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Survey reveals growing number of grandparents contributing towards their grandchildren’s university education

 

Richard Garner
Wednesday 09 October 2013 04:25 EDT
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Students receiving their A level results in August - many will look to their grandparents to help fund their university education
Students receiving their A level results in August - many will look to their grandparents to help fund their university education (Getty Images)

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Growing numbers of grandparents are having to dig deep into their pockets to contribute towards the cost of their grandchildren’s university education, according to a survey.

A survey of more than 2,000 parents and grandparents found that the number contributing is expected to soar to around 1.7 million over the next few years. The research was carried out by over 55’s advisers Key Retirement Solutions,

They found that currently around three per cent of grandparents were helping fund their offspring through university - but the number is expected to increase to nearly 13 per cent over the next decade (10 per cent of those between 55 and 64 and rising to 15 per cent of those above 65).

The reason is the soaring cost of a university education now tuition fees have risen to £9,000 a year.

“The numbers of grandparents providing financial assistance for university tuition is set to rocket from current levels as the implications of the £9,000 a year tuition fees become clear,” said Dean Mirfin, group director of Key Retirement Solutions.

“With finances for the over 55s under strain from falling annuity rates and historically low savings rates taking on extra commitments requires careful thought and planning.”

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