Families finances ‘at risk from ageing population’

A generation of people could be put under financial pressure due to supporting both their children and elderly relatives, new research has suggested.

Aviva’s Cost of Family Care study shows that 71 per cent of British adults are concerned that their own financial circumstances will be strained by parents’ inability to sustain themselves.

Head of pension propositions for UK life at the organisation Paul Goodwin said planning for the future is one area where it is critical to get advice.

“Almost half (45 per cent) of adults told us they have no idea how their parents plan to fund their retirement,” he remarked.

However, 62 per cent refrained from asking about family finances due to feeling uncomfortable, Mr Goodwin added.

A further 11 per cent said they would be willing to invest their own savings to provide stability to their parents when they retire.

This follows a recent statement by pensions analyst at Hargreaves Lansdown Laith Khalaf that retirees face a “miserable time” if they neglect to save.

By Francis Finch