'Save, save, save', young parents are advised

Parents thinking of sending their children to university and supporting them as they get their feet on the housing and career ladders may need to put aside more money than they previously planned.

According to new research carried out by the Children's Mutual, the cost of supporting a child from the age of 18 to 30 now stands at £30,000.

The study found that 93 per cent of parents are now finding themselves supporting their children as they enter into adulthood, with two in three being forced to cut back on their own spending in order to do this.

Notably, a significant majority had not topped up their savings accounts in order to fund such extended support, with 70 per cent of those polled admitting that they underestimated the longer-term cost of having children.

Commenting, David White, chief executive at the Children's Mutual, said: "The families we questioned had just one message for parents whose children are still young, save, save, save!

"More than half agreed that if they'd have known when their child was born what they now know about the cost of having an adult child they would have saved more through the years."

At the same time, however, the Halifax has reported that one in ten under-16s are earning money and putting at least some into a savings account.

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2010-02-17 13:42:49 © Moneyextra.com