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2009/11/26
Receiving a weekly allowance or helping parents out with chores around the house for rewards are often a child's first introduction to money, experts suggest.
David White, chief executive of The Children's Mutual, said that kids normally begin to learn about the meaning of money around the age of seven.
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"This is a key time for parents to start helping their children understand the value of money and to explain the importance of saving as well as spending," he advised.
New research from the London School of Economics found that spending among young people continues to rise despite a drop in parental disposable income.
Figures show that the average weekly spend for children across all ages has now reached a record £13.10 – a 500 per cent increase compared to 1987.
Most parents in the UK make regular contributions to Child Trust Funds for their children in preparation for their future financial needs, such as education.
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