- Adult children pay parents an average £303 a month in rent.
- London has the highest average at nearly £415 a month.
- More than half of parents return some or all of the rent to help with a deposit.
London parents are charging adult children living at home almost £415 a month in rent on average, more than twice the amount paid by those in Yorkshire and the Humber, highlighting the growing regional divide in the cost of living with family.
The average adult child living at home pays their parents £303 a month, or more than £3,600 a year, according to research for Nationwide Building Society. But the amount varies significantly across the UK, from £414.97 a month in London to £187.08 in Yorkshire and the Humber.
The survey of more than 2,000 UK parents with adult children living at home who pay rent found that the money is not always simply treated as household income.
More than half, or 54 per cent, of parents said they return some or all of the rent paid by their children to help them save for their own home.
That effectively turns the family home into a temporary savings scheme, allowing young adults to contribute towards household costs while building up money for a deposit.
London leads as regional gap widens
The research shows how differently families approach rent depending on where they live.
After London, Northern Ireland had the second-highest average at £397.39 a month, followed by the East of England at £386.34. Adult children in Wales paid an average £319.95.
At the other end of the scale, the average was £211.40 in the East Midlands, £230.25 in the North West and £239.89 in the West Midlands.
The South East recorded an average of £268.10, while Scotland was at £260.56, the South West at £256.19 and the North East at £268.73.
The figures come as many young adults remain at home for longer while trying to save enough to buy their first property.
Aneisha Beveridge, research director at Connells Group, said living at home can allow young adults to save considerably more than they would while renting independently.
“Rising rents and broader cost-of-living pressures mean that putting aside enough money for a deposit has become increasingly challenging,” she said.
“For many, it’s become less of a lifestyle choice and more of a practical stepping stone onto the housing ladder.”
When rent becomes a deposit
Parents are also showing flexibility around payments. According to the survey, 45 per cent had waived rent for their child at least once during the previous year, while 52 per cent had done so between two and six times.
But these arrangements can also create friction. Half of the parents surveyed said financial arrangements with their adult child had led to tension or disagreements.
Ian Harris, president of NAEA Propertymark, said even informal arrangements could become complicated.
“Being clear about rent, bills, responsibilities and what happens when circumstances change can help avoid misunderstandings and financial tensions,” he said.
For families able to provide support, the arrangement can offer a way to make the years spent living at home financially productive. Some parents are effectively collecting rent only to return it later as a lump sum for a deposit, while others simply charge below-market amounts to help their children save.
Carlo Pileggi, Nationwide’s head of mortgage products, said parents were increasingly using rent payments as a way to support their children’s homeownership ambitions.
“As saving for a home remains as challenging as ever, our research shows many of Britain’s parents are using rent payments as a way to help their children build a deposit,” he said.
However, Nationwide also pointed to a wider divide: not every first-time buyer has parents who can offer this kind of support.
That means the family home can provide a significant financial advantage for those able to use it as a stepping stone towards homeownership, while others may have to build a deposit without the same safety net.
