Children's average weekly pocket money rises to almost £10 as parents are hit by inflation

A girl with her pocket money
-Credit: (Image: Getty)

A survey has discovered that over half of parents who give their children pocket money have had to increase the amount due to the spiralling costs of goods and services. The study, examining the habits of 2,000 parents with offspring aged between eight and 16, disclosed that 76% of parents provide an average weekly allowance of £9.33. This is according to data from Virgin Money.

In addition to providing pocket money, parents are also keen to introduce their kids to financial management early on. Notably, 61% emphasised the necessity of learning about money and budgeting.

Correspondingly, 58% deemed it vital for their youngsters to be able to handle their own expenditure and understand the worth of money. These findings were published in conjunction with Virgin Money's launch of a new bank account targeted at young people between the ages of 11 and 17, dubbed M Power.

Responding to the results, Graeme Sands, head of personal banking at Virgin Money remarked: "Our research found that 81% of parents want their child to save some of their allowance each week", reports the Mirror.

Meanwhile, inflation data from the Office for National Statistics (ONS) disclosed that Consumer Prices Index (CPI) inflation slipped to 2% in May, dropping from 2.3% the previous April.

Previously, CPI inflation had reached the 2% goal in July 2021 before skyrocketing to a remarkable 41-year high of 11.1% in October 2022. Conducted by OnePoll, the survey was undertaken in June, involving 2,000 parents within the UK.