Cash ISA For Children

As of November 2011, banks have introduced new cash ISAs for children under the age of 16. Until now, these ISAs have been restricted to people who are over the ages of 16 and 18. However with a cash ISA for children, you can have access to the following benefits and features:


  • Customers can potentially save a tax-free amount of up to £4,000 in some circumstances
  • Although the child will not be able to withdraw from the cash ISA until they are 18, a junior cash will technically be under their control once they reach the age of 16
  • The cash free Junior ISA will belong to the child but they are not permitted to withdraw from the cash ISA until they are 18.


As the junior cash ISA is relatively new financial product, it may be worth comparing cash ISA deals from as many providers as possible before any final decisions are made.




The money that is saved from using a cash ISA can potentially used for a variety of different purposes, such as:

  • School/college trips
  • Travelling expenses
  • University fees and cost of living
  • Driving lessons and car expenses (insurance, tax, MOT)


In 2010, the government abolished the Child Trust Fund and in its place, the Junior ISA is a financial product that offers parents an alternative means of saving for their child’s future. In terms of eligibility, it is worth bearing in mind that you may not be able to transfer your savings from a Child Trust Fund to a Junior ISA. Furthermore, children who were born between 09/02 and 01/11 may not be permitted to open a Junior ISAm because they already have Trust Funds.

 Important Risk Information:

This website contains information only and does not constitute advice or a personal recommendation in any way whatsoever. The value of investments and income from them can fall as well as rise and you may not get back the full amount invested.

Investments in Stocks & Shares ISAs do not contain the same degree of capital security as investments in deposits. Stocks and shares ISAs are designed as medium to long term investments of, for example, five years or more. The tax efficiency of ISAs is based on current tax law and there is no guarantee that tax rules will stay the same in the future.

Different types of investment carry different levels of risk and may not be suitable for all investors. Please ensure that you read the Important Risk Information for further details. Prior to making any decision to invest, you should ensure that you are familiar with the risks associated with a particular investment and should read the product literature. If you are in any doubt as to the suitability of a particular investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.