Published: 28 June 2019
Almost one in five women in England and Wales have no children by age 45, according to the most recent research on the matter by the Office for National Statistics (ONS). It found that of English and Welsh women born in 1946, just 9% did not have children by the age of 45. The proportion doubled among women born in 1971, at 18%1.
Similar patterns are evident in other countries. In the US, for example, one study found that between 2007 and 2012, birth rates among women in their twenties fell more than 15%2.
The trend suggests more and more people are navigating their financial lives without younger dependants to think about. While that might sound appealing in terms of the cost burden, it does call for different thinking when it comes to some aspects of financial planning.
While individuals and couples without children may gain in terms of flexibility and disposable income, there is still a need to plan for the long-term, with investments and pensions having a big a role to play.
But when it comes to matters such as passing assets on, securing the right insurance and funding later-life care, the priorities and planning challenges can be quite different.
This is provided for general information only and takes no account of personal circumstances. It is not a recommendation to buy or sell. It is provided solely to support you in making your own investment decisions. If you have any doubts as to their suitability you should seek expert advice. Alliance Trust Savings does not give financial or investment advice.
Laws and tax rules may change in the future without notice.
Please be aware that the value of investments can fall as well as rise so you could get back less than you invest. Past performance is not a guide to future performance.
1 ONS - Childbearing for women born in different years, England and Wales: 2016 - 22 Nov 2018
2 Urban Institute - Millennial Childbearing and the Recession - April 2015
3 Unbiased.co.uk - What if I have no Will? The problem of intestacy - 30 April 2018
4 Low Incomes Tax Reform Group - What is the nil rate band? - 18 May 2019
Alliance Trust Savings Limited is registered in Scotland No. SC 98767, registered office, PO Box 164, 8 West Marketgait, Dundee DD1 9YP; is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority, firm reference number 116115. Alliance Trust Savings Limited gives no financial or investment advice. ‘Alliance Trust Savings’, ‘ATS’ and 'AT Savings' are all brand names of Alliance Trust Savings Limited together with the ‘Alliance Trust Savings’ logo are owned by and used with the permission of Alliance Trust PLC, the previous owner of Alliance Trust Savings Limited.