• Home >
  • UK property >
  • Bank of Mum and Dad worth £34 billion to their kids
Twitter Facebook RSS FEEDS

Bank of Mum and Dad worth £34 billion to their kids

Tuesday, 13 September 2011 2:45 PM

British parents have lent their adult kids £8.4 billion for mortgage or rental deposits and payments and another £3.5 billion for home improvements in the last year, according to new research by Sainsbury’s Life Insurance.

And that was just part of a £34 billion bill for the Bank of Mum and Dad over the last year with other another £1.6 billion going on tuition fees and student living expenses and £2.2 billion on paying of debts.

Parental help went to adult kids of all ages, with sums ranging from almost £8 billion to 18-24 year olds to £2.5 billion for those over 45. But more than half of the parents have no life insurance.

The research also found that daughters are at their most needy between 18 and 29 but sons in their 30s are more financially dependent on their parents.

Helen Williams, Head of Sainsbury's Life Insurance said: "It's a likely assumption that the need for life insurance lessens for parents as their children grow up, but a combination of rising university and living costs, a tough job market and a difficult climate for first- time buyers means children are staying, to some extent, financially dependent on their parents often well into adulthood.”

Want to be the first to know when we break a story? Follow @AboutProperty on Twitter and subscribe to our free weekly newsletter.
 

Related stories

Parents are increasingly put upon by their children's financial needs. Image:Thinkstock

Bank of Mum and Dad now worth £39,000

Parents prepared to dig deep to help their children on to the property ladder, says PrimeLocation.com.

 Barratt homes

Loan to help parents get kids on property ladder

Homeowners are being offered up to £50,000 to help buy their children's first home - but is it enough to save Britain's struggling housing market?
First-time buyers receive the keys to their property

New 95% mortgage launched for first-time buyers

Principality’s Assisted First-Time Buyer deal allows families to use their savings to secure mortgages for relatives.

 Mews properties in London

Mortgages cost less than renting

The average monthly costs associated with a first-time buyer taking ownership of a two-bedroom flat totaled £567 in July.
Row of terraced houses in London

How to shave 29 per cent off your mortgage

One company reckons mortgage-holders could save themselves £1,028 in interest by doing this...

 Average deposit has risen twice as fast as house prices and almost four times as fast as incomes, says First Direct. Image: Thinkstock

Housing deposits rise tenfold in 20 years

Buyers hit as average deposit rises twice as fast as house prices and almost four times as fast as incomes, says First Direct.

First-time buyers viewing a property

No deposit required for new 100 per cent mortgage

Could the first 100 per cent mortgage of recent times be a sign that the banks are suffering amnesia? Aldermore reckons not.

 Mortgage payment reminder

Mortgage repayments most affordable in 12 years

Eight of the ten areas to have experienced the biggest improvement in affordability are in Northern Ireland.
Row of houses in London

What to do if you're struggling with the mortgage

Citizens Advice has published eight pertinent tips for those worried about paying the mortgage.

 Tottenham Carpetright was burned down in the riots

Riot fire victims told to continue paying mortgage

Some banks have refused to let people whose homes were burned to the ground stop paying their mortgage, it has been reported.

Search property

Headlines

Directory

Alaris

Alaris Logo
Alaris specialise in quality Bathrooms and Kitchens along with many other unique products for your home. The range of kitchens, kitchen worktops and bathrooms is extensive and the highest quality so you are sure to find what you want. New bathroom furniture, bathroom suites, taps, showers and cabinets are added regularly.

Bathrooms365

Bathrooms365 Logo
Bathroom365 supply all areas of your new bathroom - leading-edge designed bathroom suites, stylish bathroom taps and showers, all styles and forms of shower enclosures and a vast collection of bathroom furniture.

Fitmykitchen

Fitmykitchen Logo
Fitmykitchen are specialist suppliers of kitchen appliances, sink taps, waste bins and furniture. So whatever you want from kitchen sink taps to waste bins look no further than fitmykitchen, UK, the specialist suppliers of kitchen appliances, stainless steel sink taps, waste bins and kitchen furniture.

MyStampDuty

MyStampDuty Logo
We help people buying property all over the UK to minimise Stamp Duty Land Tax on residential and commercial property. If you are looking at purchasing a new home or business premises over £500,000, contact us today by completing the form on the right

Oak Furniture Land

Oak Furniture Land Logo
For hardwood furniture, including Solid Oak, Mango, Mahogany, Sheesham, Acacia, Ash and Birch, look no further than Oak Furniture Land.

Rated People

Rated People Logo
Whatever type of home improvement or garden remodelling project you have, Rated People can help you to identify the right tradesmen for the job in a way that is quick, easy, convenient and, as it is based on real-life recommendations, trustworthy.

Residential Land

Residential Land Logo
If you are looking for short or long term rentals in Central London, Residential Land have a portfolio of over 1200 flats and houses in the best postcodes across the Capital.

Simply Bedrooms

Simply Bedrooms Logo
Simply Bedrooms, a part of Sleepwell Bedrooms Ltd, supplying quality beds, wardrobes, sliding door wardrobes and bedroom furniture at low prices and great service, London and Home Counties Specialists.

Door Handles UK

Door Handles UK Logo
Door Handles UK is the UK's largest online range of Door Handle accessories, Door Hinges, Locks and Latches and so much more and all at genuine internet prices. We have a wide range of Chrome, Brass and Glass Crystal Mortice door knobs in both traditional and contemporary designs, whatever your taste and budget you will find a design to suit.

Woodlands Furniture

Woodlands Furniture Logo
We are an established family business situated in rural Herefordshire specialising in beautiful handcrafted classic reproduction furniture. Our comprehensive ranges are readily available from stock.

WowBBQ

WowBBQ Logo
Welcome to the World of Weber. We are the largest independent online Weber BBQ retailer in the United Kingdom. WOWbbq.co.uk is a Weber Partner Store and can give you the best advice for all your Weber BBQ needs.

Join our directory aboutproperty.co.uk

Twitter

Join the conversation at #aboutproperty

Directory articles

A guide to finding the right kitchen sink

When redesigning a kitchen or giving the room a makeover, it is important not to forget about the less obvious aspects of the space. Kitchen sinks are an essential fitting, but often overlooked, despite the fact there is a wide choice of styles available.

Useful tips to help find a flat in London

Looking for flats in London can be a frustrating process, given the capital's size, demand for rental accommodation and varying prices. It is vital, therefore, that you do plenty of research and act quickly to ensure you get the place that you want.

What do you need to consider when buying a mattress?

If you looking for a new mattress, you need to get the decision right, as getting it wrong could impact on your overall health and wellbeing. As well as comfort and size, you also need to consider other points, such as any health issues you may have.