Just out of interest in UK has it always been that kids get walked to school/home until they are older?
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Sounds terrible doesn't it, I walked to school in a group, I lived in a village, we all knew each other and I had 5 brothers, mum didn't drive, so walking to school was normal for myself and I guess the majority of children in my day.
I think today it is harder for parents, we have more people, more houses, more strangers (most of us don't even know our neighbours) less immedite family, more cars, more roads, and worst of all we are much more aware of the mental and s*xual devinats on our streets.
I know darn well they were there when I was a child, at 9 I went to visit my cousin and a little girl went missing, I went out searching with everyone else, she was found dead after being abused. Another incident in my own village a road sweeper called myself and my friends over to look at his friend in his pants, (I was approx 7) we had no idea what we were looking at, (and I had 5 brothers, but I'd never seen anything like that!) I didn't even tell my parents, had no idea he was flashing his bits and he even had some of us stroking it

Then some other friends when a teen came out of the woods saying a man was flashing at them in there, I know the police were called for that one, but it shows even then, the streets were and always are rife with perverts of one kind or another.
From adulthood, I've heard so many similar stories aswell, and no we didn't know how to handle it, it didn't make us better people for having to cope with it alone.
In my day, people didn't talk about it, today we are very aware, so quite rightly parents are protective, do I think our children today are growing up stiffled by over-protective parents? Actually I don't, they still run and play, socialise with their friends, climb trees, and become independant just the same, just with a watchful eye.
I don't believe in ever frightening children or even telling them why some of us prefer to pick up and drop our children off, most just think it normal, IME it has not stiffled independance in any way shape or form.
But, I don't blame any parent for continually watching out for their child. Unfortunately we are aware, with awareness you choose to ignore and hope nothing ever happens or you keep watch from a distance without frightening your child, neither is wrong just personal preference.
With the OP's example, I think if there were perhaps 4 children all walking to the OP's house the other parents would have felt happier, but 2 girls as a parent I may well be worried so understand the other parents worries too.