Does the cost of living crisis affect children's mental health? (2026)

The impact of economic crises on children's mental health is a complex and often overlooked issue. While we tend to focus on the macroeconomic implications and adult-centric discussions, the reality is that children experience these downturns in a very different, yet profound way.

The Hidden Impact of Economic Crises

As someone who grew up during a period of economic uncertainty, I can attest to the fact that children's lives are deeply affected by the financial strain and emotional atmosphere within their households. The memories of limited car journeys, relatives emigrating, and the constant worry about grocery bills are not just anecdotes; they represent a broader experience of many children during economic downturns.

Indirect Effects on Child Wellbeing

Research, particularly the Growing Up in Ireland study, has shed light on this issue. It highlights that children's psychological health is closely tied to the mental health of their parents, especially mothers. This is not a matter of individual responsibility but a structural issue. Economic crises create a ripple effect, impacting not just finances but also the emotional stability of families.

The Role of Housing and Financial Stability

Housing insecurity and financial strain are significant factors that affect children's mental health. These issues create an environment of uncertainty and stress, which can have long-lasting effects. Research across Europe supports this, showing that housing problems and financial stress contribute to mental health inequalities among children.

The Resilience Factor

Despite these challenges, it's important to note that not all children are affected equally. Some families provide a stable and supportive environment, which acts as a protective factor. Strong family bonds, social support, and consistent routines can mitigate the negative impacts of economic stress. This resilience highlights the importance of a holistic approach to economic policy, one that considers the social and emotional needs of families.

A Call for Action

Economic policy should not be viewed in isolation. Decisions related to housing, employment, healthcare, and family support have a direct impact on child wellbeing. We need to recognize that the effects of economic crises extend beyond GDP and unemployment rates, and into the very fabric of family life. By addressing these broader social issues, we can work towards creating a more supportive and resilient environment for children during challenging economic times.

Does the cost of living crisis affect children's mental health? (2026)

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