Grandparents 'key for money advice'


child with abacus

Parents with young children are turning to their own mothers and fathers for financial advice, with three-quarters of grandparents offering such guidance to their offspring, according to a new survey.

However, nearly a third, 31%, said they believed their grown-up children appreciated being given hard cash rather than advice. Some 33% of the 1,026 people questioned said it was easier to hand over money, with 20% saying they preferred just to offer their opinions on financial matters.

Keith Evins, head of UK funds marketing at JP Morgan Asset Management, which commissioned the research, said: " It's heartening to see families across the nation are benefiting from the wise words grandparents have to offer on money and family finances - but they are helping out with cash, too.

"As parents and grandparents, it's important we do as much as possible to lay a good financial foundation for our families. It's fantastic to see generations rallying round each other with support."
Mr Evins added that grandparents save more than £2 billion a year for their grandchildren's future, with older generations also having a "wealth of knowledge" to pass on.

Only 1% of the grandparents polled said they actively managed their children's finances and constantly offer advice on money, with 9% saying they regularly offer a helping hand on financial matters, and 37% saying they sometimes give their help.

Nearly a quarter, 24%, said their financial guidance is always well received, with 63% saying they thought their recommendations were mostly well received. Some 11% of the grandparents surveyed said they felt their advice was only well received when it involved their grandchildren, however.

In a separate poll of 2,006 adults also commissioned by JP Morgan Asset Management, more than half - 52% - said they had accepted money from their parents since having their own children, with 6% saying they could not survive without it.

© 2013 Press Association