Parents could consider finding a savings account with high rates of interest in order to help fund their children through university.
The price of living for students has increased and graduates are expected to leave university with debts amounting to £25,000, suggests several media reports.
As this is the case, it may be beneficial for parents to compare savings accounts and find the one that will provide them with the most interest and pass on the money to their children.
According to Family Investments, the student cost of living has increased by 28 per cent since 2004 and parents should consider saving money for their children's future at a young age.
The average student will spend about £718 a month on accommodation, food and recreation and this is expected to increase to £818 by 2013.
Based on these figures, the average student will need £8,616 a year in order to meet living costs and this could raise by another thousand pounds by 2013.
Kate Moore, head of savings and Investments at the firm, said: "For those young people receiving their A Level results this week the decision as to whether to attend university may be less clear cut than in previous years.
"Prospective students face an increased cost of living, the potential for large sums of debt and a flat job market with a surplus of graduates."
She added that parents who had been setting aside small amounts of cash each month into a savings account would be able to fund their children through higher education easier than those who had not.
Push recently revealed a new survey that found students were expecting to be in at least £25,000 worth of debt by the time they graduate.
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