Bank of Mum and Dad

If you’re a parent, you’ll understand the desire to see your kids succeeding in life. With advantages like free higher education and affordable housing beginning to look like impossible ideas from utopian fiction, many young people are struggling and as a result the Bank of Mum and Dad is doing a roaring trade.

For many parents, this will be sobering news. In a world where your kids might need your support long after they leave home, the value of sound financial advice and expert wealth-planning is difficult to over-state. Orange Genie contractors can easily access the specialist advice they need through our partnership with Contractor Wealth, but many contractors are not so lucky.

Research from FTSE 100 financial services group Legal and General and economics consultancy Cebr indicates that £6.5 billion will be lent by parents in 2017. This is up from £5 billion the previous year. This money will fund deposits for over 298,000 mortgages and 79% of it will be lent to people under 30. These findings put the Bank of Mum and Dad on a par with the ninth largest mortgage lender in the UK, with involvement in over a quarter of all property transactions this year. 

Legal and General chief executive Nigel Wilson said: “The Bank of Mum and Dad continues to grow in importance in helping young people take their early steps on to the housing ladder.”

To find out how Orange Genie and our partners can help you prepare for the future, please contact us on 01296 468 483 or email us at info@orangegenie.com.

Request a Call Back