The average amount given was £8,400, with 15% giving over £10,000, according to a new report from LV=.

Those with assets between £100,000 and £500,000 (excluding property) gave an average of £13,000, with 6% giving over £50,000.

Those giving was not restricted to those currently working. A third (35%) of retirees surveyed by LV= had given money to family or friends over the last six months.

Retirees on average gave £7,000 to friends and family, with 2% gifting over £50,000.

Those helping grandchildren gave £15,000 on average, with 10% giving over £50,000.

The main reason given for gifting money was to help with day to day costs, with 42% giving for this reason and 37% giving to help with paying bills.

One in five (17%) had given money to help with paying loans, credit cards, and other debts.

One in ten (13%) of those who gave money did so to help with education and childcare costs.

Property and housing was also a common reason for gifting money with 12% gifting money to help with mortgage or rent costs, and 11% giving money to help with buying a house.

A quarter (24%) of grandparents who gave money did so to help their grandchildren buy a house.

Clive Bolton, managing director of protection, savings and retirement, said:  “LV=’s research highlights the rise in the cost of living is affecting millions of people. A third of young adults (18-34) and families with young children are struggling financially. Many are turning to family and friends to help for day to day expense such as utility bills, housing costs and childcare.

“One striking aspect is the extent to which grandparents are stepping in with thousands of pounds of support and helping grandchildren with housing deposits in addition to everyday expenses,

“It’s understandable why grandparents want to help their family and pass wealth down through the generations. When doing this, there are a number of options available, each with different advantages and disadvantages.

“Gifting money early can reduce inheritance tax liabilities and a grandparent can gift up to £3,000 a year without being added to the value of the estate. A couple could therefore gift £6,000 a year.  If some or all of it was invested in a pension it would get tax relief.”

The LV= Wealth and Wellbeing Monitor surveys 4,000 UK adults every three months.