Saga savings: Generous over 50s save for grandchildren

29 June 2009 / by Rebecca Sargent
Generous grandparents continue to save for their children and grandchildren, despite the economic climate, research from Saga Savings has revealed.

According to the study, 1.8 million grandparents are putting money aside for their grandchildren, a fifth of whom are putting £400 or more a year into a savings account, which would provide their grandchildren with a nest egg of £10,000 when they turn 18.

Additionally, the research from Saga Savings found that a further one in 10 over 50s are saving money for their adult children to help them through the economic crisis.

It seems that generosity is rife amongst the over 50s, as the research reveals that despite tightening their purse strings, saving for loved ones is still a priority for 31 per cent of over 50s.

Commenting on the research, Andrew Goodsell, chief executive of Saga Group said: "Despite the current climate our research proves that we are still a financially generous nation when saving for those we love.

"It's good to know that the prudence and experience of many over 50s enables them to support their children and grandchildren who need financial help in uncertain times."

More than half of those saving for their grandchildren are doing so to help them in adulthood with areas like university education, and getting a foot on the property ladder.

Compare savings accounts »

© Fair Investment Company Ltd