There are reports (unconfirmed officially as yet) that the new Junior ISA limit will be £3,600 when it is launched in November 2011.
It has also been suggested that the Child Trust Fund (CTF) limit will also increase to £3,600 – again unconfirmed.
All will no doubt become a little clearer when the final rules are published – possibly next week.
This is definitely a space to be watched by parents and grandparents… wishing to help fund education and/or property ownership.
Of course, the Junior ISA is not the only way to tax-effectively save for a child’s financial future. There are other ways involving collectives and offshore bonds and both may incorporate the use of a trust depending on the circumstances. That isn’t to say that the Junior ISA will be of no interest, it will. Just that there are other ways that may offer the investor (parent /grandparent) greater flexibility and, importantly, control.