A new survey by NHG Homes, one of London’s largest housing providers, reveals that four in ten young people aged 20 to 35 have less than £50 left before payday. The research, conducted by Opinion Matters among 2,000 non-homeowners between 13 and 17 April 2026, underscores the financial strain preventing many from saving for a home deposit.
Financial stress and mental health toll
The survey shows that 66 per cent of young non-homeowners feel they are doing the right things financially but not getting ahead, while 63 per cent say financial stress has damaged their mental health. Rising living costs were cited by 61 per cent as the main cause of their financial struggles, outweighing any personal spending habits.
Young people's saving habits
Contrary to stereotypes about frivolous spending, nearly half (48 per cent) of respondents actively avoid unnecessary spending, 39 per cent track their outgoings, and 32 per cent save regularly. The data suggests external factors, not financial carelessness, are driving the crisis.
Loss of faith in homeownership
Only 15 per cent of non-homeowners believe they will ever be able to buy a home. Among 30- to 35-year-olds, who have spent nearly a decade in the rental market, just 13.5 per cent think homeownership is achievable.
NHG Homes launches The DOOR Club
In response, NHG Homes has launched The DOOR (Deposit Out Of Reach) Club, a community for first-time buyers struggling to save for a deposit. The initiative promotes shared ownership, which requires a smaller deposit than buying outright. Ian, a social worker, and Patty, an architect, purchased a 25 per cent share in a three-bedroom flat at Woodberry Down in North London through NHG Homes’ Shared Ownership scheme. Ian said: 'It was thanks to Shared Ownership that we were able to own this flat without having to compromise on its great central location. Owning a place like this would have been something we could only have dreamed of.'
Support and events
The DOOR Club partners with money coach Laura Ann Moore to offer financial guidance. Moore stated: 'Young people aren’t failing at money, the system is failing them. That’s exactly why the support The DOOR Club offers matters so much. It’s not just about practical financial advice; it’s about giving people the tools, the confidence and the mindset to know that their situation is not their fault, and that there is a way forward.' NHG Homes will host summer finance events across London.
