You are here: Home - Retirement - Retirement planning - News -

Grandparents step in with money help during Covid-19

Written by: Emma Lunn
Nearly half (48%) of UK grandparents have stepped in to financially support their grandchildren during the Covid-19 outbreak, despite being concerned about their own retirement income.

According to Killik & Co, a third (32%) of grandparents have given cash to their children, 8% have provided childcare and 6% have helped with rent and mortgage payments.

But a quarter of grandparents haven’t been able to see their grandchildren during the past few months, not even remotely.

However, 20% of those questioned said they were worried about the value of their private pension and a further 13% were also worried about the stability, as well as the value, of their workplace pension.

Many grandparents have shown an entrepreneurial streak to protect their retirement funds, with 45% taking action to generate income as a result of the pandemic. This includes selling items on eBay (23%) and looking for part-time work (10%).

Svenja Keller, head of wealth planning at Killik & Co said: “Much of the focus around the financial fall-out from Covid-19 has been on the recent volatility and concerns about the value of pension pots, but the pandemic has hit all generations. Our research shows that grandparents want to provide for their families, even if this makes them worry about their own financial future. However, it shouldn’t be the case that they are choosing their family’s financial stability over their own.

“If you’re a grandparent, it is important to secure your own lifestyle first, and only then gift what is possible. Understanding your long-term cash flow – for example tracking income and outgoings and looking at how your existing assets can support you – is key to putting a plan in place. This will provide you with the clarity you need for your own situation and ultimately help you to make decisions about providing sustainable financial support to the younger generations as well.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Santander current account shake-up: Act now

From tomorrow, Santander will double the monthly fee on the 123 Lite current account while the cashback catego...
Santander current account shake-up: Act now

Countdown to new tax charge for freelancers and contractors

Freelancers and contractors have just five months to get ready for employment tax changes that will affect how...
Countdown to new tax charge for freelancers and contractors

SEISS ‘paid out more than £1.3bn to thriving businesses’

The Resolution Foundation claims the government’s £12.7bn Self-Employment Income Support Scheme (SEISS) has be...
SEISS ‘paid out more than £1.3bn to thriving businesses’

Ryanair jetting towards US flights for £10

Ryanair is on course to achieve its long-held ambition of offering transatlantic flights to the US – and the...

Investing in car parks: a good vehicle for income seekers?

As the search for income continues, many investors are turning to alternatives, with car parks becoming increa...

A quick guide to guarantor loans – in association with Guarantor Loan Comparison

Considering a guarantor loan or becoming a guarantor yourself? Read our essential guide...

Results round-up: Companies to watch this week

Mulberry and more will face the music this week.

Product launches of the week

Select Property Group, Schroders, Leeds Building Society and more have exciting news this week.

Money Tips of the Week

Read previous post:
Debt advice charities raise concerns about bad practice by IVA providers

The Money Advice Trust and StepChange Debt Charity are calling for action to protect consumers from dodgy IVA lead generator...