Growth in children’s pocket money has outpaced inflation in the UK

Pocket money rose more than inflation in the UK last year, and children have found ways to boost their income on top of that, according to a new report.

Agrobacter | Istock | Getty Images

Despite a wider financial crisis in the UK, British children have reason to be joyful with new data showing that their allowances – known as ‘pocket money’ in Britain – have exceeded at the times inflation and their parents’ salary increases over the past year.

Compared to a year ago, allowances climbed an average of 10.69%, outpacing inflation, which rose 10.4% on an annual basis for the period covered by the index. pocket money from NatWest Rooster Money released on Thursday.

On average, children in the UK now receive £333.84 ($415.08) of pocket money a year, which is £32.24 more than in the previous period studied. On a weekly basis, the average is now £6.42, around $8, or £0.62 more than a year earlier.

Six-year-olds saw the largest year-over-year increase, more than triple that of inflation, at 34.5%. They now receive £3.94 a week, more than a pound more than the previous figure of £2.93.

15-year-olds were the only ones to see their pocket money drop, from £0.52 to £9.72 a week. Those just a year older, however, took home the biggest sum of money – 16-year-olds received £12.75 a week, slightly more than the average 12-year-old, £59 for 17 year olds.

But the cost of living crisis is having an impact on pocket money, points out Will Carmichael, CEO and co-founder of NatWest Rooster Money.

“Household budgets are stretched like never before, and we have seen fewer children receiving weekly pocket money on a regular basis compared to 2021/22,” he said in the report, adding that many however, many families try to prevent children from being affected. by rising prices.

The Annual NatWest Rooster Money pocket money index is based on data from 126,122 children in the UK which was collected between March 2022 and February 2023. ‘Pocket money’ is defined as the sum of regular allowances and supplements from things like birthdays, fairy teeth, good grades and chores.

Pocket money supplements

Birthdays bring the biggest boost with an average of £47.01, according to the report, with good exam grades or reports coming in second at £15.98, around £1 less than the last year. Of all subjects, good grades in math will give kids the biggest extra pocket money.

Other common reasons parents top up their child’s allowance are good behaviour, homework, reading and the tooth fairy – which, however, adds an average of just £3.24 to children’s income .

When it comes to chores, the financial rewards for the five most popular chores range from £2.46 for cleaning the car to £0.64 for helping with the garden.

In addition to pocket money, children also earn extra money, according to the report. Reselling their clothes and toys has given them the biggest boost – at an average of £26.26 on average. Childcare comes in second, with a notable 24% increase in the amount of money earned, while tutoring comes in third.

Save and spend


Source link

Leave a Comment

Your email address will not be published. Required fields are marked *

PHP Code Snippets Powered By :
Scroll to Top