Almost a quarter of households believe their financial position has changed for the worse since the Covid-19 lockdown - and a third reckon it’s going to get tougher.

This is one of the alarming findings of an anonymous snapshot survey of just over 600 households conducted to investigate the economic impact of the pandemic.

The survey, carried out by the economic affairs division over seven days in July, also looked at how residents have responded to measures taken by their employers and the government in response to the health emergency.

The majority of respondents (77%) reported that their financial situation has stayed the same or even improved since mandatory social distancing was lifted on June 15.

This left a significant minority (23%) whose financial situation has changed for the worse.

Of these 40% reported that they’re just managing to make ends meet on their income, 23% said that they are having to draw on their savings and 10% admitted that they’re running into debt.

Taking these results together, 18% have seen their financial situation worsen and they are either only just managing to make ends meet or are having to supplement their income with savings or by incurring debt.

When asked how they expect their household finances to change as a result of Covid-19 over the next three months, 34% reported that they expect their situation to get worse, with 12% expecting it to get a lot worse.

This indicates a lack of confidence in the future health of the economy or concerns about long term or delayed economic effects of the outbreak.

By comparison, only 7% expect their financial situation to improve.

The survey data provides a mixed view of the state of consumer confidence, which is relatively strong in some areas - though still with some causes for concern - but relatively weak in others.

A significant proportion of respondents expected to spend less over the next three months on ’major purchases’ and ’home improvements and renovations’ (46% and 36% of the sample respectively). Some 71% said they had visited a café or restaurant for meal at least once since June 15.

A majority of respondents (69%) stated they are unworried by the prospect of returning to their usual workplace.

Of the 67 respondents (representing 11% of the sample) who expressed a specific source of worry, the three most common concerns were health and safety concerns, a worse work-life balance and a perception that they are less productive at their work place than when working remotely.

Other causes for concern include difficulty working around childcare.