Children in the UK set to get more pocket money in 2022

New research from Barclays has revealed that children in the UK are set to receive more pocket money in 2022, increasing from £6.97 to £7.58.

Whilst many families hire household staff to help out with jobs such as cleaning and washing, parents stated how much they value their children lending a hand as well with more than two thirds (68%) rewarding them with pocket money. The children need to show that they have worked hard with 74% of parents saying a rise in pocket money is dependent on their child doing more jobs around the home.

The study found that the household jobs with the biggest payouts were washing the car (worth an average of £2.28), looking after younger siblings (£2.27) and cleaning the bathroom (£1.85).

Sweets and chocolate are the most popular way for children to spend their pocket money with 38% of respondents saying they raided their piggy bank to spend their money on this. Toys (33%) and video games (32%) were also among the most popular ways children spent their pocket money.

One aspect of pocket money that has changed is how parents pay their children with around a quarter (22%) now paying pocket money via a bank transfer. Six in 10 still opt to pay their children cash-in-hand.

The study also found that there could be a generation of savvy savers with 44% of children saving their money instead of spending it straight away. This is backed up with 53% of parents saying their children are good at managing their money.

Speaking to Wales Online, Gillean Dooney, Head of Families at Barclays, said: “If your kids are happy to do their bit around the house, pocket money is a really good way of teaching them the value of money at an early age. Many of the parents we surveyed said that this was one of the biggest motivators behind giving pocket money to their children. It’s also a great way to help youngsters learn about the benefits of saving their spare cash – and the importance of patience and saving up to get something you really want. At the same time, if kids are ‘earning’ their money by fulfilling household chores, you’re helping them to build up a strong work ethic.”

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