Younger parents are most impacted by a rise in childcare costs in the summer holidays, a study by Phoenix has found.
Research showed 41 per cent of working parents see total childcare costs rise on average by £1,683 per month during the summer.
Those aged 18-34 faced greater costs with an average increase in childcare costs reaching £2,218 per month.
With the average monthly household income in the UK standing at £3,277, the rise in cost of childcare over the summer months represents more than half of this, or 67 per cent for parents aged 18-34.
Catherine Sermon, head of public engagement and campaigns at Phoenix Insights, said flexible working could offer a solution to this and go some way to addressing a lack of saving.
She said: "As childcare costs rise sharply during the summer holidays, parents face financial pressures that may push them to choose between working or caring for their children.
“Ensuring that all those who wish to work can, is critical in tackling the under-saving crisis across the UK as extended time out the workforce exacerbates pension shortfalls and leaves millions vulnerable to financial hardship.
"This is especially true for women, who are particularly vulnerable to leaving the workforce due to caring commitments."
The survey spoke to 2,000 people with more than half saying they would benefit from the opportunity to work from home during the holidays but did not have the option.
Overall, 64 per cent said they would like the option to work more flexibly during school holidays to save money on childcare.
Despite this, 38 per cent had been denied this option and 39 per cent felt they could not work as they could not find a job that lets them juggle childcare.
Sermon added: "We know that all workers, not just those with childcare responsibilities, can benefit from having flexibility at work and that there need to be better conversations taking place about the benefits of making work work for all."
tara.o'connor@ft.com
What's your view?
Have your say in the comments section below or email us: ftadviser.newsdesk@ft.com
