The financial consequences of addiction

When do most substance addictions form?

The contributing factors that lead people to form addictions can be as varied as the things that stress us in the first place.

We are a lot more susceptible to peer pressure and experimenting with substances during our teenage years. Some research suggests that 9 out of 10 addictions start in our teens. The teenage years can be fraught with self-doubt, experimentation and escapism. Little heed is paid to the risks of addiction-forming substance misuse as teenagers tread a deceptively slippery path.

Teenagers are usually ill-equipped with sufficient understanding of finance. They haven’t yet had enough experience managing money to truly understand the financial consequences that come with an addiction. This may go some way in explaining why so many addictions form in the teenage years.

The relationship between addiction and poverty

The ways that addiction and poverty relate to each other are complicated. Some research does begin to illustrate how poverty may be associated with substance abuse, but this doesn’t necessarily mean that poverty causes addiction.

But the voices of people stricken by poverty often go unheard. Our socioeconomic web is often more intricate than we truly realise.

Harvard’s Medical School is one group who have helped amplify the voices of people in poverty. They believe that addiction does discriminate among people and that social determinants of health (SDoH) can tip the scales against poorer people. They’ve linked research showing how in the US, opioid overdoses happened more frequently in areas with higher rates of poverty and unemployment.

The financial consequences of slipping deeper into addiction

So, what is the financial cost of substance abuse? Most people who have an addiction have some awareness of the physical and mental risks involved. Friends and family may have given advice on the inherent physical and psychological risks, but financial dangers also lurk behind the surface of substance misuse.

Here are some of the financial consequences that are prevalent for those suffering from addiction.

Unmanageable money spent on the substance itself

The first and most direct financial consequence to consider is the immediate cost of the substance itself. Addiction expenses often become unmanageable for people in the later stages of addiction, leading to further dangers of criminality.

For alcohol in particular, CGA research in the UK has shown that the average cost of a pint has risen from £2.30 in 2008 to £3.95 in 2022, though this can vary across cities. Rising costs of living and being unable to withhold from purchasing for an addiction spells danger for the other financial responsibilities in a person’s life.

Additionally, a person’s tolerance toward the substance increases over time, creating a vicious cycle where each purchase needs to become greater than the last to achieve the same effect.

Inflation and the rising cost of living mean that for many people with an addiction, having enough money to buy the substance they need is approaching a matter of life or death. For more and more people suffering from addiction, such drastic expressions on matters of “life and death” are becoming increasingly accurate.

Declining productivity and income

Another addiction issue that has a huge effect on financial stability is a loss of productivity and personal income. There are some people out there who can remain “functional addicts,” but this is not the case for most people, and it’s a dangerous path to be on.

For most people, spiralling deeper into an addiction means work performance is going to suffer. The cognitive and behavioural impairments that come with an addiction can lead to dips in productivity and morale or even put the safety of co-workers in question.

Costs associated with healthcare

Being caught in an addiction means you’re more likely to suffer physical and mental health problems over time. The tempestuous nature of addiction can devastate a person’s health. Overdosing and death are at the extremes, yet there are always more immediate and short-term risks that could require healthcare professionals. These risks include:

• High blood pressure and increased heart rate
• Insomnia and dangerous sleeping patterns
• Organ and gastrointestinal damage
• Cardiovascular and respiratory risks

This is without mentioning the associated mental health risks inherent to addictions, such as depression, paranoia, delusions and hallucinations. All of these often contribute to the need for therapy and private health specialists. This can place a debilitating strain on a person’s finances as they suffer with their addiction.

The people around you and the “macro” cost of addiction on society

Addictions and substance misuse can have an immense impact on wider society. For decades, the economic consequences of addiction have led many prosperous communities and societies down a path of regression.

Alcohol, in particular, is seen as one of the most damaging economic stressors to our social surroundings. The UK Government has reported that alcohol costs the National Health Service an estimated £3.5 billion each year in England. They also estimate the costs for wider society to be up to £21 billion per year.

In less measurable ways, addictions create rifts and tears in the fabric that hold many communities together. Substance abuse significantly impacts our social institutions, increasing the risk of crime, hospitalisations and child neglect.

The word “community” could be applied to the sense of harmony and union in a family or a literal neighbourhood community. Small and large societies and communities across the country have felt the impact of addictions and, in many cases, have been irreparably broken.

Rehabilitation costs

The cost of rehab can be one of the most demanding financial risks for a person in the deeper stages of addiction. When suffering alone, many people search online for terms like “How much is rehab?” only to find conflicting data.

Rehab costs can vary greatly, depending on the services needed. For example, not every person needs medically supervised detox when recovering from some addictions. Facilities, stay duration, and staff expertise weigh heavily on rehab’s cost.

Yet, for many people, rehab can become the only way to escape addiction fully. There is no number set in stone for the cost of all rehab services, but on average you can expect to pay around £500 a day for rehab. However, the steep costs of rehab may be an investment in your health and your future finances when weighing up steeper financial implications down the line.

Seeking help with an addiction

The dark embrace of substance addiction can, at times, make you feel like there is no help available. Understanding that there is support out there is paramount to starting your addiction recovery.

Start by communicating your need for help with loved ones, family members and friends. If you’re alone in your addiction, it is critical to reach out to support groups online and in your local area. Financial recovery from addiction is one facet of total recovery, and seeking help might be the first step you need to take.

I need my addiction out of my life

Seeking financial stability may be one of many reasons to pursue a drug-free life. Having an addiction leads to a more costly lifestyle, affecting almost every facet of your finances.

Here at UKAT, we stand at the forefront of addiction recovery and we strive to create lives free from addiction. Our rehab detox programmes are designed to improve every aspect of a person’s life caught in clutches of substance abuse. Our trained staff provide medical, holistic and educational support at every step on the journey to recovery.

Reach out to us at UKAT for a healthier, more financially stable life, free from the tightening grip of addiction.