Pocket money paid by three quarters of parents

Almost three quarters (73 per cent) of all UK parents pay their children pocket money, according to a survey by insurance provider Aviva.

The survey revealed that the average weekly payment is £5.75, which varies depending on the age of the child and where in the country they live. Two per cent of parents said they gave their child 'as much as they need' rather than setting a limit.

Key findings:

  • five to eight year-olds receive an average of £2.62 per week, compared with £9.88 for those aged 16-18
  • a child in London gets an average of £13.12 per week, compared with £4.95 for a child in Wales
  • Almost a quarter (23 per cent) of parents with a teenager said their child had a part-time job
  • 45 per cent of parents said they let their children spend their pocket money on 'whatever they like'
  • 37 per cent of parents have set up and contribute to a long-term savings fund on their child's behalf.

The findings follow calls from two leading tax groups - the Chartered Institute of Taxation (CIOT) and the Low Incomes Tax Reform Group (LITRG) - for the Government to put basic 'a basic grounding in tax and finance' on the National Curriculum.

Tim Orton, product director for pensions and investments at Aviva, said: "With financial education due to be introduced to the school curriculum in 2014, it is good to see that some parents are already encouraging their children to grasp a basic understanding of what it takes to make and save money on a regular basis."

"Teaching children how to manage their money from an early age and save something every month is an important trait. Saving a little and often will definitely stand them in good stead for later life."