Gingerbread report highlights problems of debt for single parents
The twin impacts of Covid and being a single parent are acting as risks for problem debt.
Gingerbread Report on the ‘single parent debt trap’ accessible through this link.
We know that single parents disproportionately experience problem debt, whether separated, divorced or from any other background or situation. Even prior to COVID, 13% of single parents were in severe problem debt. This compares to 5% of couple parents and 4% of single adults.
Single parents are exposed to a variety of risk factors that make problem debt more likely.
One particular reason cited is that of ‘financial problems following relationship transitions,’ with 44% of single parents surveyed saying relationship breakdown or divorce was a reason for being in problem debt.
Sadly, it can be seen from this report that financial difficulty can contribute to, or is at least present during, relationship breakdown. Single parents frequently inherit arrears and debt. The report notes that ‘problem debt is not an inevitable part of the experience of being a single parent’ and recommends measures to improve the situation for families.
It underlines how many single parents rely on child maintenance payments in order to provide for the basic needs of their children. However, children are often forced to go without essentials as a result of their parent not receiving the child maintenance payments they are entitled too. Reform of the child maintenance service is required to protect the children most at risk of missing out.