Generational Wealth: Why £100k at 25 Beats £500k at 60

Generational wealth in the UK is usually transferred too late. A £500k inheritance arriving at 60 changes far fewer life outcomes than £100k arriving at 25.

Early money compounds beyond the spreadsheet. It buys optionality, risk tolerance, and years of escaping rent. The compound interest calculator captures none of this.

The risk is gifting before the recipient understands the value of money. Early adult financial pressure is the formation that makes the later gift productive rather than corrosive.

UK rules give givers real headroom: a £3,000 annual exemption, the seven-year rule on larger gifts, and wrappers (ISA, SIPP, Junior ISA) that keep the compounding tax-free.