Today's young adults are having to draw on grandparents, siblings, friends and even charities to move out of the family home, new data has revealed.

Research from Scottish Friendly's Family Finance Tracker shows a stark generational divide, with Gen Z relying on a significantly wider support network than previous generations to afford either renting or buying their first home.

The findings show 14% of Gen Z adults relied on money from their grandparents to help them leave home, whilst 17% had to rely on government benefits, 10% received help from siblings, and 7% got support from a charity. That compares to just 3%, 6%, 2%, and 1% respectively for Gen X.

The data also reveals that 40% of Gen Z adults and 5% of Millennials are still living in the parental home, highlighting how unaffordable leaving home has become both in the Northwest and throughout the rest of the UK.

Scottish Friendly is now asking what more could and should be done to ensure future generations can afford to leave home, questioning whether Gen Z now need the "Bank of Everyone", not just the Bank of Mum and Dad, to afford to fly the nest.

Kevin Brown

Kevin Brown, savings expert at Scottish Friendly, commented: "Our findings show grandparents are already stepping up to help their grandchildren set up home. Allowing them to open a Junior ISA would make that support more tax-efficient – and could build a sizeable nest egg."

The challenge facing young adults is underlined by the costs involved in setting up home. The average cost of renting a property in the Northwest is estimated at just over £950 per calendar month, whilst Scottish Friendly's calculations have found it costs over £800 to kit out a new home with basic essentials – a bill that quickly rises to over £5,000 if mid-range appliances, furnishings and fittings are opted for.

The study examined UK adults' experiences of leaving home, looking at what age they left and what financial support they received from family, friends, charities or other sources. Parents were additionally asked about the support they gave their own children and what age they expected their children to leave home.

ALL adults - When you permanently moved out of your parent or guardian’s home who, if anyone, gave you money?

	NAT REP	Male	Female	Gen Z	Millennials	Gen X	Baby Boomers
I used money I had saved myself	33%	35%	32%	30%	39%	35%	27%
My parent(s) gave or lent me money	21%	21%	21%	26%	30%	18%	14%
I received financial support from the government (e.g. benefits, housing grant)	6%	7%	5%	17%	9%	6%	1%
My partner or spouse gave or lent me money	5%	4%	7%	11%	8%	4%	2%
Other family member(s) gave or lent me money	5%	6%	4%	11%	7%	4%	2%
My grandparent(s) gave or lent me money	5%	5%	4%	14%	7%	3%	2%
A close friend gave or lent me money	3%	4%	2%	8%	5%	2%	1%
My sibling(s) gave or lent me money	2%	3%	2%	10%	4%	2%	0%
I received financial support from a charity or community organisation	2%	3%	2%	7%	3%	1%	0%
No one gave or lent me money	36%	34%	38%	10%	21%	36%	57%
Prefer not to answer	2%	3%	2%	5%	2%	3%	1%
NET: ANY	60%	62%	58%	79%	76%	59%	41%
NET: GIVEN/LEANT MONEY FROM FAMILY	30%	31%	31%	49%	44%	26%	18%