The Bank of Mum and Dad raid kids' savings during Covid, study shows

An estimated £2.75bn

Adam Saville
clock • 2 min read

Nearly a quarter of parents have had to rely on their children's savings since lockdown began, research from Direct Line Life Insurance has suggested.

Since 23 March, the estimated total sits at £2.75bn, the study involving 2,000 UK adults and carried out between 28 August and 1 September suggested. According to a report by the London School of Economics (LSE), the Bank of Mum & Dad is one of the UK's largest lenders, but the research shows reduced salaries and unexpected unemployment is leading parents to turn to the Bank of Son & Daughter for a bail out. On average, each family has needed around £700 from their child's savings account, which equates to a total sum across the UK of nearly £17m for every day of lockdown. This tre...

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