UK Employees Front Nearly £6Bn in Work-Related Costs – £1Bn More Than the UK’s Total Overdraft Debt

Conferma, the global leader in virtual payment technology, today announces research finding that employees across the UK are increasingly footing the bill for business-related expenses with staff fronting almost £6 billion of work costs in the past year alone – almost £1 billion more than the UK’s total national overdraft debt. 

The findings, from Conferma’s latest ‘Invisible Bank Report’, show that more than three-quarters (74%) of employees believe that return-to-office (RTO) policies have directly increased the number of work purchases they’re expected to cover themselves – including travel, accommodation and meals.

Employees are now covering an average of £238 a month, or £2,856 annually – more than three times the UK’s average overdrawn bank balance of £709. This figure has risen sharply from £72 in 2019 – an increase of 231%, or 168% in real terms after inflation adjustment.

A growing financial gap

The data paints a picture of a workforce acting as a line of credit for their employers. Not only are employees spending more out of pocket, but one in five (20%) say they’ve had to borrow money from friends or family to cover business expenses. 

The costs are also proving to be unrecoverable in some cases, with the average employee losing £222 each year through delayed or missed reimbursements. Companies are taking an average of 2.5 weeks to repay expenses, according to the report.

“Employees aren’t choosing to lend their companies money. They’re forced to because corporate payment technologies are outdated and painful to use. This simply isn’t good enough,” Jason Lalor, CEO of Conferma added. 

The wider impact 

And the burden isn’t shared equally. Over two-thirds (68%) of all employees say these outdated payment processes have left them with personal cash flow problems, rising to 72% of 18-28 year-olds. More than two in three (68%%) of this group say they’ve had less money to spend on personal essentials as a result of waiting to be reimbursed. 

This financial pressure is now presenting a serious workforce issue. Over half of employees (53%) believe that turning down business travel would harm their career prospects, revealing a troubling trade-off between professional advancement and personal affordability. 

Concern is highest among 35-44 year-olds, with 58% fearing career setbacks if they decline work trips, and simultaneously 82% reporting increased out-of-pocket costs since RTO – above the 74% average. Typically in mid-career or management roles, this group is central to business delivery and team leadership. 

Some employees are even resorting to personal borrowing: one in five (20%) have had to rely on friends or family to cover business payments.

The operational impact is equally significant. Employees lose the equivalent of one working day each month managing and reconciling manual processes. More than half (53%) have avoided making a necessary purchase for work to avoid out-of-pocket costs, delaying decisions and disrupting day-to-day operations.

Shifting towards smarter payment solutions

As Lalor added: “Staff are spending thousands of pounds a year on work costs that businesses should be covering upfront. That’s before you count the time, stress and disruption involved. Virtual payments aren’t just a convenience – they’re a fundamental part of how modern businesses should operate.”

Adoption of virtual cards is rising, with more companies shifting from traditional reimbursement models to embedded payment technologies that offer better control, visibility, and protection for employees. By connecting payments directly to booking systems, virtual cards remove the need for personal spend entirely – easing cash flow issues and enabling faster, more accountable payment processes.

For more information and to download the full Invisible Bank report, visit: https://www.conferma.com/resources/the-nations-invisible-bank-uk-edition/