Money-saving ideas for young families feeling the pinch
If your child was born before 2 January 2011, you can open a Child Trust Fund with the £250 you are eligible to apply for from the Government (direct.gov.uk). The money grows tax-free and has to stay invested until your child's 18th birthday. Even contributing £25 a month will mean the CTF should be worth more than £5,000 by the time your child turns 18. If your child was born in 2011 or is due this year, the Government has launched the Junior ISA, which came into effect in November 2011. Designed for adults to save and invest for children, money cannot be withdrawn until your child is 18, but it will be tax-free.