December 21st, 2020 | Andrew Hagger | News

New research from Aldermore bank, asking 2,000 UK adults about their savings habits, reveals that the Covid-19 pandemic has enabled Brits working from home to save an average of £110 per week. This change in routine has significantly changed people’s weekly spending and indicates that Brits will be more savings savvy in the future.

Every little helps

Brits are finding that even small savings gained by working from home are adding up quickly, and over time are providing big saving rewards. The biggest savings include on average £29 per week from not commuting to and from work, £20 on not spending as much on breakfasts and lunches, £22 on not socialising with work colleagues in person, £18 by avoiding takeaway coffees, and £22 on not going out on weekdays after work. All these savings accumulate and total on average £2,860 over a period of six months working from home.

The saving habits adopted due to the Covid-19 pandemic are likely to continue beyond this period and turn into better long-term spending routines. Almost half (47%) of workers plan on cutting down on past expenses, such as work lunches, takeaway coffees or colleague drinks, when things return more to normal. In addition, almost two thirds (68%) of Brits say that in the future they will continue to implement cost cutting techniques learned during lockdown to save money. The most mentioned savings methods were; shopping less frequently for non-essentials (33%), spending less on socialising (29%) and reducing the cost of the weekly shop (22%).

Savings by workers contributed significantly to the growth in UK house deposits, which rose by a record £88bn between March and September 2020, up 183% from £31bn during the same period last year.

Ewan Edwards, director of savings at Aldermore, said: “This has been undoubtedly a difficult year with many challenges being faced, but one positive to take from 2020 is it has given some people the opportunity to reflect on how to improve their personal finances. Our data shows how little savings here and there can in the long term add up to big rewards, and many Brits are now seeing the benefits of better saving routines.

“It’s important to ensure this spare cash is working for you as best as possible, and not just lying dormant in a current account. As we look towards returning to more normality in the future, this is a good opportunity to find a savings account which suits your personal 2021 savings goals and make all those little and big savings work harder for you.”

December 16th, 2020 | Andrew Hagger | News

New research from Direct Line Life Insurance reveals that in total, parents of under 18s and their children have received £12 billion in financial support from grandparents since the pandemic began in March. This equates to receiving £2,821 between March and November from the bank of Gran and Grandad.

Before Covid-19, grandparents were giving their children and grandchildren £712.80 on average in combined support every year, meaning over the last eight months alone grandparents have forked out an extra £2,108 to help the younger generations in their family.

The financial impacts of the pandemic have affected millions of families, with a quarter of Britain’s parents of under 18s  (4.3 million) having to ask their own parents for financial support as a direct result of Covid-19. The most common reason for this was due to parents earning a lower salary because of reduced working hours, with 1.6 million parents (38 per cent) naming this as a factor. Nearly 1.2 million parents (27 per cent) said a reduced salary due to a pay cut was a big contributor and 1.1 million (25 per cent) said being put on furlough was the reason.

The study shows that help with essential food items is the main expense grandparents have been helping out with, giving £2.2 billion (£515 per family) since March. A further £2.2 billion (£507) was given for buying children presents and £1.9 billion (£454) for additional childcare items such as school books.

Financial support given by grandparents

Source: Direct Line Life Insurance 2020 Line Life Insurance 2020

Grandparents have offered more than just financial support this year, with 8 million parents of under 18s (47 per cent) having asked for some form of non-financial help from their own parents since the pandemic started. In terms of care, 3.3 million grandparents (20 per cent) were asked to look after their grandchildren. A further 1.7 million (10 per cent) were asked to actually move in to help care for their grandchildren and 1.3 million (seven per cent) were asked if their children and grandchildren could move in with them. Offering emotional support to their children (2.8 million or 17 per cent), emotional support to their grandchildren (2.3 million or 13 per cent) and running errands (2.2 million or 13 per cent) are also common ways grandparents have been helping out throughout the pandemic.

This festive period, parents will be looking for ways to make Christmas as normal as possible for their children. Over 3.8 million parents of under 18s (22 per cent) say they are giving up luxury items to ensure they can buy presents for their children this Christmas. However, 3.5 million (20 per cent) are worried that they won’t be able to afford any presents this year, while 3.1 million (18 per cent) are planning on buying less. The bank of Gran and Grandad is also set to come into use with 2.1 million parents (12 per cent) planning on borrowing money from their parents this year to buy presents. An additional 1.8 million (11 per cent) of these parents are intending to go without essentials in order to afford their children’s Christmas presents.

Chloe Couper, Business Manager at Direct Line Life Insurance, commented: “The impact of the pandemic has affected every family across the country. With people experiencing pay cuts, redundancies and being put on furlough, it is not surprising that many parents have been seeking financial help. Nevertheless, the fact that grandparents have provided a huge £12 billion in financial support to their families since March shows the true scale of the financial difficulties many parents are currently experiencing.

“This year has showed us the importance of having funds saved for unpredictable times. Many people will now be thinking about the future and how they would provide for their family if anything was to happen to them or the family members helping them emotionally and financially. While not always the easiest thing to think about, making sure you have a life insurance policy can help to provide this peace of mind.”

December 9th, 2020 | Andrew Hagger | News

The partnership between Tesco Bank and MoneyGram International, Inc., a global leader in cross-border P2P payments and money transfers, has been further enhanced by the launch of a new, simplified pricing structure for international money transfers.  This is exclusively available in Tesco stores; delivering value to Tesco shoppers and enabling them to quickly and easily send money to loved ones.

The new pricing structure ensures great value on every transaction and offers customers the convenience of transferring money overseas from over 900 Tesco stores to over 200 countries and territories while doing their weekly shop.  Customers will pay a fixed fee based on the value of the transaction, regardless of where the money is being sent.

Customers can also enjoy rewards by collecting 50 Tesco Clubcard Points every time they send £50 or more with MoneyGram in Tesco stores*.

“We are continually evolving our products and propositions to ensure they are more closely aligned to the needs of Tesco shoppers,” said Sigga Sigurdardottir, Chief Customer Officer at Tesco Bank.

“We wanted to provide a cost-effective solution for shoppers who send money abroad on a regular basis, or in times of emergency. The simplified pricing structure offers greater transparency and better value for customers.”

“Delivering the industry’s best customer experience is our company’s top strategic priority, and we’re excited to launch yet another enhancement with Tesco to better serve its incredibly diverse customer base,” said Richard Meredith, Head of Key Partnership UK. “As our consumer-led digital transformation progresses, consumers increasingly value the ease, affordability, and convenience of our services, and we’re excited about how this initiative will continue to drive our positive momentum in the market.”

This announcement is the latest enhancement Tesco Bank has introduced to its international money transfer service. A recently announced online platform allows MoneyGram and Tesco customers to set up transactions online and then pay by cash or card at Tesco stores.

*Applies to every send transaction of £50 or more (including the fee). Show your Clubcard at point of payment. The Clubcard must be in your name and the Clubcard points will be added to your Clubcard Account

December 9th, 2020 | Andrew Hagger | News

A Christmas stocking is the quintessential festive gift and new research from American Express reveals people gifting stockings this year are set to spend an average of £45 on stocking fillers. With over a third (37%) of Brits planning to buy stocking fillers for loved ones this year, this equates to a £873 million spend across the nation on these traditional festive gifts.

Those planning to adorn mantelpieces and bed posts with stockings will gift an average of four stockings each. Nearly three in five (57%) will buy a stocking for their children, 35% will buy for a partner and one in five will buy for a parent (20%).

Shop Small

In the spirit of community, nearly a third of Santa’s little helpers (32%) will buy their stocking fillers from local independent stores, and over a half (54%) say it’s because they want to support these shops in this challenging year. Nearly two in five (37%) want to find gifts people won’t have seen elsewhere, and nearly a third (32%) enjoy browsing for inspiration.

Smart shoppers can earn up to £50 in statement credits with the American Express Shop Small offer when they support their local businesses. The offer gives Cardmembers a £5 statement credit when they spend £10 or more in-store at participating businesses. The offer requires enrolment via the Amex app and is valid once per participating location, up to 10 times, until 20 December 2020. View and search for participating UK Shop Small locations by visiting the Shop Small Map.

The feel good factor

Over a quarter (26%) of shoppers will give a stocking for the first time this year. It appears this gift appeals to the savvy consumer, with 20% choosing stockings because they can give smaller, lower cost presents to more people.

Nearly half of shoppers (46%) choose stockings because they are traditional gift, whereas 29% like the ‘feel good’ factor of giving.

Top tips, whether you’re looking to splash out or be savvy with your stocking fillers:

1. Gifts don’t have to cost the earth – a quarter of Christmas elves (25%) plan to be thrifty and use a stocking they already have. When it comes to gifts, think about giving ‘free’ gifts, like cooking your partner’s favourite meal or offering to do a week of babysitting for your sister.
2. DIY –13% of our gifters will get crafty and make their own stocking fillers. Check out your local craft store for fun festive materials, or find online recipes for edible treats – from gingerbread fudge to peppermint creams.
3. Support your local retailers – you can find lovely gifts in places you wouldn’t necessarily expect, visit your newsagent for a kid’s magazine, local café for a bag of beans for the coffee lover in your life, your chemist for bubble bath or perfume and your local deli for tins and jars to treat your favourite foodie.
4. Good things come in small packages – stockings appeal because you can gift a variety of small, unique presents to loved ones. Children enjoy trying to guess what they will get by the shape and size of the stocking. Play a game together on Christmas Eve to see who can guess the most correctly – winner gets a chocolate coin!
5. Offers and rewards – as well as the American Express Shop Small Offer, where you can earn a £5 statement credit when you spend £10 or more at participating small businesses, make sure you use a credit card that earns cashback, rewards or points for your spend. Every purchase can count towards something else – a treat for yourself in the new year, or even next year’s Christmas presents!

December 1st, 2020 | Andrew Hagger | News

With an unpredictable festive season upon us, new research has revealed that 2020 is shaping up to give Brits one final, unexpected gift this Christmas: debt.

The research from Tymit, the UK’s first instalment-only credit card, revealed that one in four celebrators (25%) are feeling the pressure to make this Christmas the best ever after a year dominated by the pandemic, with 21% set to spend extra to make this a reality. But with Covid-19 significantly depleting Britain’s savings – 30% have saved less this year and 18% haven’t saved at all – Tymit is urging caution on how the festivities are funded.

According to the research, a worrying two in five celebrators (41%) don’t set themselves a Christmas budget. For those that do, the vast majority are set to go over them (90%), despite only 24% realising ahead of time that they will. When analysing respondents’ pledged versus predicted spend, the research forecasts over £5.8bn of unexpected expenses for Brits this Covid Christmas, which could send them into the red. 

The last-minute nature and uncertainty around Christmas this year has added to budgeting dilemmas, with almost half (47%) of respondents putting off purchasing until Christmas restrictions were clarified by the government last week. And that’s not the only thing throwing budgets to the wind: three in ten have had to change their long held festive plans following the rule of three households announcement, with 17% having to step up unexpectedly to host.

First time hosts face additional costs

According to Tymit’s research, 15% of those that are hosting last minute this year will be doing so for the first time, amounting to a staggering 1.3m Brits. But, while the average spend of hosting is £427, first-timers will have to dig a little deeper into their pockets, as 70% of seasoned hosts admitted that their first time hosting Christmas was their most expensive ever. Buying too much food is the expense that catches out the most (31%) first time hosts, as well as choosing more expensive food and drink (22%), purchasing new tableware (17%) and additional decorations (17%).

So how are we funding this Merry Christmas?

Over a third (34%) of people are turning to credit as an alternative to fund festive spending, including credit cards (18%), overdrafts (7%), loans (5%) and Buy Now Pay Later services (6%). Worryingly, one in eight (14%) of those say they don’t know when they’ll be able to pay it off completely and 15% of those who used credit to fund Christmas last year are still paying this off. 

Martin Magnone, CEO and Co-founder of Tymit said: “Christmas excitement can cause many to forget about financial pressures or regular budgets. With uncertainty around government restrictions leaving many people planning Christmas at the last minute, it’s even easier to ignore. Not thinking carefully about your spending or having unexpected festive expenses could bring forth the Ghost of Christmas past: debt. Entering 2021 without a plan to pay that debt off is the last thing anyone needs after such a challenging year. My advice would be to get spending savvy and proactively manage your costs in order to avoid the red by the time next Christmas comes around. Tymit helps people to lower the compound interest they pay and choose the size of instalments they make, ensuring that if you do spend on a credit card this Christmas, you are clear about when it will be paid off.”

To keep spirits high this Christmas and help Brits manage their festive spending, Tymit has teamed up with Clare Seal, the Instagrammer behind My Frugal Year.

Clare Seal from My Frugal Year commented: “After the year we’ve had, there’s a lot of pressure to make Christmas extra special, and to overcompensate with gift-giving. But Brits need to be savvy with their budgeting, or risk facing a stressful new year at the expense of the festive period. There are numerous ways to have a magical Christmas on a budget, whether it’s making your own gifts or searching for the best deals, and for those that are hit with unexpected expenses, it’s good to get clued up about your credit options. Credit cards shouldn’t be a taboo subject and can be really useful when used correctly, it’s just important to go into any arrangement with your eyes open. As someone who has misused credit in the past, I like that using instalment-only credit options, such as Tymit, gives you full transparency about interest, what you owe and how long it’ll take you to pay it off. Being accountable for your payments and planning ahead are key to not getting stuck with revolving debt.”

To find out more about how Tymit can give you a helping hand this Christmas visit https://tymit.com/.

November 30th, 2020 | Andrew Hagger | News

The ongoing global health crisis, economic downturn and uncertainty over income and job prospects over the last six months has forced 60% of people to tap into their savings to cover day-to-day bills and expenses, according to new research from Fidelity International.

For people in their 20s, this figure rises to 78%. Young people have been disproportionately hit by the pandemic’s disruption to the jobs market, with recent research from the London School of Economics (LSE) showing that one in ten of those aged 16-25 have lost their job.

Fidelity International’s research also found that while a fifth (19%) of adults needed to dip into their savings often, this was also most prevalent among those aged 20-29 years old, with a third (32%) repeatedly relying on their savings. The majority of adults spent this money on basic necessities, including food (40%), household bills (37%) and supporting family members (20%), with people spending an average of £843 from their savings over this six-month period.

Even with the Government’s support measures, four in five workers (81%) who have previously been furloughed admitted they had needed to access their savings over the past six months. More than three-quarters of those who remain furloughed continue to use their savings to support day-to-day spending.

Maike Currie, investment director at Fidelity International commented: “Months of uncertainty have left many households facing very real financial challenges, with little choice but to rely upon their savings to cover the cost of daily essentials. The disruption caused to financial routines will not only have seen them forced to sacrifice savings goals but caused significant stress and anxiety – no-one likes the idea of dipping into their emergency funds.

“If you are in the position of having to rely upon your savings, it’s important to review your overall financial position before you make any decisions. Consider the savings pots you’ve created for your goals, both short-term and long-term, and which are the most essential to your financial future. Goals such as retirement may seem a long way off, but the decisions you make now can affect your plans in the future.”

However, more than a quarter have increased the amount they save over the past six months, setting aside an average of £1,649. Again, younger adults have faced greater a financial challenge here, with those aged 18 to 24 years old saving £1,198 in lockdown. In comparison, savings gains were over £700 higher among those in their 60s, at an average of £1,909.

Maike Currie continued: “For those who have found themselves in a more fortunate position and saved money during the past few months, this could be a good opportunity to strengthen your savings. It’s worth thinking about how you use this to maximum effect for the future.

“For example, putting an extra 1% of your monthly salary into your workplace pension each month can make a real difference in the income you’ll have in retirement. This relatively small sum – which may be equivalent to what you’re saving through lifestyle changes at the moment – will have time to grow and ensure you’re on the right road to achieving your retirement goals.”

November 24th, 2020 | Andrew Hagger | News

New research from Aldermore bank reveals the significant social impact on Brits from the cancellation of major plans in 2020 due to the pandemic. The large scale of refunds means that in total £51.7bn has been received back due to major plans not going ahead.

The most common cancellation for Brits was from holidays, with refunds received from planned holidays abroad totalling £23.1bn, £7.1bn for UK-based holidays, and £6.8bn given back for weekend breaks and trips. Unsurprisingly, due to social distancing measures, the events industry has also been heavily hit, with cancelled sporting events leading to £3.9bn in refunds, cancelled concerts causing £2.3bn in reimbursements and festivals £2.4bn.

Saving is a top priority with pandemic refunds

Two fifths (38%) of those that have received money back from cancelled events put the whole refund into their savings, with an additional 15% putting at least some of the refund into savings. Over 55s were most focused on saving with half (48%) putting all their refund into their savings, compared to only a third (33%) of 18 to 34 years olds that did so.

Other uses of refunds included putting it towards a holiday abroad next year (15%), for Christmas spending money (13%), for a UK break (12%) or spending it to treat themselves (10%).

Ewan Edwards, director of savings at Aldermore, said: “It has been a lost year of many of our best laid plans, and the continuous cancellation and delays to trips and big events in people’s lives has been a deflating experience in 2020. Encouragingly the data shows that many Brits are turning disappointment into opportunity, by putting their refunds into savings for the future. Products like notice period and limited access savings accounts are perfect vehicles for delayed plans. They allow people to put money away at a rate better than easy access accounts, but also provide flexibility so people can get their funds for when that delayed holiday or trip comes around in 2021.”

November 17th, 2020 | Andrew Hagger | News

New research from Direct Line Home Insurance reveals more than £5 billion has been spent on bikes since the start of lockdown. In fact, a huge 14.5 million bikes have been acquired in the last seven months alone, with a total of 9.1 million people purchasing at least one bike in the UK since March.

With people increasingly choosing cycling as their preferred mode of transport, more bikes than ever are being left throughout the day, becoming a target for opportunistic thieves. Between April and August this year, 32,700 bikes were reported stolen to police forces across the UK, approximately 215 every day. However, the actual number of bikes stolen could be as high as 112,600, as 71 per cent of bike owners do not report them as stolen. Direct Line reports the average claim for a bike now stands at £800⁴, an increase of 27 per cent since 2019.

The City of London has the highest volume of bike theft in the UK, with an equivalent 2,385 bikes stolen per 100,000 residents, accounting for 10 per cent of all crimes reported in London. This is a significant difference on second placed Cambridgeshire which reported 158 thefts per 100,000 residents.

Dan Simson, Head of Direct Line Home Insurance, said: “It’s great to see that so many people have found solace in cycling this year. With many people avoiding public transport due to coronavirus, it’s easy to see why cycling is so popular, whether for commuting, exercise or as a general mode of transport.

“However, bikes can be expensive and often catch the eye of thieves when left unattended, especially if not well secured. With so many now relying heavily on their two wheels for travel and exercise, we would recommend investing in a strong D lock to deter thieves. As well as having home insurance with cover for personal possessions away from home included to reduce the risk of being hit with a hefty bill to get you back on the road.”

Not only has the country seen an increase in bike ownership, the number of miles pedalled for work and pleasure has increased too. Britons are now collectively cycling 16 million more miles every week – taking the total UK weekly miles ridden past one billion. This increase is being fuelled by commuters, who are now riding an average 7.3 miles per week, an increase of 28 per cent compared to before lockdown and accounting for around a seventh of all miles cycled on a weekly basis. Other popular reasons for cycling such as exercise (up four per cent) and leisure (up two per cent) have also increased since the start of lockdown, although visiting friends and family has understandably fallen (down five per cent).

The most common place people are storing bikes when at home is in a locked shed or garage (47 per cent), followed by inside the home (18 per cent) and an unlocked shed or garage (10 per cent). Locked outside in the garden (eight per cent) and unlocked in the garden (six per cent) complete the top five storage locations.

Away from the home, cable locks, U-locks or chain locks are the most popular safety method for securing bikes, with a third of cyclists using these. A D-lock (26 per cent) and chaining to another bike using a cable lock, U-lock or chain lock (14 per cent) are other common techniques being used. One in nine (11 per cent) think leaving their bike in a well-lit area is sufficient and nine per cent remove accessories when leaving their bike unattended.

With less than half (43 per cent) of bike owners having insurance cover, Direct Line is offering some helpful tips to keep them safe:

Tips for keeping your bike safe

• Registration – There are bike schemes available, such as BikeRegister which are free to sign up for and provide security marking kits and warning signs to deter thieves
• Parking – Keep your bike parked in a well-lit public area where it’s busy throughout the day
• Lock it up – Ensure that you always keep your bike locked when unattended. D-locks are the most secure and it will pay in the long run to invest in a high-quality lock
• Home – Even when your bike is kept in your garage or shed, be sure to lock it up and consider investing in a ground lock or secure wall mount so you know it is safe when out of sight
• Insurance – Check with your insurance provider that your bike is covered. Some insurers offer an add-on to their usual cover which is always worth investing in. If you have a high-value bike it is also worth reading the terms and conditions to be sure your bike value is covered

• Direct Line home plus insurance covers bikes for up to £1,000 as standard⁵

• Photograph – When purchasing a new bike, it is always recommended to take photographs of the bike and capturing frame numbers and any unique features

For more information please visit https://www.directline.com/home-cover/how-to-prevent-your-bike-from-being-stolen

November 11th, 2020 | Andrew Hagger | News

The British public is more than twice as likely to feel anxious about their finances than they
are to be content with them, leading to sleeping problems and distraction at work.

A survey of 2,000 UK adults revealed the average person loses almost 22 hours of sleep each
year thinking about their money woes in the middle of the night.

These financial worries then filter out into their wider lives, with 15 per cent distracted when driving
and 24 per cent struggling to concentrate in the workplace.

For many this creates tension, with more than a quarter (27 per cent) admitting they have had a
big falling out with a partner due to money.

And 16 per cent of those surveyed are currently keeping financial secrets, such as how much they
owe on their credit cards, from their loved ones.

The research, carried out by Paragon Bank, revealed 32 per cent of Brits feel anxious when
thinking of money, but just 13 per cent feel content.

And it is the 18 to 24-year-olds who struggle the most – with this age range four-and-a-half times
more likely to feel anxious (44 per cent) than content (nine per cent) when thinking about money.
Overall, it is when lying in bed (30 per cent) that the public is most distracted by worries about their
finances.

However, 40 per cent of 25 to 34-year olds admit money issues distract them while they’re
working, while 35 per cent of 35 to 44-year olds have the same problem.
And it is the 35 to 44-year-old age group which is most likely to wake up in the middle of the night
due to money concerns – losing 36 hours of sleep over the course of the year as a result.

Derek Sprawling, savings director at Paragon Bank, said: “We know that the pandemic has had a
devastating impact on people’s mental wellbeing, and our research shows that money worries are
certainly contributing to this.
“The average person is thinking about their finances several times a day and often losing sleep
over this.
“Many people trying to plan for the future during this time of economic uncertainty might not know
where to turn for help.
“There is a wealth of free resources available online that can support people, including planning
guides, digital budget spreadsheets and general guidance and tips. We’ve also launched a new
educational section on our website to help our savers manage their money.”

The study also found that more than a third (37 per cent) of people surveyed by OnePoll for
Paragon admitted they were worried about losing their job and therefore their income.
Six per cent of respondents said they have been made redundant this year, while 11 per cent took
a pay cut.
A third (33 per cent) have also sought advice about their financial situation over the past six
months.

One in 20 said they have taken out a loan this year to help them cover costs, while seven per cent
have been forced to ask friends or family for financial help.

Paragon’s digital guide to recession-proofing finances is available to download:
https://www.paragonbank.co.uk/personal/savings/helping-you-manage-your-money

November 10th, 2020 | Andrew Hagger | News

RoosterMoney, the pocket money app and debit card, forecasts what’s going to top kids’ Christmas lists this year, based on what they’ve been saving their pocket money towards in the last few months. Unlike most Christmas list predictions, RoosterMoney’s data is based on what kids are actually doing with their own money, and what they’re saving it towards; the statistics are drawn from real wish lists, entered into the RoosterMoney app by children across the UK. Lego & Phones top the list, followed by online games Fortnite & Roblox, and consoles such as Nintendo Switch & PlayStation. The humble bicycle manages to creep in at number 10.

RoosterMoney’s Pocket Money Index, based on 40,000 kids, also looked at preferences by age and gender. High on both agendas are Lego, phones and Nintendo Switches, with boys prioritising Lego and girls prioritising phones. Boys appear to lean towards gaming consoles such as Xbox, PlayStation and Computers, while girls preferred tablets. Of the games themselves, Roblox was the most popular amongst girls, and Fortnite amongst the boys.

Looking at fluctuations by age group, Lego starts to wane in popularity after 10, just as phones, computers & consoles take over. Roblox & Fortnite are most popular between 6 and 12. Nintendo Switch has the broadest age appeal, spanning 4 to 12.

Other key facts from the Pocket Money Index:

• Average weekly pocket money: £4.81
• Average saved: 34%
• Top 3 chores: Clean bedroom, Make the bed, Do the laundry

Will Carmichael, CEO of RoosterMoney said:

“The Pocket Money Index provides a fun snapshot of the workings of the family pocket money economy, but it can also be a useful tool to help parents ahead of Christmas. Looking at what kids’ are actually saving towards is probably the best insight we have into what’s going to be on their wish lists this year.

As parents, there is an opportunity to turn these wants into lessons, for example offering to match kids’ savings once they hit a certain milestone is a great way to encourage them to save towards a goal.

Ultimately, for us the important thing is seeing these kids actively engaging with their money, setting themselves goals, earning money towards those goals, and becoming confident with money.  Christmas can be a time for a lot of expense and gifting, but it can also be an opportunity to talk about money and start new habits.”