'Children receive £900 a year in financial support from grandparents'

Grandparents are spending an average of £75 a month on their grandchildren, claims a new report.

Birmingham Midshires reveals that parents are saving a total of £900 a year on the cost of bringing up a child with entertainment, meals and presents from grandparents.

Some grandparents claim they could care for a child with £65 a month, £4.80 less than their weekly pension.

Jason Robinson, director of savings operations at Birmingham Midshires, commented: "Far from being a burden on their children, grandparents are contributing significant amounts of time, money and assistance to their offspring at the same time as adjusting to huge changes in their own lifestyle and income."

Invesco Perpetual revealed earlier this year that the cost of bringing up a child in the UK is on average, at least £46 a week.

If a child relied solely on their parents for financial assistance until the age of 18, the total bill would reach £43,056, claims the investment company.

© Adfero Ltd