One third of 35 to 44-year-olds still rely on the ‘Bank of Mum and Dad’ according to new research.
However, it is the youngest generation of adults who lean on financial help from their parents, with 55% of 18 to 24-year-olds saying they had received cash from their mother and father in the last 12 months, compared to 39% of 25 to 34-year-olds. Meanwhile one in five 45 to 54-year-olds have been given money by their parents.
This is no longer just for the bigger items such as house deposits or help with wedding costs, said bank NatWest who were behind the poll. While 18% of respondents said they were given cash towards their nuptials, 17% had been given help towards buying a house and 9% were given money towards renovations, the research found 18% receive money for everyday costs such as groceries, 13% do for meals out and 12% towards utility bills.
One third of 35 to 44-year-olds still rely on the ‘Bank of Mum and Dad’ according to new research.
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Image:
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In the past year alone, Brits have borrowed an average of £773 from their parents, with that figure rising to £1,322 for those living in London. The findings also highlighted that 81% of Brits believe young adults today face even tougher financial challenges than previous generations and that without the support of parents many might need to resort to other forms of borrowing.
Almost one in five, 19%, would consider taking out a loan if they needed support and could not rely on parents, while 17% would take out a credit card and 9% would make use of an overdraft. A NatWest spokesperson commented, “It’s fantastic that so many parents are in a position to take action to help their adult children, but it’s important that families have honest conversations about money.”
The Top 10 Things Funded by the Bank of Mum and Dad.
1. Wedding Costs: 18%
2. Groceries and household expenses: 18%
3. University Costs: 17%
4. First Home Deposits: 17%
5. Rent/Mortgage payments: 15%
6. Car Payments or Insurance: 15%
7. Paying for meals out: 13%
8. Utility bills (such as electricity, water and gas): 12%
9. Holidays: 12%
10. Home Renovations or Repairs: 9%