Younger generations hit hardest by financial stress, finds AMI Protection Viewpoint Report

The Association of Mortgage Intermediaries (AMI) will launch its 2025 Protection Viewpoint Report at a virtual event on Wednesday 5th November at 9am, inviting advisers, firm leaders, networks, insurers, and technology providers from across the protection and mortgage sectors to attend.

The latest research, based on a survey of 3,000 consumers, revealed the extent to which the current economic climate is shaping people’s financial decisions and emotional wellbeing.

Over three-quarters (78%) of respondents said the economic situation had affected them emotionally when making financial decisions, with more than half (51%) describing the impact as “big.”

The research highlighted sharp contrasts by life stage, with younger generations feeling the strain most – 82% of Gen Z and 85% of Millennials reported emotional stress linked to financial decision-making.

Among other groups, 83% of mortgage holders said they were affected, rising to 87% of parents with children under 18, while renters reported higher stress levels than homeowners (57% versus 48% citing a “big impact”).

To complement the quantitative findings, AMI conducted a series of qualitative interviews exploring how emotional responses influence real-world protection decisions.

Many participants cited concerns over rising costs, job insecurity, and stagnant wages.

A 32-year-old homeowner from North West England said: “I feel anxious. I don’t know how things will be in 12 months’ time.

“I’m part time after having children, and my partner is full time. Bills are going up, but our wages aren’t rising in line with these extra expenses as well as having the cost of two children now.”

Developed in partnership with The Exeter, Legal & General, and Royal London, this year’s report revisits key themes from past editions and explores how the consumer protection journey is evolving – including the influence of social media and the role of emerging technology in delivering advice that remains rooted in human connection.

Stephanie Charman, chief executive of AMI, said: “Our Protection Viewpoint launch is all about turning insight into action.

“These findings show how age and life stage play a major role in how people experience economic uncertainty and how emotional factors shape their financial behaviour.

“This underlines the critical role of protection and the need for advice that meets people where they are, helping them feel secure about the future.

“Our launch event on 5th November will give the whole industry an opportunity to hear directly from consumers, explore the latest trends, and reflect on the lessons of the past six years.

“Most importantly, it’s about transforming these insights into action and giving advisers, distributors and providers practical tools to strengthen the protection market.”

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