UK children enjoy inflation-busting 8% rise in pocket money

Youngsters aged six to 18 saw the benefits of a rise from 2024 to 2025, according to a study conducted by Go Henry - an app that helps children make smart financial choices.

The rise comes at a time when the UK Consumer Prices Index inflation fell to 3% in January, marking the lowest level since last March.

Pocket money is continuing as a concept for parents despite cash slumping to an all-time low, with it now accounting for just 9 per cent of transactions.

It means that children are increasingly given an allowance topped up on a card.

Sonia Rach, author of Loose Change: Tina Learns to Save, said: “Pocket money is a great way for kids to learn about the value of money and the concept of saving.”

Go Henry has said that pocket money is a good tool to limit pester power, teach children about budgeting and saving, while also installing a sense of independence.

Ms Rach added: “In a largely cashless society, children can find it difficult to fathom or quantify money as something physical as they don’t always see it, and providing them with something they are in control of gives them a sense of responsibility and ownership over it rather than having it bought for them.”

How much has pocket money increased per age?

The average increase for children aged six to 18 is £9.92 to £10.73 (+8.16%)

Weekly average pocket money payments by age (Source: GoHenry)

• Age 6: £3.69 → £4.05 (+9.76%)
• Age 7: £3.82 → £4.25 (+11.26%)
• Age 8: £4.14 → £4.58 (+10.63%)
• Age 9: £4.71 → £5.14 (+9.13%)
• Age 10: £5.62 → £6.02 (+7.12%)
• Age 11: £7.36 → £7.83 (+6.39%)
• Age 12: £9.71 → £10.42 (+7.31%)
• Age 13: £12.31 → £13.36 (+8.53%)
• Age 14: £14.57 → £15.84 (+8.71%)
• Age 15: £16.98 → £18.18 (+7.07%)
• Age 16: £17.89 → £19.67 (+9.95%)
• Age 17: £17.13 → £18.74 (+9.40%)
• Age 18: £14.52 → £16.60 (+14.32%)