A third of parents in Britain (32 per cent) are secret piggy bank raiders, taking money from their children’s savings accounts to pay for something for themselves, according to new research from Santander.
An unexpected bill was the most common reason (44 per cent) for raiding their children’s savings, but many also took cash to cover the cost of living expenses, to buy a new car, go on holiday or to make home improvements.
While 49 per cent of piggy bank raiders paid the money back as soon as they could, 19 per cent said they intended to pay it back but didn’t, and 15 per cent admitted to having no intention of paying the money back.
The study also reveals that over a third of parents (39 per cent) in Britain who set up a savings account for their children admit they have stopped putting money into it. Of those parents, 73 per cent say they can no longer afford to and 15 per cent have just got out of the habit.
A spokesman for Santander, said: “Regularly putting money away, however little, and building a savings habit has a hugely beneficial long-term impact. Our new cash Junior ISA is a great way to build a tax-free savings pot to help save for a child’s future.”
Of those parents surveyed who have children under the age of 18, half (49 per cent) have set up a normal savings account for them, a third (36 per cent) have set up a Child Trust Fund, and one in five (20 per cent) have set up a Junior ISA. The average amount parents put away for their children is £23 per month. One in five parents (19 per cent) have never set up any kind of savings for their children.
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