Some parents took an an extra job or postponed their retirement to support their children
Parents give their children close to £3,000-per-year to help their grown-up children with the cost of living.
According to a study by Equity Release Supermarket of 1,000 parents, with children who had left home, 75% of them continued to give financial support for their children.
Many take on an extra job, begin working again, or even postpone their retirement in order to provide the necessary support.
Nearly 25% of parents assist their children’s studies, while 22% have a desire to get their children onto the housing ladder.
Parents specifically stepped in this year as the pandemic caused their children to struggle financially.
Mark Gregory, founder and CEO at Equity Release Supermarket, which commissioned the study, said: “Despite children growing up and moving out of the family home to live their own lives, many still have to rely on their parents or grandparents for financial support.”
“As a result, parents often sacrifice their own savings, equity, or later life plans in order to provide for their children, whether that be general lifestyle items, helping with a new house deposit, or indeed purchasing their first home.”
“In fact our study found that 42 per cent of parents admitted funding their children is a habit they would like to break in order to improve their own bank balance.
“However there are potential options available that would allow adults to support their children whilst also fulfilling their own financial wishes, which is where equity release could come into play as one potential solution.”