The average payment made via equity release to help out family was £23,328, according to new research from Key Retirement Solutions.

Study of over 1,265 retired homeowners indicated around 23% used money raised from their home to help out family in the past year.

In one case the payout to help family was £262,000, with gifts starting from £2,000.

Key Retirement Solutions 2010 Equity Release Market Monitor shows around £147.5 million of the £922 million released from property wealth went to help out families.

Money went to a variety of uses ranging from helping children to clear debts as well as to buy houses and cars. Some paid for family weddings and holidays while others helped grandchildren pay their way through university.

The analysis shows widows – and, to a lesser extent, widowers – are the most generous to families handing out average cash gifts of £30,100. Married couples pay out an average £20,258 to help out families.

The average gift paid to sons alone was £21,131 compared with the average payout to daughters of £18,625.

Retired homeowners in London give the biggest gifts on average at £40,172

Dean Mirfin, group director at Key Retirement Solutions, said: “The Bank of Gran and Grandad is definitely open for business even if the traditional High Street banks are tightening up – and crucially the money is a gift.