The Post Truth Post

UK parents could receive a cash injection if the economy enters recession

Bank of Mum and Dad

Parents who have lent money to their children could find themselves receiving a cash bailout from the government if the UK economy enters a period of recession similar to the one in 2008.

A report by leading economic experts claims the bank of mum and dad ( BoMD ) now underpins the UK economy to such an extent that it has become “too big to fail.”

Economic theory asserts that certain companies and banks, for instance the big high street banks and Sports Direct, are so important to the economic system as a whole that their failure would be catastrophic.

These institutions are classified as “too big to fail” and economists recommend that governments use policy measures and bailouts to ensure they don’t collapse. 

The BoMD recently became the tenth-largest mortgage provider in the UK and is exposed to outstanding loans that cover everything from new cars and houses to £20 a day avocado toast habits.


Analysts at the Bank of England suggest that if the BoMD were to call in these outstanding loans, in a time of economic hardship or just because they wanted to retire someday, the impact on the UK economy could be devastating.

Industries central to the modern global economy, such as vegan yurt workshops, satirical websites, and artisan cat vajazzle manufacturers, rely on 0% interest loans from the BoMD and are often, rightly, the first to go under during an economic downturn.

In order to sustain the financial system supporting these key industries, the report recommends that the Treasury establish a recapitalisation fund that can be used to bailout the BoMD during an economic crisis.

With an estimated £500bn made available to UK banks during the September 2008 financial crisis, this could be excellent news for cash strapped parents. 


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