Payday Loans

Despite the fact that many adults are still suffering from the after-effects of the financial downturn, it seems UK kids are better off than ever, according to research uncovered by the Halifax in their recent 2011 pocket money survey. Halifax polled 1,202 kids aged between eight and 15 from across the UK.

Pocket money

The research revealed that 2011 has shown the first increase in seven years, with the amount of money kids receive rising by 36 per cent, with the average weekly pocket money being a respectable £6.25. But the survey also revealed, perhaps unsurprisingly, that children in the south are paid more than those in the north, and that boys get an average 32p more a week than girls.

It makes you wonder what explains the differential between the amounts that boys and girls receive – at such a young age. The survey also revealed that 43 per cent of the children surveyed thought they should be receiving more money, and around half were content with what they get.

Looking at what kids get according to their age, 12 to 15 year olds earn significantly more (£7.30) pocket money than eight to 11 year olds (£5.05) with 15 year olds getting the most with £8.38 a week. The lowest pocket money income was £4.44 received by eight year olds.

The research also investigated where kids thought money came from. Thankfully, more than half know that to get money, you have to work to earn it, but 30% think that money simply ‘comes from the bank’, 29% think it comes ‘from Mum’s bag’ a quarter of those surveyed reckoned it comes ‘out of Dad’s pocket’.

Perhaps the most reassuring findings of the research demonstrate that kids are now, more than ever, being encouraged to become financially savvy at a young age.

Flavia Palacios Umana, head of savings products at Halifax said of the research: “Teaching children important financial life lessons by using pocket money will quickly give them understanding of basic financial issues and more important the consequences associated with making and spending money.” Which I agree with wholeheartedly, but I think, inevitably the bank of mum and dad will still play a big part in most kid’s lives!

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