insight
Evidence type: Insight i
Qualitative research is more exploratory, and uses a range of methods like interviews, focus groups and observation to gain a deeper understanding about specific issues - such as people’s experiences, behaviours and attitudes.
Quantitative research uses statistical or numerical analysis of survey data to answer questions about how much, how many, how often or to what extent particular characteristics are seen in a population. It is often used to look at changes over time and can identify relationships between characteristics like people’s attitudes and behaviours.
Throughout the Covid-19 pandemic, technology has played a vital role in keeping people connected; allowing them to work remotely and helping them to access important information. While a large number of people in the UK have shifted their work and other commitments online, this is not possible for a large proportion of the population. An estimated nine million people in the UK are unable to use the internet without assistance, while around 6.5 million people cannot open apps. Of those who are online many do not use it for their ‘day-to-day’ needs. For example, two-thirds (66%) have not used the internet or digital apps and tools to manage their health.
This 2020 report represents the fifth annual edition of the Lloyds Bank UK Consumer Digital Index. It uses three datasets to build a comprehensive view of digital engagement in the United Kingdom.
About one-in-six people in the UK (16%) are unable to perform basic digital tasks, such as turning on a device, connecting to wi-fi, or opening an app.
If current internet usage levels continue to grow at the same rate, it is estimated that by 2030 a quarter of the UK population will still have a very low level of digital engagement.
Age remains the biggest single indicator of whether an individual is online or not. The behavioural data shows that only 7% of the over-70s are likely to have the digital capability to shop and manage their money online.
It is often the most vulnerable and disadvantaged sections of society who are the most likely to be digitally excluded.
For example, people with an annual household income of £50,000+ are 40% more likely to have basic digital skills that those earning less than £17,499; while four-in-ten benefit claimants have very low digital engagement.
Motivation is one of the key barriers to increasing digital engagement, with over a third (36%) of those who are offline saying that the internet does not interest them.
The least digitally engaged groups are at a real financial disadvantage. They are more likely to be paying higher household bills, spending an average of £348 more than other groups on utilities every year.
There are major benefits and advantages associated with high levels of digital engagement, including:
Digital capability can also help people to progress in their professional lives, with 71% of those classed as ‘highly digital’ saying that the internet has helped them to improve their future work prospects.
It is estimated that over half (52%) of people in the UK workforce lack the necessary digital skills in the workplace, meaning that both they and their employer are missing out as a result. Since the previous Index in 2019, 100,000 more people have improved their digital skills at work, though it is estimated that there are still 1.8 million people in the workforce with just the most basic of digital skills.
Methodological strengths/weaknesses: The analysis appears sound and the findings are tested for statistical significance, so we can have a fair degree of confidence in the robustness of the findings.
Generalisability/ transferability: This report is of significance to anyone with an interest in the digital capabilities of the UK population.
Relevance: While the research is based on banking customers in the UK, some of the learning points may be relevant to those in countries with similar levels of digital literacy.
