Parents ‘increasing kids’ pocket money’

The current financial crisis is resulting in parents giving their children more pocket money, it has emerged.

Research by NatWest Adapt has found that parents are giving their offspring the cash to help them learn about money management skills, which could help if they wish to remain debt free later in life.

The data found that young parents are the most generous, with one in ten of those in their early thirties stating they provide up to £300 per month for their sons and daughters to manage effectively.

However, the number of items children are expected to pay for is also increasing, with 60 per cent of parents expecting them to pay their own travel fares from the allowance.

Rather than limit the money given to their children, parents are actually increasing it in order to help them develop the money management skills that young adults will need, head of youth banking at Natwest Mark Worthington explained.

Many offspring over 25 are still receiving financial aid form their parents, an Engage Mutual study found recently.

By Tom Musk