Are you part of the bank of gran and granddad?

Are you part of the bank of gran and granddad?

More than three quarters (86%) of grandparents have dipped into their savings to help their grandchildren out financially since 2012, with most giving an average of £30 a month.

And the trend is set to continue with more than half (52%) planning to give their grandchildren a helping hand in the next five years too - and not just for smaller purchases, according to research by insurer LV=.

While almost half (47%) say they give their grandchildren regular pocket money, one in eight grandparents have helped their grandchildren to buy expensive purchases such as cars or holidays, while one in 20 say they have contributed to school and university fees.

Some 70% said they give the money away because they want to help out while they can, with 16% saying they help out because their grandchidlren's parents cannot afford too.

More than one in 10 (11%) said their grandchildren would struggle without the money they give them.

Another 37% said they want to give financial support to their grandchildren as they want to be around to see them enjoy the cash.

Richard Rowney, LV= life and pensions managing director, said: "The generosity of grandparents in Britain is clear to see and it is great that so many feel comfortable enough to be able to help out their family and plan to continue doing so.

"However, the average retirement is now much longer than past generations and people's lifestyle and associated costs are likely to change over this period. It is important that those approaching retirement choose to structure their income in a way that offers them enough financial flexibility to enable them to remain generous, but also adapt to their changing needs."

Are you part of the bank of gran and granddad? If so, Moneywise wants to hear from you. Please get in touch to tell us how you help your family by emailing