In addition, good interest rates and high quality products are encouraging people to save with building societies, he added.

Jason Robinson, director of savings operations at Birmingham Midshires, commented: "Far from being a burden on their children, grandparents are contributing significant amounts of time, money and assistance to their offspring at the same time as adjusting to huge changes in their own lifestyle and income."

The research found that children are saving 46 per cent of their money every week which Mr Shore said was "great to see".