How employee expectations are influencing employers’ approach to financial wellbeing
Across the UK, money worries have become the single biggest cause of stress, affecting 41% of the workforce and rising year on year.
More than half of employees (52%) say financial concerns directly harm their performance at work, while 45% report disrupted sleep as a result of money stress, reinforcing the well-evidenced link between financial strain and deteriorating mental health.
The impact on employers is significant
Research from the Centre for Economics and Business Research shows that 12% of UK employees have taken time off work due to financial worries, resulting in an estimated 16 million lost working days in a single year.
Even when employees are present, the effects persist: 23% report reduced productivity because of financial stress, costing employers an estimated £6.6bn annually in presenteeism alone, alongside a further £3.7bn from absenteeism.
In this context, financial wellbeing is not a “nice to have” benefit – it is a core determinant of organisational performance, resilience and engagement.
The change in employee expectations
As a result, employee expectations are shifting rapidly. Today’s workforce increasingly expects support that goes far beyond pensions. Nearly half of employees believe their employer should actively support their broader wellbeing, including financial health, while 94% employers themselves overwhelmingly agree they have a responsibility to do so.
This highlights a clear move towards holistic financial wellbeing strategies, to provide access to guidance, products and services across all life stages. Put simply, employees now expect their employer to support their financial wellbeing beyond just pay and pension in isolation – they expect help navigating everyday financial pressures as well as longterm security.
Why the workplace?
The workplace is uniquely positioned to meet this demand. Employers can use their scale, buying power and trusted position to secure better value, higher-quality services and more consistent engagement than individuals could access alone.
Evidence shows that organisations investing in structured wellbeing support see higher engagement and productivity, and a strong return on investment from preventative interventions.
With money worries now embedded in the working day, the question is no longer whether financial wellbeing belongs in the workplace, but how effectively employers respond to rising employee expectations and the clear commercial case for action.
What’s stopping employers from succeeding?
Despite strong intent and growing investment, many employers are struggling to translate financial wellbeing ambition into measurable impact.
Research from REBA and Howden Employee Benefits & Wellbeing shows that funding itself is not the primary barrier. In REBA’s Benefits Design Research (2024), conducted with Howden, 38% of employers planned to introduce or increase spending on financial wellbeing initiatives in 2024/256, while almost a third (31%) had already committed to large‑scale strategic transformation projects focused on financial wellbeing.
This clearly demonstrates that employers recognise the need and have budget allocated to act.
However, a year on, the focus of the research has shifted from whether employers will invest to whether they can deliver value from that investment.
The REBA/Howden Employee Benefits Research (2025) reveals that one third of proposed benefit changes are now being rejected by senior management due to insufficient data, with over 80% of reward professionals believing future wellbeing initiatives are at risk without a clear, evidence‑based business case.
While more than 80% of organisations made changes to benefits in the past year, driven largely by employee demand for health and wellbeing support, many struggle to demonstrate outcomes, ROI or engagement in a way that secures continued backing.
Employers are willing to invest and have budget available, but lack the data maturity, governance frameworks and measurement tools needed to prove impact and deliver sustained value from their financial wellbeing strategies.
Without clearer success measures - linking financial wellbeing to engagement, productivity and risk reduction - many programmes risk stalling, despite rising employee need and senior‑level recognition of the problem.
Futureproofing your workplace savings strategy
Looking ahead, with persistent economic pressures, wage stagnation and market uncertainty, there is little indication to suggest that employee expectations will plateau. We believe employees will continue to look to their employers for financial stability.
A one-size-fits-all approach to financial wellbeing won’t work, a consultative approach is the only way to ensure your financial wellbeing strategy is adaptable, insight-led and continues to support your workforce.
Howden’s approach to financial wellbeing focuses on empowering employers to support their people through tailored strategy and education. By understanding the unique financial needs of your employees, we help deliver the right products and guidance at the right time - enhancing wellbeing throughout every stage of working life.
Those that move beyond uncertainty and adopt a tailored, technology-enabled, insight-driven approach will be better positioned to meet rising expectations and strengthen their employee value proposition.
Supplied by REBA Associate Member, Howden Employee Benefits
Howden provides insurance broking, risk management and claims consulting services, globally. We work with clients of all sizes to provide dedicated employee benefits & wellbeing consultancy.
