Half of British families are dependent on two incomes

Half of British parents with children under the age of 18 are reliant on two incomes to maintain their standard of living.

A study by Post Office L…

Half of British parents with children under the age of 18 are reliant on two incomes to maintain their standard of living.

A study by Post Office Life Insurance found for many families, the idea of a stay-home parent is now a thing of the past, as they struggle to meet their financial obligations. The survey also revealed four per cent of respondents needed three wage packets to stay afloat.

Worryingly, the report suggested Britons are not prepared for the sudden loss of an income, with 11 per cent of those questioned claimed they would have to sell their house in order to cope, while 15 per cent stated they would look to credit cards and loans to maintain their current standard of living. Additionally, 11 per cent would seek the help of family and friends to bail them out and 19 per cent admitted they had no back-up plan whatsoever.

Research also showed 16 per cent of parents in the UK are having to support adult children, while four per cent have a parent or in-law dependent on their income as well. The situation does not appear to get better later in life either, with 32 per cent of respondents in their 50s continuing to pay for their grown-up offspring, while ten per cent in their 60s are having to do the same thing. 

Paul Havenhand, head of insurance at Post Office, commented: "With youth unemployment still at a rate of 7.1 per cent and the high cost of living continuing to impact UK families, it is no wonder many people have sought the financial refuse of their generous parents. While the UK economy is improving on paper, these benefits may not yet have been discernible to the average family."

Meanwhile, the report found the tendency to start a family later in life also appears to be taking its toll on the country's finances, with 32 per cent of respondents finding themselves supporting children under the age of 18 when they are in their 50s. 

By James Francis

Tell others:

shortlink