Goody goody grandparents
Forget the badly knitted jumpers and words of wisdom, today’s grannies and grandads are more likely to act as cash cows for their grandchildren than ever before.According to new research from Kidstart - a unique free shopping club which gives parents money back for their children’s savings when they shop - almost two thirds (64%) of grandparents give regular financial contributions to their grandchildren, from pocket money to helping them to get onto the property ladder.
At a time when the cost of bringing up a child is on the increase, today’s parents are increasingly relying on their own parents to act as an additional financial buffer for their children. The report asked 2,000 parents and grandparents how, if at all, they had made financial contributions towards their child or grandchild in the last 12 months.
How grandparents financially contribute;
More than one in three grandparents (34%) keep their grandchildren regularly kitted out with clothes and the same amount also ensure they have the latest toys.
Grandparents are on a par with parents when it comes to pocket money contributions - almost one in three grandparents (31%) give their grandchildren regular pocket money, which is almost as much as parents (37%).
Generous grandparents - one in three (30%) grannies and gramps over the age of 55 have contributed to their grandchild’s savings account in the last 12 months
Almost one in five (17%) grandparents have also either bought or helped to finance their grandchild’s first car and one in ten (10%) have assisted in funding their grandchild’s education
Nearly one in ten grandparents (9%) who want to avoid household chores have paid their grandchildren to dust and scrub around the house.
Almost one in ten (6%) nans and grandads have helped their grandchildren to get on the property ladder and two per cent have helped their grandkids realise a dream by financially assisting a gap year.
Grandparents divided by gender
Grandads appear to be more au fait with child savings account than grandmas - with 33% opting to make regular, protected payments into a Child Trust Fund – compared to 27% of grandmas
Grandmas are a soft touch when it comes to topping up their grandchild’s wardrobe or toy supply with 53% compared to 43% of granddads spoiling their grandchildren and making these purchases over the last year.
Regional grandparents
Kids living in Lancashire are more spoilt than any other region in the UK – with 82% of grandparents making regular financial donations to their grandchildren – compared to a lesser 69% of Tyne Tees gramps and grannies
Grandparents in Scotland see the most value in making regular contributions to a Child Trust Fund with 43% putting aside funds for when their grandchildren reach 18 years. This compares to only 22% of grandparents living in the North East.
Julian Robson, co-founder of KidStart comments; “By offering parents, grandparents and others the opportunity to save money from their everyday spend which will automatically be set aside for their child, KidStart is a simple option for people who want to do a little bit extra for a child they know.
Our research findings prove the important financial contribution and role of grandparents; however KidStart is open to everyone. As long as you have a child you would like to save for and you have the consent of the child’s parents, you can register on the website and get saving!.”
KidStart launched in April 2008 and has more than 250 online retailers including Mothercare, Laura Ashley and Dixons, as well as a growing number of direct and high street partners.
Each time you shop with KidStart, up to 20% of what you spend is automatically saved for your children. KidStart is open to anyone who has a child for whom they would like to save such as parents, grandparents of just friends. For more information and/or to register, please visit kidstart.co.uk.