The ONS study revealed that from 2014 to 2016 the net household property wealth of people aged 60 to 62 was 17 times that of those aged 30 to 32 years.

For the first time in over two years, consumers reported a worsening of their perception of their own financial situation for three consecutive quarters.

Rachel Griffin, tax and Financial Planning expert for Old Mutual Wealth, said the figures should cause “sleepless nights” for the Government.

She added: “A deadly cocktail of childcare costs, rising tuition fees and unaffordable housing have led to a generation who may rightly feel their outlook is bleak. 

“In fact, the ONS figures reveal that people are increasingly feeling the financial strain and are reporting a steadily worsening perception of their financial situation.
 
“The Government needs to start making simple changes to ease the pressure immediately, such as increasing the IHT gifting allowance which will allow the wealth to filter down more easily.

“In fact, over 60% of over 55s would consider or would definitely gift more to their loved ones in their lifetime, if the allowance was higher, and 71% want to pass on their wealth during their lifetime, or both during their lifetime and on death, according to findings from Old Mutual Wealth.
 
“The annual IHT gifting allowance has remained unchanged since 1981.

“Had the annual allowance tracked inflation, it would now be permissible to gift £10,932.20 per tax year in 2017, according to the Bank of England inflation tracker.

“This allowance is being looked at as part of the upcoming review into Inheritance Tax by the Office of Tax Simplification.

“If the allowance was updated to £11,000 it may immediately cascade £82.6 billion to lower generations.”