked, pointing to the difficulty of managing bills like broadband and phone services without a partner to share the costs.

His personal expenditure exemplifies the struggle for many, with 41% of his monthly salary dedicated solely to rent for a one-bedroom flat. Data indicates that the average rent for such accommodations has jumped from £726 in 2015 to £1,095 currently.

Hazel, a 71-year-old Londoner, expressed similar frustrations regarding her finances since the passing of her husband. Faced with rising energy prices, she finds herself layering clothing to stay warm rather than turning up the heating. Essential housing costs add up to £7,974 annually for singles, compared to £6,215 per person for couples, Sam writes.

Food and Dining

Navigating the grocery store can feel like an uphill battle for singles who often miss out on bulk-buy discounts available to couples. Steph, a 30-year-old Londoner, reported that her weekly grocery budget had ballooned from £20 in 2015 to “extortionate” levels of £50, highlighting the disconnect between costs and the resources available to single individuals. On average, single people spend £574 more a year on food compared to each person in a couple, illustrating just one more way in which living alone adds financial stress.

Travel Costs

The financial ramifications of living alone extend to holidays, where singles find themselves subjected to single-occupancy fees in hotels and cruises. Hazel shared her frustration, recounting how she often pays the same amount for a single room as couples do for shared accommodations. ‘It’s fiendish… It’s horrible,’ she lamented.

The Long-Term Financial Picture

With the increasing cost of living for singles, saving for future investments, such as a house deposit, becomes a monumental endeavor. The average deposit in the UK is £24,543, which could take a single person over a decade to save, assuming they manage to put aside £185 a month.

The implications carry over into retirement as well. According to estimates, singles require £31,300 annually for a moderate living standard in their later years—nearly £10,000 more than couples, who spend £21,550 each. This disparity affects the financial resilience of single individuals, with less than a third of singles reportedly on track with their pension savings compared to nearly half of couples.

Conclusion

The financial landscape for singles is fraught with challenges, from higher living costs to the daunting task of saving for the future. As relationship dynamics shift, the broader implication for society is evident; understanding and addressing the economic burdens faced by single individuals should be a priority for both policymakers and financial advisors alike.

As conversations around the costs of being single become more prominent, perhaps they will lead to more significant discussions about affordability and support for single individuals—an often overlooked demographic with unique financial needs in an increasingly complex economic environment.