• Three in five (61%) parents of adult children provide financial support
  • This includes everyday living costs (26%), property help (13%), children’s savings (11%), and covering university fees to avoid student loans (11%)
  • Parents cite a strong sense of responsibility (46%) and a desire to protect their children from debt or financial hardship (47%) as key motivations
  • Yet three quarters (74%) providing this support say it has affected them financially: 27% have dipped into savings and 15% expect to retire later or have a more modest retirement as a result

The Bank of Mum and Dad is open for business, with three in five (61%) parents of over 18’s helping their children navigate the financial ups and downs of life – however this support is having a lasting impact on parents’ ability to save for retirement according to Standard Life, a retirement specialist focused entirely on retirement savings and income.

New research1 explores how life’s pivotal moments can shape, and sometimes disrupt, people’s long-term financial journeys, highlighting how three quarters (75%) of parents of over 18’s who provide such support say it has affected them financially. A quarter (27%) have dipped into their savings, and one in seven (15%) have or are planning to delay their retirement or have a more modest retirement as a result.

Parents to the rescue as financial pressures mount for younger generations

The financial support given by parents of adult children takes many forms. Over a quarter (26%) are helping them with everyday living costs such as rent, bills and food, while over one in ten (13%) are giving them a helping hand onto or up the property ladder and a similar proportion (13%) are funding one-off purchases such as cars or household items. Others are focused on longer-term support, with one in ten contributing to savings accounts for their children (11%) and supporting or saving for grandchildren (10%).

These findings come as student finances continues to dominate public debate, with renewed discussion around the long-term burden posed especially by ‘Plan 2’ student loans and their impact on people’s finances long after they have finished university. Against this backdrop, some parents are stepping in to help ease the pressure on their student children, with one in ten (11%) helping to cover university fees to reduce the need for large student loans.

Generosity comes at a financial cost – and a lasting impact on retirement plans

This generosity comes at a cost, with the financial impact having lasting effects. Three quarters (74%) of parents of over 18’s who provide financial support say this has affected them financially, over a quarter (27%) have dipped into savings as a result, and a fifth (18%) say they are saving less for the long term. A further one in ten (12%) say this means they have contributed less to their pension than they had hoped, and one in seven (15%) expect to retire later than planned, leading to them having a more modest retirement (15%) and being more reliant on the State Pension (15%).

These longer-term consequences are evident among those parents of over 18’s already retired, with a quarter (24%) noting that having children was the single biggest factor impacting their ability to save for retirement.

A love without limits: a strong desire to protect their children from financial hardship

Despite the financial pressures, the unconditional love parents feel for their children prevails, with many parents of over 18’s viewing supporting their children as a life moment worth prioritising, even when it requires carefully balancing with their own long-term financial plans. Over half (57%) say they expect nothing in return, and two in five (39%) say they are happy with their decision to provide financial support.

These parents cite a strong sense of responsibility (46%) and a desire to protect their children from debt or financial hardship (47%) as key motivations, while a third (36%) say they want to help their children achieve long-term financial security. A further one in ten parents (11%) also see support today as a form of early gifting for inheritance tax purposes, ahead of pensions coming into scope of inheritance tax from 2027.

However, in a world where life is increasingly complicated and uncertain, the picture is not the same for every family, and one in seven parents of children of all ages (15%) also plan to prioritise enjoying their money in retirement over leaving an inheritance2. Priorities and needs can change over time, and many parents have to make a careful balance between supporting the next generation and enjoying their own later life.

Mike Ambery, Retirement Savings Director at Standard Life plc, said: “For many parents, helping their children financially is something they would do in an instant, without hesitation. With student loan repayments, higher housing costs, rising living expenses and job market pressures all affecting younger generations, it’s understandable that parents want to offer support where they can.

“Life is rarely linear, and like many other milestones, it’s completely normal for pension savings to take a back seat when focusing on supporting children. However, at the same time, parents mustn’t lose sight of their own financial goals. Everyone’s journey to and through retirement can be better and understanding where you are in terms of your own long-term finances is also important, to ensure you are heading towards the retirement you envisage. This means setting clear expectations with your children about the level of support you can realistically provide, making sure you’re still contributing what you can afford into your pension, and ensuring you’re thinking about how much money you will realistically need for retirement – striking the right balance between supporting children today and staying engaged with your own financial future.

“For parents with younger children thinking ahead and starting early, even with small amounts, can help build financial resilience for the next generation while keeping your own long-term plans on track. Junior ISA’s (JISA’s) and even child pensions are a great way to do this, providing a tax-efficient way to give children a head start and potentially benefit from compound interest or investment growth from the earliest moment possible.”

- Ends -

Notes to editors

On 2nd March 2026, Phoenix Group announced the completion of its name change to Standard Life plc, bringing its most trusted brand to the forefront, and supporting its vision to be the UK’s leading retirement savings and income business. Supporting this change, a new brand campaign 'For the life we live' has also launched across TV, radio, newsprint, digital and social advertising, exploring people’s journeys to and through retirement and aimed at inspiring customers to engage with their financial futures.

1 – Research conducted by Opinium between 15 January and 21 January 2026 among 4,000 UK adults. Results are weighted to be nationally representative of the UK adult population.

2- Opinium surveyed 2,000 UK adults nationwide between 11th – 14th November. Quotas and post-weighting were applied to the sample to make the dataset representative of the UK adult population.

About Standard Life plc (‘Standard Life’)

  • Standard Life is a retirement specialist focused entirely on retirement saving and income. We are proud to manage c£300bn in assets on behalf of our 12 million customers1, and we champion the belief that everyone's journey to and through retirement can be better.

 

  • We offer our customers a broad range of retirement, investment and protection products across our customer brands which include Standard Life, SunLife, Phoenix Life and ReAssure.

 

  • Our vision is to be the UK’s leading retirement savings and income business, building on Standard Life’s leadership positions in the workplace pensions, pension risk transfer and individual annuity markets, and our growing retail business. Our award-winning services are backed by industry leading apps and strong customer service.

 

  • As a FTSE 100-listed group, we are using our size, expertise and influence to deliver better outcomes for customers.

 

  • We’ve set targets to help an additional three million customers take steps toward a better retirement by 2035. We want to play our part in delivering a net zero economy and managing our impact and dependency on nature to shape the world our customers will retire into.

 

  • Standard Life is recognised as a leading employer, with long-standing accreditation as a Living Wage Employer, Living Pension Employer and in 2026 became one of Britain’s Most Admired Companies.

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