Financial hardship may have consequences that extend far beyond a person’s standard of living. New research from University College London (UCL) suggests that prolonged financial insecurity during adulthood is associated with poorer cognitive performance and signs of reduced brain health later in life.
The study, published in Innovation in Aging, examined data from 2,759 people in Britain who have been followed for decades as part of the MRC National Survey of Health and Development, one of the world’s longest-running studies of a single generation.
Persistent financial struggles linked to cognitive decline
Researchers found that people who spent years on persistently low incomes or experienced continuing financial difficulties performed worse on cognitive tests at age 53.
The findings were also reflected in brain imaging conducted later in life. Among a smaller group who underwent MRI scans between the ages of 69 and 71, persistent low income was associated with indicators of poorer brain health, including greater brain atrophy.
The association remained even after researchers accounted for several factors known to influence cognitive health, including childhood cognitive ability, educational attainment and socioeconomic disadvantage during early life.
The duration of financial hardship may matter most
One of the study’s key findings is that long-term exposure to financial hardship appears to be more important than experiencing a single period of economic difficulty.
The researchers tracked household income at ages 26, 43 and 53. Participants were classified as having persistently low income if they were among the lowest 20% of the group at least twice across those three assessments. Around 16% of the participants fell into this category.
The researchers also looked at everyday financial strain, asking whether people struggled to make ends meet or pay their bills. Approximately 12% experienced persistent financial hardship between the ages of 36 and 53.
Cognitive assessments focused mainly on verbal memory and processing speed, while MRI scans were used to identify structural indicators of brain health, including brain shrinkage and changes in the size of the brain’s ventricles.
Why could financial stress affect the brain?
Scientists are considering several possible explanations for the connection.
Chronic financial stress may keep the body in a prolonged state of psychological strain. Long-term stress has been associated with inflammation and biological processes that may contribute to accelerated brain aging.
Another possible factor is cognitive load. Constantly worrying about bills, income and basic financial needs can consume significant mental resources, leaving less capacity for other cognitive tasks.
The relationship between financial hardship and poorer brain health was particularly pronounced among men, people who experienced socioeconomic disadvantage during childhood and carriers of the APOE-e4 genetic variant, which is associated with an increased risk of Alzheimer’s disease.
The findings show an association, not proof of cause
The researchers stress that the study does not establish a direct cause-and-effect relationship between poverty and brain aging.
Instead, the results point to a long-term association between persistent financial insecurity and poorer cognitive and structural brain health. Other biological, behavioral and social factors may also contribute to the relationship.
Nevertheless, the findings highlight a broader issue: socioeconomic conditions can potentially influence health across the entire lifespan.
Financial hardship may therefore leave more than an economic footprint. When insecurity persists for decades, the cumulative effects of chronic stress and limited resources could potentially become visible in the brain much later in life.