Raising a child to the age of 21 costs “more than the average semi-detached house”, a new report has found.
Across the UK, the typical parent is likely to spend £231,843 raising a baby born this year, an increase of 65% since 2003 when analysts at the Centre for Economics and Business Research (Cebr) first calculated the cost of parenthood.
The most expensive years for raising a child are when he or she is between the ages of one and four where parents typically spend £63,224 during these years.
The report, commissioned by insurance company LV=, compared the figures to a Halifax report that showed the average price of a semi-detached house in the UK is £219,255 – £12,588 less than the average cost of raising a child.
The cost of raising children is more than £230,000
The cost of childcare has risen by 4.3% since this time last year when the average cost was £229,251, according to the researchers.
The report showed the cost of raising a child varies across the UK, from £253,638 in London to £214,559 in Yorkshire and the Humber.
Parents will spend around £74,000 on education, excluding private school fees but including school uniforms, lunches, trips and equipment as well as university costs.
Analysts at Cebr found that sending a child to private school would add, on average, £141,863 for a child attending day school, or £260,927 for a child boarding at school.
The first year of a child’s life is an expensive one, with parents typically spending £11,498.
Parents spend more than £70,000 on childcare and babysitting when raising their child, amounting to nearly a third (30%) of the total cost of raising them to the age of 21.
Siobhan Freegard, founder of video parenting site ChannelMum.com said while money undoubtedly makes things easier for a family, it doesn’t buy love or any of the other emotional elements you need to raise a family successfully.
“Official Government figures show the UK is home to more families containing four or more children than at any time since the early 1970s, and 9.5% of children now have three or more siblings,” she told The Huffington Post.
“Less wealthy large families have to budget very tightly, but the on-going supermarket price war and the rise of savvy shopping using coupons and discount codes has made this much easier.
“There is also greater acceptance of children wearing second-hand clothes and parents buying pre-loved children’s toys, furniture and equipment like bikes and buggies.
“Ultimately, parents have the size of family they feel is right for them and very few people will put themselves under pressures they cannot cope with.
“While a big family can be a financial challenge, it’s can also a blessing worth much more than money.”
See below for a breakdown of all costs from the report.