News
Scottish savers lead the start of children’s savings
Scottish savers have opened more Junior ISAs (JISAs) than the rest of the UK in the last five years, according to the latest Scottish Friendly Investor Index.
Since the index was launched in 2019, the number of JISAs opened by its Scottish members has increased by 225%.
However, the rise in the cost of living led to a 31% decrease in JISA contributions from Scots, with the East of England and the West Midlands seeing even steeper declines of 39% and 38% respectively. The only region that saw more money invested in JISAs since 2019 was the Southeast, increasing 34%.
Across the UK, the index also revealed that more women opened JISAs than men. Since the launch of the index, the number of new JISAs opened by women has increased by 128% compared to men (only a 101% increase).
Scottish Friendly Savings Specialist, Jill Mackaysaid: “We continue to see a shift in families saving for their children, even with continued cost pressures.
“From our recent Family Finance Tracker, we also know that more than a third of Scottish households (35%) would describe their overall financial situation at the moment as ‘uncomfortable’.
“Understandably, being able to set aside a lot of money may not be an option with daily cost pressures as they are. But starting as soon as possible and just investing a little in JISA stocks and shares could generate a substantial amount over time.
“Here too, more can be done, from a political point of view, to support those who want to save for children. We believe that children’s savings could receive a real boost if JISA rules were relaxed to allow other family members, such as grandparents, to open JISAs. Giving children a better financial foundation as they enter adulthood can only be a good thing, and removing this barrier can make a real difference.”