Saving for a child today is a wonderful gift for their future

We all know that it can be difficult for the next generation to achieve certain milestones and getting that first step on the housing ladder is probably the most obvious one. When we work with our clients, we are often asked how they can put something aside for their children or grandchildren.

Recent research shows that, on average, parents in the UK are putting aside £42.45 a month for each child. Source: L&G Investments

Think about the purpose of the savings

Do you want these to be used for potential university costs? Or would you rather that they were used for a deposit for a first home? It is very important for you to be clear about the purpose of the savings, as different wrappers and investments will be more appropriate depending on when access is likely to be required.

For instance, Junior Cash or Stocks and Shares ISAs (sometimes called NISAs) could be appropriate where you wish for the child to be able to access the funds sooner (from age 18), fo