Fifth of adults counting on inheritance but one in six parents rely on children for financial support

Many parents and their grown children are descending into struggles over inheritance, new research suggests.

One in five UK adults are relying on inheritance from their parents, but in an awkward twist, one in six 55-65 year olds are counting on financial support from their kids after they retire.

Meanwhile, one in ten adults are becoming annoyed and concerned that their parents are blowing their inheritance on holidays and other luxuries. These parents are sometimes known as ‘SKIers’ (Spending Kid’s Inheritance).

However, financial support can go both way it seems, with one in five 18-34s helping their parents money-wise, although half of those constantly struggle to do so.

The research also found that one in seven 55 to 65-year-olds are providing financial support to grown up children no longer in education.

These were the key findings from research published by life insurance and pensions company Sunlife after interviewing almost 3,000 UK adults aged between 18 and 70.

Living longer

It’s no secret that healthier living and better healthcare has resulted people living longer and right now, the typical life expectancy for men is 79 and 83 for women.

This means that those in their 40s and 50s who are ‘expecting’ an inheritance could be waiting a long time.

In 1999, the average Briton who inherited money was aged just under 53. These days, it is rapidly approaching 60, according to analysis from the Telegraph in 2014.

Tug of war

Ian Atkinson, the company’s head of brand, said this financial ‘tug of war’ is affecting many lives.

“We’re seeing an older generation with high home ownership spending their savings, investments and income on enjoying the best years of their life, knowing they can still leave their home as a legacy,” he commented.

“It’s not really fair to call them ‘SKIers’, it’s their money in the first place and perhaps it’s only right that, when they’re reaching an age of more free time and fewer responsibilities, they’re using that money to fulfil some lifelong ambitions.”

Mr Atkinson added that many adults are leaving their financial futures uncertain by assuming they will benefit from some sort of financial support from their families rather than making financial plans of their own.

By Amy White