The study of 3,000 people revealed that 20% of Brits struggle with everyday maths problems, from calculating discounts and negotiating prices, to understanding the terms of a loan
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Public share thoughts on having a fear of numbers
A study of 3,000 Brits has revealed that a fifth struggle with everyday maths problems, from working out discounts to understanding loan terms. A further 19% admitted the cost-of-living crisis has exposed their numerical weaknesses.
These alarming findings come ahead of the seventh annual National Numeracy Day on Wednesday 22nd May, an event aimed at inspiring everyone to gain the number confidence and skills they need in life. Another fifth (19%) believe they would be financially better off if they improved their number confidence and became more adept at setting budgets, understanding interest rates and comparing deals.
However, calculating discounts, understanding loan terms and negotiating prices were among the top financial scenarios adults confessed to avoiding due to the numbers involved. This avoidance also extended to financial news, with 29% dodging headlines due to lack of interest, finding it too complex or simply considering it depressing. Bina Mehta, chair at KPMG UK, which commissioned the research, said: “In today’s complex world, numeracy skills are fundamental in promoting financial inclusion and enabling individuals to make informed choices, especially against the backdrop of the current cost of- living crisis.”
“Those lacking number confidence are even more vulnerable to debt, unemployment and fraud, and those from lower socio-economic backgrounds are disproportionately impacted.” If we want to build a fairer and more inclusive economy, individuals, businesses, policy makers and education leaders all have a crucial role to play in ensuring numeracy skills are prioritised.”
Despite the reluctance to tackle their numeracy exactly a quarter of respondents believe stronger proficiency could have helped them to better navigate the cost-of-living crisis. Of those, 42% said they could have put more money aside for price increases, while 41% believed they could have budgeted more effectively.
When it comes to frequently used financial terms, stocks, personal contract purchases (PCP) and bonds were among those considered ‘mind-bending’, alongside Annual Percentage Rate (APR), credit scores and mortgage rates. The survey, carried out by OnePoll on behalf of KPMG UK and National Numeracy, found 21% lean on others to assist or take charge of their personal finances due to inadequate maths skills.
While a fifth (21%) admitted to simply ‘burying their head in the sand’ when it comes to managing their money for the same reason. Sam Sims, chief executive at National Numeracy, added: “Soaring costs for energy, food and other basic essentials have hit those worst off the hardest. The survey results show a lack of number confidence is compounding money worries for millions.” Clearly, the confidence to understand and work with numbers can no longer be viewed as a ‘nice to have’ but as crucial to navigating not only our finances, but daily life. Good numeracy is a pillar for building a financially inclusive, resilient and socially mobile nation.”