Despite the economic pressures faced by many families, a new study shows that most British parents have maintained their commitment to pocket money. Children in Glasgow receive the most, being treated to an average of £4.87 a week – which equates to an annual pot of £253.24.
Children here receive pocket money as early as age 4 – which means the savvy savers among them could have piggy banks brimming with a total of £3,545.36 by the time they are 18.
In contrast, children in Southampton get £2.69 a week, or £139.88 over 12 months. Little ones residing in the maritime town start getting pocket money from age 4, equating to a £1958.32 pocket money total to age 18 – but this is £1,587 less than that received by children in Glasgow.
The poll of 3,000 UK parents1, conducted by Engage Mutual, shows 68 per cent give their children pocket money and that most British parents haven’t reduced the amount they give, despite the credit crunch. Only seven per cent stated they are giving less than last year.
On average mums and dads give £4.08 a week pocket money.
The survey shows the second luckiest children live in Newcastle, where they receive £4.67 a week or £242.84 a year.
In third place comes Cardiff – parents here treat their offspring to £4.65 a week, a yearly total of £241.80.
Sixty seven per cent of children have to work for their weekly money – doing chores such as making their bed, vacuuming and dusting the house, or tidying their bedroom.
Most children (65 per cent) save some of their pocket money.
Karl Elliott at Engage Mutual said:
“Whether it is small but frequent additions to piggy banks, or regular, modest contributions to their child trust fund, parents play a key role in helping children develop positive attitudes towards managing money and building a nest egg for the future.”
“From simple budgeting, to the concept of work and reward, weekly pocket money can be a good springboard for children to learn some important life skills.”
The poll shows that children living in Portsmouth, Coventry and Birmingham all receive an average of more than £4.00 a week pocket money. But not all parents offer their children a wealth of cash every week.
Children in Swansea get £3.04 a week and those living in York get just three pence more at £3.07.
Karl Elliott continued:
”Parents see pocket money both as an opportunity to encourage and reward good behaviour in their children, and a means of penalising other behaviours by withholding the weekly financial contribution.”
“The majority of parents surveyed tell us that they watch what their children are spending their pocket money on, and encouragingly, in addition to providing regular pocket money, 74 per cent of parents have also set up a separate savings account for their children”
For a minority of parents (seven per cent) who are giving less pocket money than last year, the main reasons given were: times being hard; rising mortgage payments; and a decision to be more financially cautious.
Kids get the most pocket money in:
| |
|
AVERAGE
PER WEEK
(£)
|
AVERAGE
PER YEAR
(£)
|
| 1. |
Glasgow |
4.87 |
253.24 |
| 2. |
Newcastle |
4.67 |
242.84 |
| 3. |
Cardiff |
4.65 |
241.80 |
| 4. |
Portsmouth |
4.42 |
229.84 |
| 5. |
Coventry |
4.41 |
229.32 |
| 6. |
Birmingham |
4.38 |
227.76 |
| 7. |
Leeds |
4.30 |
223.60 |
| 8. |
Aberdeen |
4.25 |
221.00 |
| 9. |
Chelmsford |
4.16 |
216.32 |
| 10. |
Wolverhampton |
4.13 |
214.76 |
Kids get the least pocket money in:
| |
|
AVERAGE
PER WEEK
(£)
|
AVERAGE
PER YEAR
(£)
|
| 1. |
Southampton |
2.69 |
139.88 |
| 2. |
Swansea |
3.04 |
158.08 |
| 3. |
York |
3.07 |
159.64 |
| 4. |
Norwich |
3.16 |
164.32 |
| 5. |
Oxford |
3.24 |
168.48 |
| 6. |
Brighton |
3.25 |
169.00 |
| 7. |
Bristol |
3.29 |
171.08 |
| 8. |
Plymouth |
3.32 |
172.64 |
| 9. |
Worcester |
3.38 |
175.76 |
| 10. |
Cambridge |
3.48 |
180.96 |
ENDS
1 Survey conducted for Engage Mutual by OnePoll in March 2010 with 3,000 parents across Great Britain.
For further information please contact:
Kathryn McLaughlin, Engage Mutual Assurance
01423 855245
mobile: 07794 283788
Kathryn.McLaughlin@engagemutual.com
NOTES TO EDITORS
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Engage Mutual Assurance is a trading name of Homeowners Friendly Society Ltd (HFSL), Registered and incorporated under the Friendly Societies Act 1992, Registered number 964F and its wholly-owned subsidiaries, Engage Mutual Funds Limited (eMFL) and Engage Mutual Insurance Ltd (eMIL). Both HFSL and eMFL are authorised and regulated by the Financial Services Authority (FSA). HFSL’s Register number is 110072, eMFL’s Register number is 181487. eMIL is authorised to conduct general insurance business by the Financial Services Commission Gibraltar and is regulated by the Financial Services Authority for the conduct of UK business. eMIL’s FSA Register No is 485680. You can check this on the FSA’s Register by visiting the FSA website www.fsa.gov.uk/ or by contacting the FSA on 0845 606 1234.
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Engage Mutual is one of the larger UK mutuals providing simple, value for money savings, protection and investment products. It currently helps over 438,000 customers of all ages to protect, preserve or enhance their welfare, with some of the most straightforward products on the market. Engage Mutual prides itself on being a family-oriented, modern mutual, providing products that help enable households of all kinds to plan their finances to help meet their future needs. More information on Engage Mutual is available at www.engagemutual.com
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Engage Mutual supports mutuality, friendly societies and the regional financial services industry through links with the Association of Financial Mutuals, Mutuo and Leeds Financial Services Initiative.
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Engage Mutual Funds Limited (EMFL) is a provider of the Child Trust Fund direct and in partnership with organisations including Yorkshire Building Society.
