Junior ISA Explained: Saving for Your Child’s Future
A Junior ISA (JISA) is a tax-free savings or investment account for children under 18. It lets parents, guardians, and family members build a financial head start for the child — with no tax on interest, dividends, or capital growth.
It’s part of the wider ISA family, alongside options like the Cash ISA and Stocks & Shares ISA.
Who Can Open a Junior ISA?
- The child must be under 18 and living in the UK
- A parent or legal guardian must open the account
Once open, anyone — including grandparents or family friends — can contribute to it.
How Much Can You Save?
In the 2025/26 tax year, the annual Junior ISA allowance is £9,000.
This allowance is separate from the adult £20,000 ISA limit, meaning it doesn’t affect how much you can save in your own ISAs.
Types of Junior ISA
- Junior Cash ISA – Earn tax-free interest, similar to a savings account
- Junior Stocks & Shares ISA – Invest in the markets with long-term growth potential
You can open one of each type, but you can only contribute to one of each per year (just like adult ISAs).
When Can the Child Access the Money?
All money in a Junior ISA is locked away until the child turns 18. At that point, the account becomes a standard adult ISA, and the child gains full control of the funds.
You can’t withdraw money early, even if you’re the parent, so make sure you won’t need access before their 18th birthday.
Cash or Stocks & Shares?
If your child is under 10, many parents choose a Junior Stocks & Shares ISA to allow time for growth. For older children or if you prefer lower risk, a Junior Cash ISA may be more suitable.
Is a Junior ISA Worth It?
Definitely — especially if you're already saving for your child in a regular account. A JISA helps their savings grow faster by shielding it from tax, and teaches them about money early in life.