Cost.co.uk Responds to new Study Detailing the Effect of Pocket Money on Children in Later Life

Share Article

Report shows that parents who give their children pocket money are less likely to be savers when they grow up.

News Image
In contrast, the weekly pay that the child receives from part-time work is positively associated with the probability of saving.

According to a new study carried out by the University of Sheffield and published in The Telegraph, children who have part time jobs become savers when they mature to adulthood, and those who are given pocket money are less likely to save. The survey of 3,200 children aged 11 to 15 found that on average, they received £8.56 a week pocket money.

The report concluded that, "The magnitude of the effect of a 1 percent increase in the child’s allowance is associated with a decrease in the probability that the child saves by 21.8 percentage points. In contrast, the weekly pay that the child receives from part time work is positively associated with the probability of saving."

The findings make interesting news for the UK’s favourite comparison site, Cost.co.uk, who actively encourage consumers to save money by finding the best news and deals around on a range of sectors including finance, insurance, utility and travel. The company believes that saving should be a fundamental rule for consumers looking to not only get the most from their money but from saving too, as a representative explained, "The fact that our spending habits can be influenced by our upbringing is very interesting news. This may explain why and how some are so good at saving and others not to good. Whichever category you fall into Cost.co.uk will provide the best tips, advice and comparison on the market."

Cost.co.uk continues to follow consumer based news.

Based in Essex, Cost.co.uk is one of the UK’s leading price comparison sites. Allowing their online customer’s access to companies offering a range of insurance, financial and travel services, the firm specialise in providing a personal experience. Founded in 2012, the agency has a trusted reputation for sourcing the most ideal policies at affordable prices.

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Ben Austin
Visit website