And finally…primary school kids using mum and dad’s card and know their PIN

The Pru’s research found that nearly one in six (16 per cent) parents let children pay for items with their contactless card.

Kids who are allowed to use their parents cards are mainly given permission so that they have access to money in an emergency. Parents also argue that it helps them to keep track of what their children are spending. The vast majority (92 per cent) say they set a limit on how much their children can spend.

The Pru study coincides with the introduction of a new free online educational resource, Cha-Ching (www.cha-chingeducation.co.uk), which is designed to improve the financial capability of Key Stage 2 pupils across the UK.

Jane Rawnsley, Group Head of Corporate Responsibility at Prudential, said: “The survey suggests that the way children use and understand money is changing very fast. It’s important that parents and teachers are given the tools to ensure that the opportunities created by digital payment technology are accompanied by an understanding of the responsibilities that come with it. That is why we are launching Cha-Ching in the UK, a digital-first financial education programme built around mobile, tablet and online resources which can also be integrated into the real environment of a classroom and home.”

Michael Mercieca, chief executive of Young Money, said: “It’s incredibly important for financial education to start from an early age. Prudential’s research highlights the increasing need for financial education in an ever more cashless society and I’m delighted to see Cha-Ching come out of Young Money and Prudential’s partnership. In an increasingly cashless society Cha-Ching will help young people develop the skills, confidence and attitudes they need to successfully manage their money.”