Press Release

GODPARENTS HELP LIGHTEN THE LOAD

21 November 2005

One in five boost their godchild's savings

Godparents are helping lighten the load for parents struggling to save for their child's future, with one in five (18%) shunning silver rattles and christening spoons in favour of  boosting their godchild's savings, according to research from National Savings and Investments (NS&I).

Generous godparents are spending almost £2 billion* a year on gifts and treats for their godchildren and while clothing and jewellery are still the most popular choices, approximately £350 million of this is invested each year by godparents wanting to help children build a nest-egg for the future.

However, money is not the main motivator when parents are choosing godparents. Most Brits would choose the children's nutrition campaigner, Jamie Oliver and wife Jools as godparents for their child over entrepreneur Richard Branson and wife Joan or power couple, Posh and Becks.

Challenging times
Against a backdrop of the 'savings gap' and the increasing cost of house deposits and further education, saving for a child's future and encouraging them to save is more important than ever before.

This is why around one in five (18%) of British godparents surveyed choose to give a financial product or savings to their godchildren at birth and why 17% would give savings or financial products as gifts later in life to help them save towards future financial goals.

Big spenders
British godparents spend, on average, £86 on gifts at birth and a further £82 on birthday and Christmas presents each year. Clothing (41%), jewellery (38%) and cash (34%) are the most popular gifts at birth. However, those that choose to invest for their godchild at birth and then on special occasions each year would provide on average over £2,200** by the time the child is 18.

Top 10 most popular christening gifts

	Total
Clothing	41%
Jewellery	38%
Cash	34%
A toy or doll	27%
Practical gift	26%
Book	24%
Ornament	22%
Commemorative item	22%
Financial product	18%
Named a star/ planted tree in their name	3%

Regional difference
Throughout their lives, godparents in greater London are most likely to help their godchildren save by giving them investments as gifts (25%).  Scots are also likely to continue their good work in gifting financial products (24%), but also have a tendency to splash out on toys as well (63%). Two thirds of the Welsh (66%) would give cash as a present whilst more than half (56%) of godparents in the North West would give books.

Guardian, guide or mentor?
Almost two thirds (64%) of people surveyed consider godparents to be an important part of children's lives. A third (34%) see their role to be a legal guardian in the parents absence, 22% consider them to be a moral guide, whilst 18% see a godparent as an adult friend or mentor. Just 1% are cynical enough to think of them as a free babysitter while another 1% consider their main duty to be a source of extra presents.

Jamie and Jules top choice
Celebrity chef Jamie Oliver and his wife Jools would be Britain's top choice as celebrity godparents. Over a fifth (22%) opted for the Olivers while Richard and Judy secured 11% of the votes, showing parents value a down-to-earth choice over glamour and riches. Entrepreneur Richard Branson and wife Joan came a close third with 10% of the vote. At the other end of the scale, newlyweds Peter Andre and Jordan only mustered 2% of the vote as did A-list celebrity couples Madonna and Guy Ritchie, and Elton John and David Furnish.

A helping hand
Karen Jones, marketing director at NS&I commented: "Being a godparent is a position of responsibility and presents an ideal opportunity to give a helping hand to future generations. Almost one in five godparents are choosing to give financial products or savings as gifts to introduce and encourage good savings habits".

"By choosing to invest in products such as Children's Bonus Bonds, Premium Bonds or Inflation-beating Savings, godparents can ensure they are giving a gift that won't be outgrown. These gifts will grow over time and could provide a real boost towards future financial goals such as university or a first house deposit."