Junior ISA

A Junior ISA (Individual Savings Account) is a savings account designed for children who are under the age of 18 and who are UK residents. It is a tax-free savings account that can be opened by parents or guardians on behalf of their child, with the aim of building up savings for their future.


Annual limit

The annual limit for contributions to a Junior ISA is set by the UK government and may change from year to year. For the tax year 2023/24, which ends on Friday 5 April 2024, the annual limit is £9,000. This means that parents, grandparents, or other family members can contribute up to £9,000 per year to a child’s Junior ISA.

How many junior ISAs?

Unlike ISAs, children can only have one Cash Junior ISA and one Stocks and Shares Junior ISA at any given time. However, parents, guardians, and other family members can contribute to the same child’s Junior ISA account.

It’s worth noting that a child with a Child Trust Fund (CTF), which was the predecessor to Junior ISAs, is also eligible to have a Junior ISA. However, the child can only hold one of either a CTF or a Junior ISA, not both. In this case, it may be beneficial to transfer the CTF into a Junior ISA to take advantage of the tax-free savings benefits of a Junior ISA.

Additionally, if a child has a Junior ISA and they become a resident of another country, they may be able to keep the account open, but they will not be able to make any further contributions to it.

How much money can I invest on behalf of my child?

As a parent or guardian, you can contribute up to the annual limit set by the UK government to your child’s Junior ISA. For the tax year 2023/24, the annual limit is £9,000.

If you invested the maximum amount into to your child’s Junior ISA, you may also choose to invest through a standard investment account. There are no limits on the amount you invest if it is not through an ISA.

When can the child access the money?

Even if the parents open an account for their child, the money belongs to the child. They can take control of the account when they’re 16 but cannot withdraw the money until they turn 18.

Who can open a Junior ISA account?

Only the parents of the child or a guardian who has parental responsibility can open a Junior ISA for a child. However, anyone can pay money in, as long as it does not exceed the total allowable for the year.