Raising your child will cost you £222,458

24 January 2013

The cost of bringing up a child until the age of 21 has hit an all-time high of £222,458, according to LV='s Cost of Raising a Child Report 2013.

That's an increase of £4,000 on the previous year and a rise of £82,000 compared to the 2003 report.

Mark Jones, head of protection at LV=, says: "There seems to be no sign of this trend reversing. If the costs associated with bringing up children continue to rise at the same pace, parents could face a bill of over £350,000 in 10 years' time."

Figures to December 2012 from LV='s report reveal that childcare and education costs still account for the lion's share of expenditure. Childcare costs alone stood at an eye-watering £63,738, an increase of 61% from £39,613 a decade earlier.

The amount spent on education - which includes uniforms, after school clubs and university - was £72,832 per child, up 124% over 10 years.

North-South divide

Since the 2003 report, the costs of raising a child have risen in all areas, with the exception of clothing, which has seen a 5% drop.

Regionally, London and the South East of England remain the most expensive areas to raise a family - at a cost of £239,123 and £237,233 respectively. The North East is the cheapest (£206,495).

Nationally, it is more expensive to raise a child in Northern Ireland (£232,883) than it is England (£223,008), Wales (£207,120) and Scotland (£225,338).

Jones adds: "The cost of raising a child continues to soar and is now at a 10-year high. Everyone wants the best for their children, but the rising cost of living is pushing parent's finances to the limit."

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