Slice of Life with Mark Twigg
Mark Twigg is executive director and co-founder of public affairs and communications company Cicero. Here, Mark talks about how he went from homelessness to building complete financial security, and shares his tips on how to improve financial wellbeing.
You’re a successful executive and co-founder of a thriving business, but you’ve also experienced financial hardship in your life. Would you mind sharing some of your experiences?
I grew up in a very working-class community, so even as a child I was used to not having a lot of money. I think that taught me the value of money and the importance of spending it wisely. Even now, I always take care of the bills and the regular savings, before I think about how to spend whatever is left over.
Living within your means is an important life discipline, however much you earn. In the early days at Cicero, we had to be very frugal. The business was a start-up, and while a round of fundraising gave us a buffer of working capital, that runs down quickly in the first few years. Fortunately, we made it – but only with very careful financial management.
I think the experience of growing up in financial hardship, and being homeless in my early 20s, is one of my greatest motivators in life. Whatever else happens, I never want to run out of money again.
How much do you feel financial stability contributes to our overall wellbeing?
It makes a huge difference. Not having money is a big cause of anxiety, stress, and depression. I have childhood memories of worrying about mum and dad not being able to make ends meet. Some of my anxiety as a child was driven by the financial situation of my parents. Today, not having to worry about my family's financial security relieves a lot of the daily pressure and anxiety.
Because life is so uncertain, it's important to have a financial Plan B in place for when Plan A doesn't work out. I have income protection insurance, medical insurance, critical illness cover, and a pot of savings specifically set aside for taking care of the mortgage and day-to-day expenses: the investment pot alone would cover my expenses for up to 2 years. So the thought of not being able to work and earn money – for whatever reason – doesn't really worry me.
Whatever happens in life, I have a financial safety net. It's the same with retirement planning. I have built up a good pension so that when my working life ends, I know I will be financially secure.
You are also very passionate about the intersection of LGBTQ individuals, homelessness and mental ill-health. Can you share your perspectives here?
When I was 21 years old, I found myself homeless and severely depressed. The depression had been a factor since I was about 7, which is also when I first realised that I was gay. My depression and sexuality were linked: I grew up in a culture that regarded homosexuality as an illness or a disease. It's difficult as a child to come to terms with that. You question your self-worth every day. Is it any wonder so many gay people experience mental health issues?
Childhood can be traumatic when you're gay. Even now, a large number of young gay people are thrown on the streets when they tell their parents they’re gay. LGBT people make up a third of all homeless people, so there is a big overlap between being gay, homeless, and mentally unwell.
There are charities doing great work to support these people. I have had the pleasure of working with Albert Kennedy Trust, which specialises in this area. In my day, there was very little help available. Thankfully, that is now changing – but we still need to do more.
What advice would you give to someone who feels their financial position is contributing to poor mental health?
A lot of people simply don't have a good grasp of what they're doing with their finances. Not knowing, or not feeling in control, is what causes the money worries. So, take control. Make a plan! It's amazing how many people don't have a financial plan. Research conducted by life insurer Aegon showed that less than one in five Britons actually have any written financial plan of any kind.
Know precisely how much money you've got coming in and how much is going out. If too much is going out, and that's causing you to worry, then review what you're spending. Check your direct debits or standing orders and check whether you actually still need them. I did this recently and saved myself £200 per month in stuff I was paying for and not using.
I feel a lot better emotionally just knowing that I am no longer wasting money on gym membership. I also cut back on non-essentials like eating out. Eating at home is generally healthier, which is good for the mind, as well as much cheaper, which is good for the bank balance. Often in life, the cheaper option is healthier and much of what we spend our money on isn't good for our mental health. Curbing my rampant materialism was the best days' work I ever did.
Finally, check with your employer to make sure you're maxing out on financial benefits such as pension contributions, health insurance, or even things like free counselling sessions. A lot of companies now provide counselling to employees who feel stressed or anxious, including those worrying about money. The pandemic has made more people worry about money, but they aren't talking to professionals about how to work through those worries. Getting professional help for free – if it's available – is always a good idea.
National Debtline provides free, confidential and independent advice on dealing with debt problems in the UK. You can call them on 0808 808 4000 Monday to Friday, 9am to 8pm, and Saturday, 9:30am to 1pm. You can also get advice on debt and finances through the Citizen’s Advice Bureau – including help with debt and budgeting, debt solutions, pensions advice, and help with mortgage problems.