Nine in ten children ‘know about parents’ money worries’

The number of children worrying about money may be greater than parents realise, according to Halifax's annual Pocket Money Survey.

Nearly nine in ten (86 per cent) children aged eight to fifteen say their parents worry about money, which is pretty close to the actual amount – 92 per cent of parents admit to being concerned about their finances.  

However, the number of parents who appreciate the money anxieties of their children is much lower. While six in ten youngsters (58 per cent) admit to worrying about finances themselves, just over a third of adults (36 per cent) think this affects their child.

It is a shame children are being burdened by money troubles, but there is one silver lining – youngsters now have a greater appetite to learn more about how finances work. 

More children (59 per cent) said they would prefer to learn about finance from their parents than from any other source (21 per cent teachers and seven per cent internet), with savings (63 per cent) topping the list of things that they would like to learn about, followed by bank accounts (57 per cent) and credit cards (20 per cent).

Fortunately, 78 per cent of parents say they had the ability to teach their children about money. 

Richard Fearon, head of Halifax Savings, said: "It's encouraging that that so many parents feel confident in teaching their children about finance. As parents, we try and protect our children from the things that worry us but sometimes it can be more beneficial to talk through financial concerns as a way to help children better understand money and put things into perspective."

The research also revealed parents are more likely to borrow and lend money than their children are. A third (30 per cent) of adults borrow cash from other people and almost one in four (37 per cent) lend funds to others. 

Some 18 per cent of children borrow money, while 29 per cent are lenders.

Strangely, just of over a quarter of youngsters (28 per cent) said they entrust their parents with funds, but only eight per cent of parents admit to taking money from their children.

By Amy White