It has been found that 35% of 35–44 year olds receive regular financial aid from their parents, with 24% saying they could not afford their lifestyle if it weren’t for the cash injections and pointing to lack of education at an early age as a source of the problem.
The study, conducted by Guarantor Loan Comparison and featuring respondents from 147 educational institutions and UK companies, announced the results of the 18–44 year olds Financial Insights Survey.
Part of the survey asked young adults aged 18-20 which financial topics they struggle to understand – such as budgeting, credit scores, and mortgages – and how much of these they rely on parental support.
It found that 67% of 18-20 year old respondents felt that mortgages were the top priority for needing parental support, while credit scores and budgeting was chosen by 17% respectively from the same age group.
It seems that mum is definitely the word when it comes to educating on financial matters. Compared to the male parents that were surveyed, women were far more likely to talk to their adult children about a number of topics, including:
- Credit scores – 63% of mums said they would discuss this with their adult children, but only 27% of dads said the same
- Debt – 70% of mums were happy to talk about this, as compared to 59% of dads
- Budgeting – 78% of mums would talk budgets, opposed to 41% of dads
But when it comes to the financial education of the next generation, parents are united. The vast majority – 78% – said that they as parents were responsible for teaching children about money matters, although 73% also felt secondary schools had a significant role to play. In addition, 35% of parents believe that the government should be raising the levels of financial responsibility amongst children.