Cost of raising a child increases to £218,000

The annual Cost a Child Report from protection and retirement specialist LV=, reveals the cost of raising a child from birth to their 21st birthday now totals a record £218,024. This equates to £10,382 a year, £865 a month or £28.44 a day.

The report shows the overall cost of raising a child has increased by 3.3% in the last year with education and childcare remaining the biggest expenditures, costing parents a massive £71,780 and £62,099 respectively. The cost of education, including school uniforms, after-school clubs, and university tuition fees, has experienced the biggest rise, with a 5% increase in spending over the past year.

However, some expenditure has decreased since last year as three-quarters of parents (76%) look at ways to cut back, with spending on hobbies and toys down 5%.

The overall cost of raising a child has increased by 55% since LV='s first Cost a Child Report in 2003.