3 benefits that could help your employees during the Cost of Living Crisis

Does the challenge of the Cost of Living Crisis leave you feeling helpless?

Millions of families are struggling to meet the cost of rising energy and fuel bills in the UK as the Cost of Living Crisis develops. Some forecasts suggest that energy bills could rise as high as £4,000 by January 2023. The impact on families cannot be overstated, and many will struggle to pay essential bills, even after making changes to their lifestyle spending.

It can be tempting to feel helpless in the face of such challenges.

But, employers are in a key position to support their staff as the cost of living bites.

Creative and carefully crafted employee benefits solutions could significantly improve employees’ cash flow and help them manage their outgoings more effectively.

We believe that three employee benefits, in particular, could really help staff copy as the Cost of Living Crisis deepens.

What is the Cost of Living Crisis?

The Cost of Living Crisis is a term used to describe the increase in the cost of goods and services, relative to the amount of money that people earn. This has resulted in many people struggling to afford basic necessities, such as food, clothing and housing.

In the UK, the Cost of Living Crisis has been particularly severe. The average house price has increased by over 46% since 2008, while median annual earnings for full-time employees have only grown by 24%. This has resulted in many people becoming trapped in a cycle of trying to save for a 10% house deposit that keeps increasing, moving out of reach no matter how much their pay rises. Unable to afford to buy a home, they never gain the benefits that homeownership brings. This then has a long-term impact on their financial situation.

Fuel and energy costs are constantly in the headlines as costs rise. Global instability is affecting supply lines and countries are competing to purchase dwindling supplies, meaning the end consumer feels the squeeze of rising bills.

On a social level, the Cost of Living Crisis has also had a devastating impact on public services. Cuts to social welfare programmes and public sector jobs have left many people unable to meet their basic needs. As a result, there has been an increase in homelessness, poverty and inequality.

As the Cost of Living Crisis develops, we look at three employee benefit schemes - the Retail Discount Scheme, Discount Savings Cards and the Lifestyle Savings and Learning scheme -  that could really work to help support your employees during these difficult financial times. Let’s look at each of these three products, and how they could help your team.

1.    The Retail Discount Scheme

What is the Retail Discount Scheme?

The Retail Discount Scheme allows your staff to receive discounts on a range of products across dozens of selected retailers. Employees can choose to receive discounts on gift cards and vouchers, empowering them to spend their money where they want. The scheme also allows staff to make savings on larger purchases such as holidays and days out and recreational activities such as cinema trips.

How could it help?

Giving your employees a discount on essential items can help their income go further, giving them more money to put towards rising energy and fuel prices.

2.    Discount Savings Cards

What are Discount Savings Cards?

Discount Savings Cards give your employees the chance to save money across a range of retailers, including supermarkets. Employees receive a card (either physical or virtual) that they can top up when accessing their account online. They can then make their purchases when they want.

How could they help?

A family of four could save 4% off their weekly shop at their main supermarket, and 7.5% off a secondary shop at a retailer such as Iceland or Marks and Spencer. The same amount could be saved from their high street shopping, and up to 40% off entertainment experiences such as cinema trips.

Saving money on essentials such as food and drink could help your staff meet the rising cost of their fuel and energy bills.

3.    Lifestyle Savings and Learning

What is our Lifestyle Savings and Learning benefit?

The Lifestyle Savings and Learning benefit is unique in that it allows employees to choose where to spend their discounts, and gives them access to a Learning and Development centre that can help them build their professional skills all in one benefit.

Employees can select either physical cards or online discount codes, according to their own preference. The discounts are available in hundreds of retailers, including Argos, M&S, Boots, BT, Apple and Halfords. The Learning and Development centre is available online, at any time, and your team can access whatever course they want through their personal account.

How can it help?

It allows you to invest in the future of your employees, by giving them access to thousands of educational courses that can help them develop professionally and personally. Their development could help them improve their job prospects, potentially increasing their income in the long term.

The retail discounts help your team save money on their purchases, leaving more cash for energy and fuel bills.

Provide benefits that help financially

Providing an employee benefits solution that helps your team save money on retail essentials will give them a better chance of meeting the rising cost of energy and fuel bills, and support them through the Cost of Living Crisis. It can help create an attractive job proposition, attracting and retaining staff who value the support it brings.

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