1. Junior ISAs (JISAs)
Tax-free accounts for children in the UK.
2025/26 allowance: £9,000 per child.
Options:
Cash JISA – low risk, steady growth.
Stocks & Shares JISA – higher long-term growth potential.
Money is locked until the child turns 18.
2. Regular contributions
Even small monthly amounts (£50–£100) grow significantly over 17+ years.
Use pound-cost averaging to smooth out market volatility.
3. Long-term, low-cost investments
Global index funds or ETFs (e.g., Vanguard LifeStrategy).
Balanced funds combining stocks and bonds.
Reinvest dividends to benefit from compounding.
4. Trust or parent-managed accounts
If you want more control, consider a trust or investment account in your name earmarked for them.