Parents are raiding children's savings

NEARLY three million parents have raided savings set aside for their children or grandchildren.

The rising cost of living is behind the hike in the number of people taking money out of funds aimed at providing for children, according to a survey by Schroders. More than a third of the value of funds raided has been withdrawn – and just one in five believe they will be able to replace it.

More than two million people are spending 12.4 billion a year on putting their children or grandchildren through school, college or university, but one in four have reduced the amount spent on private education. An average of just over 500 a month goes on private education costs, the research found.