Warning issued as Brits turn to TikTok for financial advice

Millions of young people in the UK are turning to TikTok and social media influencers for financial advice, raising urgent concerns about the UK’s growing financial literacy crisis. A recent survey from HSBC UK and the national education charity Young Enterprise reveals that nearly a quarter of Gen Z respondents said they have used TikTok or other social media platforms for financial guidance in the past year, which is almost double the UK average. The findings underscore a wider problem, that young people want to be financially capable, but many feel judged, unsupported, and uninformed.

The research showed that while half of Gen Z are actively saving, 67% say they feel judged or embarrassed about how they handle money, predominantly by their families. While there appears to be a lot of engagement with financial topics online, experts warn that the reliability of this information remains deeply inconsistent and often unvetted.

Just 13% consider their school or university a top source of money management advice, leaving a vacuum increasingly filled by unregulated influencers.

Sarah Porretta, CEO of Young Enterprise, warned: "Gen Z want to be financially capable, but they don’t feel supported. From chats at the dinner table to scrolling on social media, we need to give young people better tools, better guidance, and a better emotional foundation for managing money. Teachers are doing their best in a crowded curriculum, but they need more support too – we can’t expect them to tackle this challenge alone.”

According to Abrdn’s 'Savings Ladder Index', 23.3 million UK adults, which is nearly half of the adult population, have poor financial literacy, making them £20,000 worse off on average compared to those who are financially literate.

Amid this growing concern, the University of Oxford’s Saïd Business School is launching a new five-year research initiative to address the UK’s low financial literacy levels.

Backed by a £1.5 million donation from Capital.com, one of Europe’s fastest-growing fintech platforms the Oxford Future of Finance and Technology Initiative will bring together experts in behavioural finance and corporate responsibility to develop practical tools that help individuals make better financial decisions.

The initiative aims to equip people with the knowledge to get on the housing ladder, avoid unsustainable debt, and prepare adequately for retirement offering timely support ahead of the Government’s upcoming National Financial Inclusion Strategy, expected by the end of 2025.

The programme will fund a dedicated team of researchers who will work on two core areas: understanding how behavioural psychology affects financial choices, and how corporations can better serve the financial wellbeing of their customers.

Researchers will also explore how AI and gamification can be used to develop engaging new tools that support long-term financial health.

Professor Pinar Ozcan, lead of the Oxford Future of Finance and Technology Initiative, said: "Lack of financial education doesn’t just affect people’s wallets - it takes a toll on their mental and physical health and limits their ability to plan for the future. I’m grateful to Capital.com for stepping up to address this critical issue and backing research that can drive real, lasting change."

Viktor Prokopenya, Founder of Capital.com, added: "Capital.com’s mission has always been to help people make better financial decisions by giving them the tools, resources and education they need to save, invest and trade with confidence. My life was transformed after learning financial skills and I hope this partnership with the University of Oxford can create new solutions that can have a similarly transformative impact on the lives of others."