Almost two in five (38%) savers in the UK are financially supporting members of their family due to the cost-of-living crisis, according to new research conducted by Paragon Bank.

Over a fifth (21%) have provided support to their children while a further 17% have done so for grandchildren and other family members.

Paragon’s findings, based on a survey of over 2,000 Paragon customers, showed that almost half of pensioners aged between 70 and 74 are mostly likely to have helped family, with 29% having provided support to their children and 11% to their grandchildren – 7% supporting other family members.

Furthermore, 43% of those aged between 75 and 79 have supported family members, with 46% of those over the age of 80 also doing so – compared with just 24% of those aged 18 to 34, and 21% of 35 to 54 year olds.

“As food and energy prices continue to drive up inflation, many parents and grandparents are increasingly stepping up in to support family members,” commented Paragon director of savings, Derek Sprawling.

“It is striking how it is those over 70 providing the greatest level of support to family members. This generational divide will provide concern about the level of savings that can held by those under 55 and how they can improve their financial resilience 

“Savers should consider their spending plans for the time ahead and select the right financial tools for their situation, to grow and protect the value of their savings and to help finance big purchases.”

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