The Mental Health Impact of Financial Harm in Veterans
Mental health struggles are not new to the veteran community. Post-traumatic stress, anxiety, depression and isolation have long been part of the conversation when it comes to life after service. But one factor is often overlooked — the devastating emotional impact of financial harm.
Whether it’s the result of pension mis-selling, investment scams, or poor advice received during the transition to civilian life, money problems can trigger a cascade of mental health issues. And unlike visible injuries, these wounds are harder to spot, tougher to treat and often shrouded in shame.
At Justice4Heroes, we’ve heard heartbreaking stories from veterans across the UK who trusted others with their money — only to be left with empty accounts and lingering self-doubt. For many, the financial loss was just the beginning. The real damage came later: sleepless nights, lost confidence, relationship breakdowns and in some tragic cases, thoughts of suicide.
This blog explores the deep connection between financial harm and mental health in the veteran community — and why this issue deserves urgent attention, support and change.
Financial Loss Is Not Just About the Money
When someone loses money through no fault of their own, the damage is not just financial. It affects identity, stability and self-worth — especially for those who took pride in providing for their families or planning for a secure retirement.
For veterans, who often value structure, discipline and loyalty, discovering they have been misled or mis-sold a financial product can be deeply destabilising.
We’ve spoken to veterans who say:
“I feel like a fool for trusting them.”
“I can’t believe I didn’t ask more questions.”
“My family trusted me to make the right decisions.”
“I can’t sleep — it’s always on my mind.”
The emotional fallout is real. And yet, most veterans suffer in silence, not wanting to admit they were deceived, or fearing that no one will understand.
A Slow Burn of Stress
Unlike traumatic events that cause sudden emotional reactions, financial harm often causes a slow, relentless stress that builds over months or years. The veteran may not even realise what is happening — only that they feel more anxious, more withdrawn, or more irritable.
Common symptoms include:
Constant worry about money or the future
Trouble concentrating or making decisions
Anger or irritability, especially about past choices
Avoidance of phone calls, letters or financial documents
Isolation or withdrawal from social situations
Difficulty sleeping or recurring nightmares
Feelings of worthlessness or shame
In some cases, these symptoms overlap with post-traumatic stress, making it even harder to separate emotional pain from financial distress.
When Money Loss Leads to Identity Loss
For many veterans, money represents more than purchasing power. It represents independence, dignity, and security — values that were hard-earned through years of service.
Losing a pension, a life savings pot, or a financial safety net can feel like losing everything you built. And because the damage is invisible, veterans are often told to “move on” or “not dwell on it.”
But telling someone who’s lost their retirement to “get over it” only deepens the shame. Instead of feeling supported, they retreat further. Instead of speaking up, they internalise blame.
Justice4Heroes has worked with veterans who stopped opening letters, who ignored calls from the bank, who pretended everything was fine while quietly breaking down. They didn’t want pity. They wanted understanding.
Relationships Also Suffer
Financial harm rarely affects one person alone. Partners, children, and close family members may feel the emotional ripple effects.
In some cases:
Arguments begin over money or mistrust
The veteran becomes withdrawn or short-tempered
Anxiety spreads throughout the household
Couples split under the pressure
It is not uncommon for spouses to feel confused or hurt when a veteran doesn’t want to talk about what happened. But silence is not the absence of pain. It is a symptom of it.
Veterans may shut down emotionally to protect those they love from disappointment or worry. They may feel that admitting the truth would make them seem weak.
But the strongest step they can take is speaking up.
Suicide and Despair
In the most heartbreaking cases, financial loss has been linked to veteran suicides.
Losing money, status, or trust can push someone who is already vulnerable to the edge. Add in mental health struggles, a lack of support and the burden of military pride — and the risk becomes even more serious.
The Office for Veterans’ Affairs and independent charities have long warned that financial stress is a significant factor in veteran wellbeing. But as a society, we are still not doing enough to provide pathways for redress, mental health support, and peer-led outreach.
That must change. Because no veteran should feel so alone, so ashamed or so trapped that suicide seems like the only option.
What Needs to Change
Justice4Heroes is calling for:
Greater awareness of the mental health impacts of financial harm in veterans
Easier access to trauma-informed legal and claims support
Stronger safeguards to prevent mis-selling to vulnerable ex-service personnel
Faster intervention when veterans report signs of financial distress
Increased mental health resources focused on financial trauma, not just PTSD
We also encourage friends, families and professionals working with veterans to treat financial complaints seriously. It may sound like a paperwork issue — but to the person affected, it may feel like the end of the road.
How You Can Support Someone Affected
If you know a veteran who has lost money through poor advice, scams or mis-selling, here’s how you can help:
Listen without judgment — let them talk, without blaming or offering quick fixes
Avoid phrases like “Why didn’t you check first?” — focus on what can be done now
Encourage them to get advice — offer to help find a regulated claims specialist or support service
Remind them they are not alone — others have been through this, and support is available
Look out for signs of mental strain — especially sleep problems, mood changes, or withdrawal
It’s not about solving everything in one conversation. It’s about making it safe to speak and showing that you care.
Real Recovery Starts with Recognition
One of the most powerful moments in any recovery journey is being told:
“You are not to blame.”
Veterans who have experienced financial harm often blame themselves for trusting the wrong person or not understanding the risks. But that’s exactly what scammers and bad advisers count on — the silence and self-blame that keeps their wrongdoing in the dark.
Justice4Heroes exists to break that silence. To expose the wrongdoing. And to give veterans a safe route toward justice, whether financial or emotional.
What Justice4Heroes Offers
We provide:
Free educational resources for veterans and their families
A direct connection to regulated claims professionals who specialise in military mis-selling and hearing loss
Information about your rights under the Financial Ombudsman Service and FSCS
A voice for forgotten veterans, especially those who served before 1987
Emotional support through storytelling, outreach, and community empowerment
We believe that recovery starts with truth. And truth starts with being heard.
Final Thoughts
If you are a veteran — or love someone who is — and you believe financial harm has taken a toll on mental health, now is the time to act.
Visit www.justice4heroes.org to learn more about support, claims help and how to speak with someone in confidence
Sign the petition calling for proper recognition and compensation for pre-1987 veterans at
https://petition.parliament.uk/petitions/715800
Your story is not over. Your voice matters. And you are not alone.
