Parent loans not helping

Children whose parents help them out financially are 25 per cent more likely to go overdrawn than those that never accept handouts, a new survey suggests.

Research from NatWest Primeline also found that a third of young adults surveyed claimed their parents had never taught them how to manage their money.

The poll discovered that many children already understand how to manage money, but choose not to let on, as they don't want to miss out on handouts.

Of those 18-34-year-olds living at home, 40 per cent said they do so simply because they don?t want to be worse off and parents of boys were most likely to feel the financial burden for longer, despite boys being twice as likely as girls to have savings.

Over two-fifths of those under 25 polled claim they never rely on their parents for financial support and the research suggests that, once children achieved their financial independence, they were keen to retain it.

John Wills, head of NatWest Primeline, said: "Financial independence can at first seem very daunting but perhaps a little advice is all that?s required to summon the confidence to fly the financial nest. Those young people whose parents have never taught them to manage their finances can still find advice to help them stand on their own two feet."