The Hidden Financial Penalty of Being Single
Fri Feb 06 2026
Solo living leaves people with far less disposable income, lower investing rates and weaker financial safety nets.
But why does being single cost so much more? In this episode of Mouthy Money, we count the costs of the “single person financial penalty”.
With insights from Hargreaves Lansdown’s Helen Morrissey, we look at what singles (and couples) can do to protect their financial futures.
*On this episode*
▉ Singles have far less disposable income because costs can’t be shared.
▉ Thin monthly margins make saving and investing feel risky.
▉ Lower savings mean less protection against redundancy or illness.
▉ Talking about money improves financial resilience — even if you’re single.
▉ Divorce, separation, and bereavement can suddenly trigger the same penalty.
▉ Relying on a partner’s pension is risky if circumstances change.
▉ Cohabiting without legal protections can lead to major financial losses.
▉ Everyone should plan for retirement as an individual first.
*Let us know what you think?* Does the single person financial penalty affect you?
*Chapters*
00:00 – The single person financial penalty explained
01:40 – Why living alone costs so much more
03:15 – Disposable income gap: £23 vs £280
05:20 – Safety nets, job loss, and financial vulnerability
07:20 – Why singles invest less (and fear risk more)
10:20 – UK savers vs investors: pensions and misconceptions
13:55 – Breakups, divorce, and becoming single later in life
16:05 – Pension complacency and cohabitation risks
18:15 – How to plan like a financially independent adult
MOUTHY MONEY
*Our substack* mouthymoney.substack.co.uk
*Get in touch* editors@mouthymoney.co.uk
DISCLAIMER
This video is produced for general informational purposes only. It should not be construed as investment, legal, tax, mortgage or other forms of financial advice. If in any doubt about the themes expressed, consider consulting with a regulated financial professional for your own personal situation. Past performance is no guarantee of future results. Investments can go down as well as up and you may get back less than you started with. Investments are speculative and can be affected by volatility. Never invest more than you can afford to lose. For more information visit www.fca.org.uk/investsmart. Please note, video captions are auto-generated and may not be 100% accurate.
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Solo living leaves people with far less disposable income, lower investing rates and weaker financial safety nets. But why does being single cost so much more? In this episode of Mouthy Money, we count the costs of the “single person financial penalty”. With insights from Hargreaves Lansdown’s Helen Morrissey, we look at what singles (and couples) can do to protect their financial futures. *On this episode* ▉ Singles have far less disposable income because costs can’t be shared. ▉ Thin monthly margins make saving and investing feel risky. ▉ Lower savings mean less protection against redundancy or illness. ▉ Talking about money improves financial resilience — even if you’re single. ▉ Divorce, separation, and bereavement can suddenly trigger the same penalty. ▉ Relying on a partner’s pension is risky if circumstances change. ▉ Cohabiting without legal protections can lead to major financial losses. ▉ Everyone should plan for retirement as an individual first. *Let us know what you think?* Does the single person financial penalty affect you? *Chapters* 00:00 – The single person financial penalty explained 01:40 – Why living alone costs so much more 03:15 – Disposable income gap: £23 vs £280 05:20 – Safety nets, job loss, and financial vulnerability 07:20 – Why singles invest less (and fear risk more) 10:20 – UK savers vs investors: pensions and misconceptions 13:55 – Breakups, divorce, and becoming single later in life 16:05 – Pension complacency and cohabitation risks 18:15 – How to plan like a financially independent adult MOUTHY MONEY *Our substack* mouthymoney.substack.co.uk *Get in touch* editors@mouthymoney.co.uk DISCLAIMER This video is produced for general informational purposes only. It should not be construed as investment, legal, tax, mortgage or other forms of financial advice. If in any doubt about the themes expressed, consider consulting with a regulated financial professional for your own personal situation. Past performance is no guarantee of future results. Investments can go down as well as up and you may get back less than you started with. Investments are speculative and can be affected by volatility. Never invest more than you can afford to lose. For more information visit www.fca.org.uk/investsmart. Please note, video captions are auto-generated and may not be 100% accurate.