Wow.
I was lucky enough my parents paid my rent (ie room in a shared house).
That was it.
Then my student loan was for everything else. Ie food and bills and textbooks and hobbies and equipment.
I got a part time job, which helped massively with both money but also with getting job offers and placements.
I worked the summers getting placements.
Tbh if you give to much money, there is less incentive to build up work experience. I chose to do placements because I needed the money so badly. But! It meant that later on, I came to be more successful in being picked for jobs because I had experience. I had friends who didn't do placements or work. And they seemed to struggle more.
If you have a part time job, and you earn £50 pw, that's ~ 200 a month. And if you're student loan works out at about 200 a month, you effectively double your money available to you.
If I were you, as a parent, I'd cover their rent. Maybe help out with big purchases like if a laptop breaks. But definitely teach them money skills like building an emergency fund. You could do this where you say you'll give half of what they add in upto x amount. That way you are forming habits and encouraging.
I think it can be a problem just throwing money at young people, because it can create too much security and not build knowledge.
You want to aim to gently transition them from being totally dependent on you to not at all. And teach them skills to manage finances.
:)