Almost a fifth of average salary now spent on raising a child

Mums and dads of 0-11 year olds are spending an average of £448.41 a month on a variety of different items per child, which equates to £5,380.92 per year, or almost a fifth of the average salary (£29,009).

According to our research, parents spend an average of £57 per month on childcare and a quarter (24 per cent) have relatives help out with childcare. However, national statistics from the Family and Childcare Trust suggests these costs could be significantly higher for those who pay for childcare, at £364 per month.

This would bring the overall monthly cost of a child to £754.83, or a whopping £9057.96 per year – 31 per cent of the average salary.

Two fifths of parents would have more children, if it wasn’t for their own financial constraints, with the same number (40 per cent) stating having children turned out more expensive than they thought it would be.

When split by age, toddlers are proving to cost their parents the most, with an annual cost of raising a one to two year old at £6,447.00, or £537.25 per month – 22 per cent of the average salary. On average, boys are more expensive to raise than girls, costing £454.01 and £441.87 respectively per month.

Three quarters say that having children has meant unexpected one-off purchases since they were born. A third of parents had to shell out for additional furniture (32 per cent), or a different car (29 per cent), and almost a quarter (23 per cent) say they had to buy a bigger house.

Additional entertainment devices such as TVs or tablets were the most common unexpected purchases cited by parents (36 per cent) with parents of a child aged 9-11 years significantly more likely to have made this purchase than any other age group (41 per cent).

Giles Martin, head of Halifax Savings said: “Having children is a huge financial and emotional commitment. Monthly costs can eat into disposable income, particularly for those with large families. It’s important to be realistic about how much things are going to cost. Even when carefully budgeting, unexpected costs along the way can throw a curve ball when it comes to affording family life.”

Cutting back for the kids Almost half (47 per cent) of parents have cut back on going out and socialising since having children. Similarly, 44 per cent have cut back on meals out in restaurants and 31 per cent are spending less on holidays. Just under a third (32 per cent) of parents say they’ve cut back on ordering takeaways and luxury food items.

A quarter of parents say they have cut back on clothing and fashion items (28 per cent and 27 per cent respectively) since having children.

A quarter (23 per cent) of parents also say they spend less on gifts for other people. Additionally, to ease to financial pressures of having children, half (49 per cent) of parents agreed that they treat themselves less, two fifths (39 per cent) shop around more and 35 per cent of parents pass down clothing/toys.

Regional differences The cost of raising a child in London is double that of the rest of the country, costing on average £766.38 per month, or £9,196.56 per year.

This takes the total cost of raising a child to the age of 11 into six figures, at £101,162.16 compared to the UK average of £59,190.12.

Outside of London, the most expensive region is the South of England (£388.31 per month or £4,659.72 per year), and the least expensive region is Wales and the West of England (£388.31 per month or £4,659.72).