Junior ‘Individual Savings Accounts’ (ISAs) enable you to invest and save money for your child’s future tax-efficiently.
Whether it’s for university fees, driving lessons or a house deposit, the sooner you open a Junior ISA for your child, the bigger head start in adult life you could give them.
Junior ISAs have the following benefits:
The Share Centre offers the following Stocks & Shares Junior ISAs, which enable you to invest in the stock market for your child:
DIY Junior ISA
Choose your child’s investments from a wide range and manage them as you see fit.
Ready-made Junior ISA
A hassle-free package, with investments chosen and managed by experts for you.
Your child’s Junior ISA allowance can be split between a Stocks & Shares or Cash Junior ISA. We do not offer Cash Junior ISAs.
Parents and guardians with parental responsibility can open Junior ISAs for children who live in the UK. 16-17 year olds can also open Junior ISAs for themselves. Once the account is open, anyone can pay in money.
If you don’t have parental responsibility for the child, you could always open a Junior Investment Account instead.
The government sets an annual limit on how much can be paid into Junior ISAs each tax year. This year (up to 5 April 2019), the Junior ISA allowance is £4,260, which can be split between a Stocks & Shares Junior ISA and a Cash Junior ISA if you choose.
Money cannot be withdrawn from a Junior ISA until your child reaches 18 years old. All money paid in is treated as a gift and cannot be returned.
Junior ISAs succeeded Child Trust Funds in 2011. If your child already has a Child Trust Fund, you cannot also open a Junior ISA, however you can transfer a Child Trust Fund to a Junior ISA. This is worth considering, since Child Trust Funds often have higher charges and less choice than Junior ISAs.