Kids 'negatively' hit by recession

Most Irish parents believe the recession may have a negative impact on their children’s lives but conversely may also teach them…

Most Irish parents believe the recession may have a negative impact on their children’s lives but conversely may also teach them to understand the important things in life and to be more careful with their money, according a new survey.

The survey, commissioned by EBS Building Society to coincide with International Family Day on Friday, found 80 per cent of parents believed the economic climate would have detrimental effect on their children and nearly two-thirds felt they would not be able to afford important things for them because of the downturn.

However, some 60 per cent of parents suggested the recession would be good in helping identify what was important in life and a similar proportion said the economic climate would ensure that children are more careful with their money.

The survey, conducted on a sample of 1,000 people in March as part of the omnibus consumer survey by marketing agency iReach, also asked several questions relating to how much children should receive in cash gifts for making their First Holy Communion.

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Up to 60,000 children will make their first communion in the coming weeks.

Only 27 per cent of those surveyed believed the recession was likely to reduce the amount of communion money received by children while 63 per cent believed that there would be no change.

Nearly four-fifths of parents said it was appropriate to give €50 or less to a child making their communion. Some 14 per cent said between €51 and €100 was appropriate with the remaining 7 per cent suggesting that over €100 is an appropriate amount of money.

The EBS Building Society spokesman Dara Deering, said: “The research shows that people do feel that the recession is impacting negatively on their families, thus a healthy savings habit is critical.”